Labor says rate rise highlights PM’s shredded credentials but Morrison insists it’s part of pandemic journey

Scott Morrison says Reserve Bank has made a very important statement about where we are now in our journey out of this pandemic'

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Labor has seized on the Reserve Bank's decision to lift the cash rate by 25 basis points to argue the prime minister's economic credentials are shredded", while Scott Morrison says the hike reflects Australia's journey out of the pandemic".

Following the bank's decision to lift the official rate from a record low 0.1% to 0.35%, the opposition treasury spokesman, Jim Chalmers, said on Tuesday afternoon that Morrison had overseen a triple whammy" of cost of living pressures: higher interest rates, soaring inflation and stagnant wage growth.