Families face higher mortgage costs following the Reserve Bank's decision to lift the Official Cash Rate.

“New Zealand can’t afford another three years of National,” Labour finance and economy spokesperson Barbara Edmonds said.

“Christopher Luxon told New Zealanders the cuts, job losses and tough times were necessary to get inflation and interest rates down. Three years later, inflation is above four percent, 171,000 people are out of work, and families are facing higher mortgage costs again.

"The basics haven't got cheaper either. Mince and milk are each up 33 percent and butter is up 88 percent since National came into office. 

"For families already stretched by the weekly shop and power bills, higher mortgage costs will add even more pressure.

“Christopher Luxon and Nicola Willis were quick to take credit when interest rates were coming down. Now they’re going up, they’re doing what they always do and blaming everyone else.

“You can’t claim all the credit when things go your way and none of the responsibility when they don’t.

"The Reserve Bank expects inflation to be above the target band and average real wages to keep going backwards until the middle of 2027.

"The economy isn't working for people. Kiwis are working harder and falling further behind.

"Labour’s number one priority is making New Zealand affordable again, so people can get good jobs, earn better pay and build a future here.

“People have done it tough for long enough. Labour has a plan to invest in better jobs, affordable healthcare and keeping household bills under control,” Barbara Edmonds said.