Retailers are urging politicians to quickly sort out their problems and get on with running the country following a limp set of spending figures.
Retail sales grew by just 0.2 per cent to $23.8 billion in December, which is even weaker than the benign result expected by economists.
The Australian Retailers Association blames the build-up to the elections in Victoria and Queensland and the coming NSW vote in March, saying they always have an impact on confidence.
Last weekend's Queensland election has yet to be resolved, while leadership squabbles in Canberra and uncertainty over the federal budget could also dampen activity in early 2015.
National Retail Association chief executive Trevor Evans has a message for the nation's leaders about maintaining consumer confidence: "Put an end to the current speculation and ensure government gets on with the job of governing."
The soft monthly retail outcome for just more than four per cent growth for the year justified the Reserve Bank's decision to cut its cash rate to a record low 2.25 per cent.
The 25 basis-point reduction has been matched or bettered by nearly 20 lending institutions.
"It is now a wait and see whether more needs to be done to rebuild confidence before we see further improvements to activity in the retail sector," Australian National Retailers Association chief Anna McPhee said.
Treasurer Joe Hockey certainly believes the RBA will cut again.
Bank governor Glenn Stevens and new Treasury boss John Fraser took the unusual step of briefing federal cabinet about this week's rate decision.
The pair reportedly warned that if the government's spending cuts failed to clear the parliament, the budget was at risk of never getting back to surplus.
Shadow treasurer Chris Bowen was outraged that advice was leaked to selected media, and demanded an explanation from Mr Hockey.
"If the treasurer can't sell his own budget and his own harsh cuts, he should not hide behind a briefing by the governor of the Reserve Bank," Mr Bowen told reporters in Sydney.
The RBA will give a fuller explanation of its rate decision when it releases its quarterly monetary policy statement on Friday.
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