JobKeeper cuts predicted to cost the economy billions.

Cuts to JobKeeper wage subsidies are predicted to cost the Australian economy up to 9.9billion in losses by Christmas time.

The McKell institute released a report predicting the massive loss after the Organisation for Economic Co-operation and Development warned against budget cuts in a time where economies are fragile.

Labor party shadow treasurer Jim Chalmers says that ongoing support will be required from the government in order to position Australia for economic recovery.