A rising number of homeowners are under financial stress as higher interest payments force them to dip into their savings.
One in 20 mortgaged families can’t pay for food and power, up from one in 100 in April last year.
This is according to the Reserve Bank of Australia’s semi-annual health check.
The report found that Australia’s banking system remains largely resilient despite the growing number of strained households.
The RBA concluded that most households could manage the impact of higher inflation and interest rates due to the strength of the labour market, leaving the door open to another rate hike this year.
A rising number of homeowners are under financial stress as higher interest payments force them to dip into their savings.
One in 20 mortgaged families can’t pay for food and power, up from one in 100 in April last year.
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This is according to the Reserve Bank of Australia’s semi-annual health check.
The report found that Australia’s banking system remains largely resilient despite the growing number of strained households.
The RBA concluded that most households could manage the impact of higher inflation and interest rates due to the strength of the labour market, leaving the door open to another rate hike this year.