“The Reserve Bank has been forced to hold interest rates at their highest level under this Labor government because of the Treasurer’s active inflation agenda”, said Shadow Treasurer, Tim Wilson.
Mr Wilson’s comments follow the Reserve Bank’s decision today to keep the cash rate on hold at 4.35 per cent, the level households were forced up to in May and the highest interest rates have been under this Labor government.
The RBA’s decision noted that “headline and underlying inflation are still too high”.
“A pause at the peak is not the relief Australians were promised. Families are stuck paying the highest mortgage rates seen under Labor with no end in sight, while the Treasurer keeps fueling the very inflation that is keeping them there”, Mr Wilson said.
“The reason the Reserve Bank cannot cut rates is because inflation is still too high, it is homegrown, and it started long before a shot was fired in Iran. Until the Treasurer stops pouring debt petrol on the inflation fire, there is no path back to lower interest rates”.
“The Treasurer told Australians this time last year that the country had turned the corner on inflation and interest rates. Instead, rates were forced higher in May and held at their peak today, while underlying inflation remains stuck above the Reserve Bank’s target band”.
“Even as families are told to tighten their own budgets, the Albanese government is stoking inflation and piling fresh taxes onto the family home, rental properties and trusts, which will only deepen the squeeze”.
“As Liberals, we stand for lower inflation, lower interest rates and lower taxes. Australians cannot afford another three years of Labor’s active inflation agenda”.
“Families can see straight through the Treasurer’s family savings tax grab, and we want to hear their stories at www.notthetax.com.au “, Mr Wilson said.
