Key crossbench senator warns of recession

Crossbench senator Nick Xenophon believes Australia could dip into a recession if the issue of rising gas prices isn't addressed for businesses.

A key crossbench senator is warning Australia could find itself in a recession if rising gas prices aren't addressed.

While both sides of politics debate the energy reforms proposed by Chief Scientist Alan Finkel, Senator Nick Xenophon believes the shortage of gas is the immediate crisis that has to be addressed.

"Unless we tackle this head on and get a result we will be seeing our economy going into recession given the number of jobs that will be lost in the next 12 months," he told ABC radio on Tuesday.