Today’s decision by the Reserve Bank to increase interest rates for the tenth time under the Labor Government will be difficult news for Australians struggling with the rising cost of living.
This afternoon’s hike means a family with a typical $750,000 mortgage is now paying $1,723 more every month compared to May 2022. That’s almost $21,000 a year.
Shadow Treasurer Angus Taylor said the pain of inflation and rising interest rates is spreading further to renters, to small businesses and to young Australians trying to save to buy their own home.
“Day after day, this Labor Government has spent more time attacking the Coalition, instead of attacking inflation,” Mr Taylor.
“This is a government with the wrong priorities and the wrong policies to address Australia’s inflation challenge.
“Inflation is far too high under this government and after almost a year in office it is time the Prime Minister and the Treasurer take responsibility.
“Core inflation in Australia is higher than many of the advanced economies around the world – higher than the entire G7. We are leading the world in the worst way possible.
“It’s become clear inflation is home-grown. It is not coming from Vladimir Putin. It is not coming from the war in Ukraine. Inflation is coming from Canberra.
“Next week’s Budget is the government’s opportunity to help Australian families by reining in spending and delivering a budget surplus.
“The test for this Budget will be to balance the budget, deliver simpler and lower taxes, not higher ones and embrace reforms that grow the economy and make life easier for small businesses and families. It’s important any cost-of-living relief be measured to avoid making inflation worse.
“Most importantly, this Budget must stop breaking promises.”