Australia's economy tanks to GFC levels

A man is reflected on a window of the Australian Securities Exchange building. Photo / Getty

The Australian economy is officially in the doldrums, with the latest data revealing its worst quarterly performance since the global financial crisis.

Treasurer Scott Morrison seized upon the national accounts figures, released today, to demand support for the government's economic reforms, such as the long-term cuts to corporate taxes it proposed in the Federal Budget.

"We want to pass that through the Parliament and we need the consensus of a parliament that is going to work in the national interest to drive jobs and growth," Mr Morrison told reporters in Canberra.

"The reason you put out a 10-year trajectory on tax like the UK has or New Zealand has or indeed the United States wishes to, is to signal to investors what the future will be for their investments ... That is why I say to the Parliament, in the national interest, this is important for people's jobs."

The national accounts showed economic growth declined 0.5 per cent in the September quarter, dragging the annual growth rate down to 1.8 per cent, explaining the subdued employment growth of recent months.

Annual growth in the June quarter was previously reported at 3.3 per cent before revisions.

It was the first contraction in growth since March 2011, and only the fourth quarter in the past 25 years that the economy has contracted - leading some to question the success of the Coalition's "jobs and growth" strategy.

But Mr Morrison slammed the "cynical politics" of "business bashing" and defended the government's economic record.

"We have been successful in passing $21 billion in measures that have improved the Budget since the last election," Mr Morrison said, vowing to work with members of the crossbench to secure "pragmatic" wins.