- 8 August 2016
UK Interest Rate Cuts Show RBA Is A Joke
The decision by The Bank of England to cut interest rates from 0.5% to 0.25% shows the RBA in Australia is an international joke with an interest rate setting of 1.50% according to Kevin Young, President of Property Club.
Mr Young said the UK had an unemployment rate of just 4.9% compared to nearly 6% in Australia.
“Despite this, our interest rates are now six times higher,” he said.
“And it also expected all the major financial institutions in the UK will pass on the full rate cut unlike Australia.
“The RBA has presided over world high interest rates and an arrogant banking sector that is dominated by the big four banks.
Young says it is a fact the RBA has the levers to pull that could force the banks to pass on the full rate cut to mortgage holders.
“Property Club supports the call for a Royal Commission into the banking sector but believes the terms of reference should be widened to include the operations of the RBA,” Young said.
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