The Federal Government admits households will feel the sting of the latest interest rate rise with the Reserve Bank increasing its cash rate by 25 basis points to 3.6 per cent.

This is the tenth-rate hike since May last year, in a bid to bring down inflation.

Finance Brokers Association of Australia managing director Peter White told Oliver Peterson on Perth Live the RBA should have tackled the issue of inflation months ago.

“The reserve bank should have moved on this a long time ago… rates could never have stayed as low as they were,” said Mr White.

Press PLAY below to hear how you can save on your mortgage