RBA Rate Rise Puts Borrowers Back Under Pressure

RBA Rate Rise Puts Borrowers Back Under Pressure

Mark Stevenson, Managing Director of Evolve Lending & Finance, was quoted in Broker Daily following the Reserve Bank of Australia’s May 2026 decision to lift the official cash rate by 0.25 per cent to 4.35 per cent.

The article reported that the decision marked the third consecutive 25-basis-point rate rise for the year, with the RBA responding to persistent inflation, a firm labour market and rising fuel costs linked to conflict in the Middle East. The RBA said inflation was likely to remain above target for some time, with risks still tilted to the upside.

Mark said the RBA would likely have been hesitant to place further pressure on consumers already dealing with higher fuel prices, but that the Board remained focused on taming inflation. He noted that underlying inflation was still sitting above the RBA’s 2–3 per cent target range and warned that rates could rise further if inflationary pressures continue.

For mortgage holders, the article reinforced the importance of reviewing loan structure, borrowing capacity and repayment resilience in a higher-rate environment. If the latest cash rate increase has affected your repayments, refinancing options or broader lending strategy, contact Evolve Lending & Finance to understand what options may be available.