Cash rate update for December 2025
The Reserve Bank of Australia (RBA) has announced a hold on the cash rate of 3.60% at today’s meeting.
The RBA’s decision this month reflects its ongoing cautious approach as it works to balance inflation control with supporting employment. The latest data shows:
- Headline (annual) inflation has risen to 3.8% in the year to October 2025, up from 3.6% in September 2025, and remains above the RBA’s 2%-3% target range.
- Underlying (trimmed mean) inflation sits at 3.3%, the RBA’s preferred underlying measure, helping highlight that broad-based inflation pressures remain.
By keeping the cash rate on hold, the RBA has left room to observe how economic conditions evolve before determining whether further monetary policy adjustments are needed.
Today’s decision underscores the importance of staying informed about economic developments and considering what they may mean for your financial position.
Whether you’re weighing up a home purchase, refinancing to improve your loan terms, or exploring an investment property, this could be the right moment to reassess your plans.
If you’d like to have a chat about what today’s news means for you and your finances, please don’t hesitate to get in touch.
Any advice contained in this article is of a general nature only and does not take into account the objectives, financial situation or needs of any particular person. Therefore, before making any decision, you should consider the appropriateness of the advice with regard to those matters. Information in this article is correct as of the date of publication and is subject to change.