ACOSS has welcomed today’s interest rate cut and is calling for further cuts in coming months to ease financial pressure on people struggling. 

“Today’s rate cut is hugely important for people on low and modest incomes who have been worst affected by financial pressures,” said ACOSS CEO Dr Cassandra Goldie.

“We need further cuts to allow incomes to grow and reduce extremely high levels of financial stress amongst people with the least. 

“With inflation now consistently within the RBA’s target range, there is no justifiable reason to keep interest rates at high levels.

“The priority now should be to grow jobs and the incomes of people struggling after a decade of stagnation in living standards. Low unemployment is an opportunity not a risk. Reducing it further will not spark a fresh outbreak of inflation as some have wrongly suggested.”

Dr Goldie said further rate cuts should be combined with direct government action to permanently reduce financial pressure.

“ACOSS will also continue to work with the government on further action they can take to lift incomes and reduce cost pressures.

“We are calling for an urgent increase to social security payments to lift the incomes of those with the least, as well as further investment in social housing and home energy upgrades for low-income homes to improve housing affordability and lower energy bills.”