East Central Reporter

Rep. Brad Halbrook (R-Shelbyville) recently said Illinois' tax rates are making inflation worse.

"I hear every day from families who are being hurt by inflation. They are having to cut back and make sacrifices just to afford basic household necessities. The high taxes in Illinois are only making this situation worse. We don’t need temporary tax cuts and Pritzker’s other gimmicks. We need real reform and meaningful tax relief and need it now," Halbrook said.

The U.S. Bureau of Labor Statistics issued its latest Consumer Price Index (CPI) summary on July 13, which found that costs have risen 9.1% in the last year, marking a 40-year high. In the last month, the cost of energy increased by 7.5%, gas prices rose 11.2%, and the cost of food increased by 1%. In the last year, the cost of gas has risen by 59.9%, while food prices have increased by 10.4%. 

When Halbrook was asked about how inflation could impact the economy, he replied, “I think a better question is what impact is inflation having on our economy because there definitely is an impact. There are real fears about a recession, and some have suggested we already are in a recession."

Halbrook explained how inflation affects families. 

"What happens is inflation increases the cost of goods. These costs get passed onto consumers. The higher prices mean consumers have less buying power which means they have to cut down what they buy, which in turn means business revenue goes down resulting in layoffs and a shrinking economy," Halbrook said. "It is unclear where we are in this cycle, but this is where we are headed if nothing changes.”

Business owners, facing increased costs in supplies, shipping, and other expenditures, could be forced to cut jobs, according to the Center Square. Todd Maisch, CEO of the Illinois Chamber of Commerce, said "the question for policy makers in Illinois" is whether they are going to raise taxes because of inflation, "or are we going to weather the storm and show that government can be on sound fiscal footing."

Illinoisans are paying an average of $4,386 more in 2022 than they paid in 2021 for the same goods and services due to price increases, according to Illinois Policy. The average Illinois resident will pay an extra $1,122 for gas this year, while also spending an additional $504 on groceries and $280 for utilities. These extra costs mean many people will dip into their savings and skip some recreational activities. 

“The only way to avoid tax increases is to ensure JB Pritzker is defeated in November,” Halbrook said.