Member for Blair Shayne Neumann has welcomed the decision of the Reserve Bank of Australia to lower the cash rate again for the second time in three months.

The RBA announced it would cut the national cash rate by 25 basis points to 3.85 per cent – the lowest level since May 2023.

Mr Neumann said the decision delivered much-needed relief for local mortgage-holders.

“This is very welcome relief for families in Blair. We are really pleased to see more help for hard working families with a mortgage,” Mr Neumann said.

“This cut doesn’t mean the job is finished, but it will help. Under Labor, inflation is down substantially, real wages are up, unemployment is low, our economy is growing, and interest rates are falling.

“Our economic strategy has been about getting on top of inflation without mass job losses or growth going backwards and that’s what we’re seeing in our economy.”

Headline and underlying inflation are now both in the RBA’s target band for the first time in almost four years.

This is the first time since records began that the unemployment rate has been in the low 4s and headline and underlying inflation are in the RBA’s target band at the same time.

When the Labor Albanese Government came to office three years ago this week inflation and interest rates were rising and now they’re falling.

For a household with a mortgage of $500,000, this rate cut will save them $79 a month, or $948 per year.

When combined with the cut in February, this household will save $159 a month, or $1,908 per year.