The Reserve Bank’s decision to hold interest rates at 4.35% is cold comfort for hardworking Australians with a mortgage.

With the Reserve Bank expecting inflation to remain a challenge until late 2025, Australian families are facing several more months of higher mortgage repayments.

Following 12 interest rate increases under Labor, an Australian household with an average mortgage of $750,000 is paying an additional $24,000 a year. That’s $2,000 extra per month.

This means Australians are facing a grim Christmas because Labor doesn’t have a plan to tackle inflation.

This is an inevitable consequence of a government that’s out of touch with cost of living pressures, and out of its depth on the economy.

Australians are suffering the worst fall in real disposable income in the OECD, collapsing productivity, and an economy that is going backwards on a per person basis.

Labor’s decisions are making the pain of inflation worse:

• Poorly managed migration that is making rents and housing unaffordable
• Energy market interventions that aren’t bringing down prices and costing billions in taxpayers money
• Bad workplace laws that will remove flexibility for workers, raise prices, and make it harder for young Australians to get a job
• Broken promises on taxes - whether it’s franking credits, retirement savings, personal income tax, or Australian companies - Labor are taking more money out of Australians’ pockets at a time they need it most

Shadow Treasurer Angus Taylor said Labor's homegrown inflation is a tax on everything.

“Make no mistake, today’s decision hasn’t made things easier for people. There’s no relief in sight,” Mr Taylor said.

“We know hardworking Australians are digging deep into their savings, working extra hours or taking on extra jobs, and we know they’re making sacrifices in their household budgets, especially leading into Christmas.

“The RBA has its foot firmly on the brake. But this government isn’t pulling its weight in the fight to bring down inflation.

“This is a government that refuses to take any responsibility for its actions.”

ENDS.