Rate Relief Delayed: Australian Households Face Another Year of High Interest Rates

Interest rates in Australia are unlikely to fall for more than a year, putting pressure on family budgets and prompting calls for restraint from federal spending.

The Reserve Bank of Australia (RBA) may begin cutting rates as early as November next year, but until then, households will continue to feel the strain of four interest rate increases since February.

A survey of 37 economists conducted by The Australian Financial Review found that most believe rates will remain high for at least another year. This is because the job market is expected to weaken before it begins to recover.