Author Archives: Senator Dean Smith

HILDA REPORT EXPOSES THE HUMAN COST OF AUSTRALIA’S HOUSING AND COST-OF-LIVING CRISIS

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA 24 September 2026 MEDIA RELEASE   HILDA REPORT EXPOSES THE HUMAN COST OF AUSTRALIA’S HOUSING AND COST-OF-LIVING CRISIS The latest HILDA Survey has laid bare the financial pressure facing Australian households, with more people struggling to afford housing, put food on the table and leave the family home. The 2026 Household, Income and Labour Dynamics in Australia (HILDA) Statistical Report shows that despite record employment, Australians are facing growing financial and housing stress as household incomes struggle to keep pace with rising housing costs and other essential expenses. The report found 18 per cent of Australians aged 15 and over experienced food insecurity in 2024, up from 13.7 per cent in 2020. Housing pressures have also intensified, with 23 per cent of private renters experiencing housing stress in 2024, while 9.6 per cent of mortgage holders were in housing stress — the highest proportion since 2017. Across Australia’s five mainland capital cities, 36 per cent of renters and 30 per cent of mortgage holders were spending more than 30 per cent of their disposable household income on housing. The impact on younger Australians is particularly stark. Half of Australians aged 18 to 29 were still living with their parents in 2024, compared with 39 per cent in 2001. Among young private renters in mainland capital cities, 25.3 per cent were experiencing housing stress, compared with 17.6 per cent in 2001. The HILDA report also found almost 8 per cent of Australians reported being unable to pay their mortgage or rent on time — the highest proportion since 2003. The findings provide another stark account of the cost-of-living and housing pressures experienced under the Albanese Government, as Australians confronted high inflation, rapidly rising rents, higher interest rates and escalating housing costs. Comments attributable to Senator Dean Smith: “The HILDA report puts numbers around what Australians are experiencing every day — household budgets stretched, housing increasingly unaffordable and too many young Australians watching the dream of independence and home ownership disappear over the horizon.” “The Albanese Government has been unable to get inflation and cost-of-living pressures under control, leaving Australians paying the price through higher household bills, higher rents and greater pressure on mortgage repayments.” “Australians are working harder but their earnings have not kept pace with the rising cost of housing and other essentials, with record employment failing to deliver greater financial security.” “When 18 per cent of Australians are experiencing food insecurity and almost one in four private renters are in housing stress, there can be no pretending the cost-of-living crisis is over.” “The failure to address Australia’s housing affordability crisis is changing the lives of an entire generation, with half of 18 to 29-year-olds now living with their parents.” “The Albanese Government promised cheaper living costs and more affordable housing, but Australians have instead endured high inflation, rapidly rising rents and housing costs that have placed enormous pressure on household budgets.” “Australians can do everything expected of them — get an education, find a job and work hard — and still struggle to afford rent, meet a mortgage or save enough to leave home.” “Australia cannot accept a future where an entire generation works harder, pays more and waits longer to achieve the security and independence their parents took for granted.” ENDS  

WA FIRST HOME BUYERS BORROW $6.6 BILLION SINCE EXPANSION OF 5% DEPOSIT SCHEME

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA 21 September 2026 MEDIA RELEASE WA FIRST HOME BUYERS BORROW $6.6 BILLION SINCE EXPANSION OF 5% DEPOSIT SCHEME Western Australian first home buyers have borrowed a massive $6.6 billion since the Albanese Government expanded its 5 per cent deposit scheme, leaving thousands heavily exposed as house prices fall and interest rates rise. Seasonally adjusted ABS lending figures show that between 1 October 2025 and 30 June 2026, 11,099 WA first home buyers took out $6.60 billion in new owner-occupier loans. The data, commissioned by Western Australian Liberal Senator Dean Smith from the Parliamentary Library, shows first home buyer borrowing surged by more than $1 billion compared with the preceding nine months. In the nine months immediately before the scheme was expanded, WA first home buyers borrowed about $5.58 billion. In the following nine months, that jumped to $6.60 billion — an increase of more than 18 per cent. The Albanese Government expanded the scheme from 1 October 2025, removing income limits, making places unlimited and lifting eligible property price caps to $850,000 in Perth and $600,000 across regional WA. The expansion poured additional borrowing capacity into an already tight housing market as buyers competed for limited supply. Perth’s median house price subsequently surged by more than $150,000 to reach $1 million over the past year. It’s estimated more than 230,000 Australians have accessed the 5% deposit scheme since its commencement in 2020 with Western Australia consistently recording a high uptake of the scheme among the states. But the environment confronting those recent buyers has now changed dramatically. The Albanese Government’s May Budget announced major changes to negative gearing and capital gains tax arrangements designed to put downward pressure on property prices — just months after expanding a policy that boosted first home buyer purchasing power. Buyer activity has since weakened, with Perth’s median house price falling 3.2 per cent over the August 2026 quarter. That leaves the 11,099 first home buyers who entered the WA market between October and June particularly exposed. Many bought with deposits as low as 5 per cent and now face falling property values, higher mortgage repayments and continuing cost-of-living pressures. Comments attributable to Senator Dean Smith: “More than 11,000 WA first home buyers borrowed $6.6 billion in just nine months after Labor dramatically expanded its 5 per cent deposit scheme.” “The expansion of the 5% deposit scheme was a major driver in enticing more than 11,000 first home buyers into a rising market.” “That was more than $1 billion extra borrowing compared with the previous nine months, poured into one of the tightest housing markets in the country.” “Labor encouraged first home buyers into the market with deposits as low as 5 per cent, only to change negative gearing and capital gains tax months later with the express purpose of making housing cheaper.” “Thousands of young Western Australians who bought in good faith are now caught between falling property values, rising interest rates and enormous mortgages.” “For a first home buyer with only 5 per cent equity, even a relatively modest fall in the value of their home can put that equity at risk.” “Labor told Australians its housing policies were working, yet instead, its contradictory policies risk turning the dream of home ownership into a financial nightmare for the very people it promised to help.” ENDS  

PERTH FAMILIES HIT BY NATION’S SHARPEST HOUSING COST SURGE

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA 31 July 2026 PERTH FAMILIES HIT BY NATION’S SHARPEST HOUSING COST SURGE   The latest Consumer Price Index data shows Western Australians have been hit by some of the largest increases in housing, rent and essential household costs anywhere in Australia since the Albanese Labor Government came to office. An analysis by the Parliamentary Library of Australian Bureau of Statistics CPI figures comparing March 2022 with June 2026 commissioned by WA Liberal Senator Dean Smith shows Perth’s overall cost of living increased by 18.9 per cent – slightly above the national increase of 18.6 per cent. The most significant cost pressures have been in housing, with Perth recording a 32.7 per cent increase – the equal-highest increase of any Australian capital and more than five percentage points above the national increase of 27.5 per cent. The cost of buying a new home for owner-occupiers in Perth increased by a staggering 47.9 per cent. This was the largest increase recorded by any capital city and more than 20 percentage points above the national increase of 27.6 per cent. Perth tenants have also experienced the sharpest increase in rental costs of any Australian capital. Rents in Perth rose by 38.5 per cent compared with a national increase of 25.3 per cent, meaning Western Australian renters faced increases more than 13 percentage points above the national average. The pressure extends well beyond housing. Fruit prices in Perth climbed by 39.3 per cent – the largest increase of any capital city and more than eight percentage points above the national figure. Across the broader fruit and vegetables category, prices in Perth increased by 27.2 per cent, once again the highest rise among the capitals and 8.5 percentage points higher than the national increase. Western Australian families have also faced increases of: 50.1 per cent for tobacco; 42.1 per cent for insurance; 35.2 per cent for postal services; 32.8 per cent for eggs; 28.8 per cent for milk; 28.4 per cent for bread; 26.1 per cent for motor vehicle maintenance and repairs; and 21.8 per cent for preschool and primary education. Comments attributed to Senator Dean Smith: “The figures demonstrate that Western Australians are paying substantially more for many of the unavoidable costs of daily life, including shelter, groceries, insurance, education and maintaining a family vehicle.” “Western Australian families do not need to be told the cost of living has increased – they see it every time they pay the rent, visit the supermarket or open an insurance renewal.” “Under the Albanese Labor Government, Perth housing costs have risen by almost 33 per cent, new dwelling costs by nearly 48 per cent and rents by more than 38 per cent.” “Perth has recorded the largest rent increase of any capital city, with rents rising more than 13 percentage points faster than the national average.” “These are not discretionary expenses that families can simply avoid – they are the basic costs of keeping a roof over their heads, feeding their children and getting to work.” “Labor promised Australians cheaper living costs, but Western Australians are instead paying more for housing, food, insurance, education and essential services.” “Western Australia needs a government that will bring spending under control, reduce inflationary pressure, support new housing supply and allow working families to keep more of what they earn.”   ENDS   Parliamentary Library research on ABS CPI index by capital city March 2022 to June 2026 Capital City % Change March 2022-June 2026 March 2022 June 2026 Perth 18.9 85.95 102.16 Brisbane 19.3 85.38 101.89 Adelaide 20.7 84.91 102.45 Sydney 19.1 85.91 102.28 Hobart 17.0 87.44 102.17 Melbourne 17.4 86.63 101.66 Canberra 16.6 87.46 101.96 Darwin 16.5 87.66 102.17 Australia 18.6 86.05 102.17   Parliamentary Library research on ABS CPI data March 2022 to June 2026 – revealing where Perth recorded the fastest increase of any capital city and the national average in these expenditure items. ITEM Perth Increase Next Highest Capital Australia Increase New Dwelling purchase by owner- occupants 47.9 Adelaide 41.7 27.7 Rents 38.5 Brisbane 30.7 25.3 Housing 32.7 Adelaide 32.7 27.5 Fruit 39.3 Darwin 34.9 31.0 Fruit and Vegetables 27.2 Adelaide 22.4 18.7   Parliamentary Library research on ABS CPI index data March 2022 to June 2026 recording Perth increases against national average by expenditure items. ITEM   Perth Increase Australia Increase Bread 28.4 27.9 Vegetables 17.1 10.1 Beef and veal 13.2 13.1 Pork 13.7 13.7 Lamb and goat 12.6 12.3 Poultry 14.3 13.3 Wine 5.3 4.6 Tobacco 50.1 47.5 Garments for infants and children 11.6 7.0 Footwear for infants and children 7.0 3.1 Furnishings, household equipment and services 9.5 8.9 Furniture 7.6 4.9 Childcare 7.8 5.9 Postal Services 35.2 35.2 Holiday travel and accommodation 20.2 18.3 Preschool and primary education 21.8 13.6 Motor vehicles 7.5 6.1    

LABOR’S EXPANDED FIVE PER CENT DEPOSIT GAMBLE PUTS THOUSANDS OF YOUNG WA FAMILIES AT RISK OF NEGATIVE EQUITY

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA   24 July 2026 MEDIA RELEASE   LABOR’S EXPANDED FIVE PER CENT DEPOSIT GAMBLE PUTS THOUSANDS OF YOUNG WA FAMILIES AT RISK OF NEGATIVE EQUITY   The Albanese Government has recklessly encouraged thousands of young Western Australians to take on record levels of debt with almost no equity leaving many first-home buyers in Perth’s outer suburbs dangerously exposed to negative equity as the housing market weakens. The artificial demand created by Labor’s expanded five per cent deposit scheme – known as the ‘5% Deposit Scheme’ – has fuelled a surge in first home buyer activity, with ABS lending data showing lending to first-home buyers reached a record high $2.22 billion in the March 2026 quarter. Labor’s 5% Deposit Scheme allows eligible first-home buyers to purchase a home with as little as a five per cent deposit, and eligible single parents and legal guardians with as little as a two per cent deposit, without paying Lenders Mortgage Insurance. New Housing Australia data for 2024/2025 provides a unique insight into where Western Australians are most exposed to the risk of negative equity. In the Greater Perth region, the top ten postcodes with the highest concentration of people accessing scheme guarantees were 6112, 6171, 6056, 6210, 6167, 6061, 6430, 6034, 6107 and 6164. The highest concentration of scheme participants was in Perth’s fast-growing outer suburbs, including Armadale, Baldivis, Kwinana, Ellenbrook, Success, Gosnells – communities where many young families stretched to buy at the peak of the housing market. During 2024/2025, 3,010 home buyers accessed the First Home Guarantee Scheme across the Greater Perth region and a further 161 across regional Western Australia. The median purchase price was $551,000 in Perth, with a median deposit of just $30,000, compared with a median purchase price of $385,000 and a median deposit of $21,000 in regional Western Australia. Those buyers are increasingly exposed as Perth’s housing market cools after reaching record highs, with the latest data revealing a slowdown in Perth property values. Having reached record highs in recent years, the Perth property market is showing clear signs of cooling with the latest Real Estate Institute of Western Australia (REIWA) reporting the number of homes for sale is now 10.3 per cent higher than four weeks ago and 90.4% per cent higher than a year ago. Auction clearance rates have fallen to around 23 per cent while REIWA says the housing market has entered a “wait and see” phase as uncertainty surrounding Labor’s changes to negative gearing and capital gains tax weigh son buying confidence. Cotality has said the property market is now “losing steam” while Morgan Stanley has forecast a five to ten per cent correction in house prices – one of the largest in four decades. Negative equity risks are particularly acute in Western Australia where many first-home buyers entered the housing market after one of the strongest periods of house price growth in Western Australia’s history. In Armadale—one of the suburbs with the highest concentration of First Home Guarantee Scheme loans —median house prices have risen by around 161 per cent over the past five years, compared with approximately 80 per cent across metropolitan Perth. The average owner-occupier home loan in Western Australia exceeded $700,000 for the first time in the March 2026 quarter increasing from $457,000 to $703,000 in just four years. First home buyer lending in Western Australia hit a record $2.23 billion in the March quarter 2026 compared to $1.79 billion in March quarter 2022 – a 24.5 per cent increase. The average new mortgage nationally has reached a record $735,000, while households paid $33.6 billion in mortgage interest during the first quarter of 2026. Australians now spend 5.4 per cent of household income on mortgage interest alone – more than the late 1980s when home loan rates peaked at 18 per cent. Labor has created the worst of both worlds – driving demand through its expanded five per-cent deposit scheme while undermining confidence with changes to negative gearing and capital gains tax. Since the establishment of the First Home Guarantee Scheme in 2020, taxpayers have underwritten 99,732 loans nationally with 13,722 or 13.8 per cent of these in Western Australia. Comments attributable to Liberal Senator Dean Smith: “Labor has exposed negative equity risks for first-home buyers in Perth’s outer suburbs by encouraging thousands of young Western Australians to take on record debt with almost no equity.” “First-home buyers in suburbs such as Armadale, Baldivis, Madora Bay, Ellenbrook and Kwinana purchased homes as Perth’s property market experienced extraordinary price growth and are now among those areas most exposed to falling home prices.” “Labor’s negative gearing and capital gains tax changes have destroyed confidence in the housing market and have exposed young families to financial hardship during a cost-of-living crisis.” “The average Western Australian home loan has exceeded $700,000 for the first time, leaving many first-home buyers carrying record debt with little financial buffer.” For a young family who bought with a five per cent deposit, even a modest fall in house prices can wipe out their equity and leave them trapped if unemployment, illness, separation or relocation forces them to sell.” “A responsible housing policy would increase supply, reduce construction costs and restore confidence, not inflate demand, punish investment and leave young Western Australian families carrying all the risk.” ENDS       TABLE 1: Regions with the highest Scheme guarantees issued in 2024–25 Region Guarantees issued Perth South-east 797 Ipswich 1,000 Logan-Beaudesert 1,098 Australian Capital Territory 1018 Sydney Parramatta 850 Melbourne-North-West 1,169 Melbourne-North-East 1,410 Melbourne-South East 2,220 Melbourne-Inner 1,123 Melbourne-West 3,200 Source: Home Guarantee Scheme: Trends and Insights 2024-25 | Housing Australia   TABLE 2: Scheme guarantees issued, top ten postcodes in Western Australia, 2024-25 Post Code Suburbs Number of Guarantees Issued 6112 Armadale, Bedfordale, Brookdale, Doobarda, Forrestdale, Harrisdale, Haynes, Hilbert, Mount Nasura, Mount Richon, Piara Waters, Seville Grove, Wungong 193 6171 Baldivis 158 6056…

RECORD NUMBER OF WESTERN AUSTRALIANS SEEKING EXTRA WORK AS COST-OF-LIVING PRESSURES GROW

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA 10 July 2026 MEDIA RELEASE   RECORD NUMBER OF WESTERN AUSTRALIANS SEEKING EXTRA WORK AS COST-OF-LIVING PRESSURES GROW The latest Australian Bureau of Statistics Labour Force data shows 76,400 Western Australians were looking for more hours of work in May 2026 – the highest number since November 2020 and an increase of 12,500 people since January this year. Western Australia’s unemployment rate has also risen to 4.6 per cent – above South Australia, New South Wales and Queensland – making it harder for workers seeking extra hours to find them. The figures reveal more Western Australians are seeking additional work to keep up with rising household costs after three interest rate rises this year, adding to growing evidence that Labor’s cost-of-living crisis is placing increasing pressure on family budgets. Western Australia’s seasonally adjusted underemployment rate has increased from 3.8 per cent in January 2025 to 4.7 per cent in May 2026—a increase of almost 24 per cent in just sixteen months. While Western Australia’s economy may appear strong on the surface, the latest ABS figures show more households are struggling underneath, with an increasing number of workers unable to secure enough hours to keep pace with rising mortgage repayments, grocery bills, insurance costs, rents and energy prices. The deterioration comes on top of recent OECD and Deloitte Access Economics reports showing Australians have experienced one of the largest declines in living standards across the developed world while the economy enters its weakest sustained period of growth since the early 1990s recession. Together, the ABS, OECD and Deloitte findings paint an increasingly concerning picture of an economy where more Australians are working but falling behind, real wages continue to go backwards, and more workers are seeking additional hours simply to make ends meet. The latest labour market data also comes ahead of the Reserve Bank’s next monetary policy decision, with households continuing to face persistent inflation, elevated mortgage repayments and weak economic growth. While the Albanese Government continues to point to headline employment figures, the latest ABS data demonstrates that the quality and sufficiency of work is deteriorating, with more workers seeking additional hours to support themselves and their families. These figures reinforce concerns that Labor’s high-spending, inflationary policies have failed to deliver stronger living standards or more secure employment opportunities for Australian families. Key figures from the Australian Bureau of Statistics: Since January 2026, the number of Western Australians seeking more hours of work has increased by 12,500 people, rising from 63,900 to 76,400. In May 2026, 40,800 Western Australian women and 35,600 men were seeking more hours of work – the highest figures since October 2020 and November 2020 respectively. Western Australia’s underemployment rate increased from 3.8 per cent to 4.7 per cent in May 2026 – an increase of almost 24 per cent. Underemployment has risen for four consecutive months, from 4.2 per cent in February to 4.7 per cent in May 2026.   Key findings from the OECD Employment Outlook 2026:   Since early 2021, Australia’s real hourly wages have fallen by around 5 per cent – one of the largest declines across the OECD. Australia was one of only 11 OECD countries where the real minimum wage declined between April 2025 and April 2026.   Key findings from Deloitte Access Economics Business Outlook, June Quarter 2026:   Australia’s economy is forecast to grow by just 3 per cent in 2026-27, with the longest stretch of sub-2 per cent growth since the early 1990s recession. Headline inflation is expected to remain above 4 per cent for the rest of the calendar year, while households with an average mortgage are paying around $350 more each month following this year’s interest rate increases.   Comments attributable to Senator Dean Smith:   “These figures show that while more Western Australians may have a job, too many cannot get the hours they need to keep up with Labor’s cost-of-living crisis.”   “More than 76,000 Western Australians are now looking for extra hours of work, the highest number because household budgets are being crushed by rising costs and higher interest rates.”   “The OECD says Australians have suffered one of the biggest falls in living standards in the developed world, Deloitte says economic growth is the weakest in decades, and now the ABS shows more workers cannot get enough work.”   “Headline employment figures mean little when more Australians are underemployed, real wages are going backwards and families are falling further behind.”   “Ahead of the Reserve Bank’s next interest rate decision, these figures are another reminder that Australian households remain under enormous financial pressure after more than four years of Labor.”   “After more than four years in office, the Albanese Government can no longer blame anyone else for weaker growth, higher inflation, falling living standards and a labour market that is leaving more Australians short of work.”   ENDS  

OECD CONFIRMS LABOR’S COST-OF-LIVING CRISIS IS LEAVING AUSTRALIANS WORSE OFF

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA 8 July 2026 MEDIA RELEASE   OECD CONFIRMS LABOR’S COST-OF-LIVING CRISIS IS LEAVING AUSTRALIANS WORSE OFF   The latest report from the Organisation for Economic Co-operation and Development (OECD) has confirmed Australia has experienced one of the sharpest declines in living standards anywhere in the developed world, with Australian families continuing to lose ground under the Albanese Government. The OECD’s Employment Outlook 2026 shows Australians’ real wages have fallen by around five per cent since early 2021—one of the largest declines across the OECD—while workers across the average OECD country have enjoyed improving living standards over the same period. Even more concerning, the OECD forecasts Australian real wages will fall again this year as inflation continues to outpace wage growth, further eroding household purchasing power. The findings come as Deloitte Access Economics warns Australia is facing its weakest sustained period of economic growth since the recession of the early 1990s, with weak productivity, persistent inflation and slowing consumer spending weighing heavily on households. Together, the OECD and Deloitte reports paint a deeply concerning picture of an economy where Australians are working hard but falling behind, families are being forced to stretch every pay packet further, and living standards continue to decline. The OECD also identified Australia as one of only 11 OECD countries where the real minimum wage declined over the past year, placing even greater pressure on lower-income workers already struggling with rising household costs. While Australia continues to enjoy comparatively strong employment and workforce participation, the OECD makes clear these strengths are not translating into higher living standards because inflation continues to erode wage growth and household purchasing power. The report also reinforces the importance of restoring productivity growth and disciplined economic management. Instead of tackling the structural drivers of inflation, the Albanese Government has continued to pursue higher spending, adding pressure to an economy already struggling with persistent inflation. That has made it harder to bring inflation under control and prolonged the cost-of-living pressures facing Australian families.   Key quotes from the OECD’s Employment Outlook 2026: “Since Q1 2021, real hourly wages in Australia have fallen by approximately 5%, representing one of the steepest declines among OECD countries, while the OECD median recorded slight gains over the same period.” “This sustained erosion of purchasing power points to persistent pressures on household incomes…These pressures are compounded by a decline in the real minimum wage between April 2025 and April 2026, placing Australia among only 11 OECD countries where this occurred”   Key quotes from Deloitte Access Economics Business Outlook, June quarter 2026: “Australia’s growth outlook has deteriorated over the past six months … the economy is expected to grow by just 1.3% in 2026-27, with less than 2% annual growth over the next two years – the longest stretch of sub-2% growth since the early 1990’s recession.” “Headline inflation may remain above 4% for the remainder of the calendar year…households with an average-sized mortgage have already needed to find an additional $350 per month following three interest rate increases in 2026.”   Comments attributable to Senator Dean Smith: “The OECD has delivered a damning verdict on Labor’s economic record, confirming Australians have suffered one of the sharpest declines in living standards anywhere in the developed world.” “Australians do not need an OECD report to know they are going backwards, but this this report confirms our living standards have fallen while those in most comparable countries have improved.” “The OECD’s warnings that real wages are expected to fall again this year means Australian families face the prospect of becoming even worse off.” “Labor has a spending problem that has fuelled inflation. Kept prices higher for longer and made life more expensive for every Australian household.” “After more than four years in office, the Albanese Government can no longer blame everyone else for an economy that is leaving Australians poorer.” “Australians deserve an economy where inflation is under control, wages grow faster than prices, productivity is rising, and every generation has the opportunity to enjoy a better standard of living than the last.” ENDS  

RBA RATE HIKE PILES PRESSURE ON LABOR’S MORTGAGE BELT

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER TO THE SHADOW TREASURER SHADOW ASSISTANT MINISTER FOR THE COST OF LIVING LIBERAL SENATOR FOR WESTERN AUSTRALIA   MEDIA RELEASE 8 May 2026   RBA RATE HIKE PILES PRESSURE ON LABOR’S MORTGAGE BELT The Reserve Bank’s latest decision to lift the cash rate by another 0.25 percentage points will heap further financial pressure on Australian families already struggling under the weight of rising mortgage repayments, persistent inflation and higher living costs. With inflation remaining stubbornly high, concerns continue to grow that excessive government spending is making the Reserve Bank’s task harder and keeping interest rates higher for longer. New analysis commissioned by Senator Dean Smith from the Federal Parliamentary Library reveals that the communities most exposed to rising interest rates are overwhelmingly concentrated in Labor-held electorates across Australia’s outer suburban mortgage belt. Using the latest available ABS Census data*, the analysis identifies the 20 suburbs with the highest proportion of households paying off a mortgage. Strathnairn in the ACT recorded the highest concentration, with 85.4 per cent of households servicing a mortgage. It was followed by Denman Prospect in the ACT (78.2 per cent); Brabham-Henley Brook in Perth’s north-east (75.5 per cent); Clyde North-South in Melbourne’s outer south-east (73.8 per cent); Piara Waters-Forrestdale in Perth’s south-east (72.7 per cent); Googong in NSW (71.6 per cent); Flagstone West-New Beith south of Brisbane (70.8 per cent); Eynesbury-Exford on Melbourne’s fringe (70.2 per cent); and the ACT suburbs of Taylor (70.0 per cent), Throsby (69.4 per cent) and Moncrieff (68.8 per cent). The list also includes Marsden Park-Shanes Park in western Sydney and Fraser Rise-Plumpton in Melbourne (both 68.6 per cent); Byford in Perth’s south-east (68.4 per cent); Landsdale in Perth’s north-west (68.1 per cent); Mickleham-Yuroke north of Melbourne (67.7 per cent); Harrisdale in Perth’s south-east (67.2 per cent); Box Hill-Nelson in Sydney’s north-west (67.1 per cent); Aveley in Perth’s north-east (67.0 per cent); and Carramar in Perth’s north-west (66.0 per cent). With the exception of Flagstone West-New Beith and part of Clyde North-South, every suburb identified in the analysis sits within a federal Labor-held electorate. That includes four suburbs in the ACT seat of Fenner, three in Burt in Western Australia, two in Hasluck, and one suburb each in Bean, Holt, Eden-Monaro, Hawke, Chifley, Gorton, Cowan, Calwell, Greenway and Pearce. The Parliamentary Library analysis also examined changes in mortgage repayments between August 2021 and April 2026 — a period covering almost the entirety of the Albanese Government’s term in office. In Strathnairn, median monthly mortgage repayments increased by more than $1,000 over that period, rising from $2,191 in August 2021 to $3,253 by April 2026. Following the Reserve Bank’s latest rate rise, median repayments in Strathnairn are now estimated to have climbed to $3,289 per month — intensifying pressure on households already grappling with rising grocery prices, insurance premiums, electricity bills and fuel costs. The modelling also examined the impact of three additional 25 basis point increases. Under that scenario, median repayments in Strathnairn would rise to $3,383 per month by January 2027 — up $1,192 compared with August 2021. Because the Census benchmark dates back to August 2021, the number of households now exposed to higher repayments is likely substantially larger, reflecting strong population growth and extensive new housing construction in outer metropolitan growth corridors. At the same time, Australians are taking on larger mortgages than ever before, with ABS Lending Indicators showing the average home loan increased by $42,000 in the December quarter alone to reach $736,000. Comments attributable to Senator Dean Smith: “The Reserve Bank’s latest rate rise is another blow for Australian families already under enormous financial pressure.” “Labor’s spending problem is making it harder to get inflation under control and keeping interest rates higher for longer.” “This analysis shows the suburbs carrying the heaviest mortgage burden are overwhelmingly located in Labor-held seats across Australia’s outer suburban growth corridors.” “In suburbs like Strathnairn, mortgage repayments have now surged to an estimated $3,289 a month following the latest rate rise.” “Many families are now paying hundreds — and in some cases more than a thousand — dollars extra every month on their mortgage compared with just a few years ago.” “The Reserve Bank has repeatedly warned that inflation remains persistent and that excessive government spending is adding pressure to the economy.” “Unless the Albanese Government restores fiscal discipline and gets spending under control, Australian households face the real prospect of even higher repayments in the months ahead” ENDS