Interest Rates Rise To Hurt Territory Families

Today's interest rate rise will cause massive pain for Territory families Senator Trish Crossin says.

"This is the Liberal Government's 8th consecutive interest rate rise and the 4 th since the last election.”

"Interest rates are now as high as they have been in a decade.

"The fact is for many Territory familiesinterest rates are too high but John Howard and Peter Costello still believe that interest rates are 'extremely low'.

"Households are now spending a record share of their income on mortgage interest repayments – higher even than when rates hit 17 percent.

" John Howard has breached trust with Territory families who helped put him in office – and he is completely out of touch with the pain his rate rises inflict on middle Australia .

"The increases disproportionally affect Territorians as we have the highest percentage in Australia (42%) of households with a mortgage.

"The Howard Government has failed to keep a lid on inflation in Australia 's economy, and as a consequence interest rates have kept going up, and up.

” John Howard has been too short-sighted to act on the skills and infrastructure bottlenecks which are putting upward pressure on interest rates.

"People in the Northern Territory are telling me that they are struggling to pay their bills – this further rate hike will do absolutely nothing to relieve the pressure.

"Labor understands the new interest rate reality – high levels of debt means there is no such thing as a small interest rate rise.

"Only a Beazley Labor government will manage the economy in the interests of the families of middle Australia .

"Only Labor has an economic plan to keep downward pressure on inflation and interest rates.

" John Howard can no longer be trusted to manage the economy in the interests of the families of middle Australia ,” Senator Trish Crossin said.

2006-11-08