In 1972 towards the end of a Liberal government that had run from 1959,
Standard Variable Mortgage Interest rates were at 7%

The ALP took over in December 1972.

In Oct 1973 interest rates jumped by 1.38% to 8.38%, and then
jumped again in July 1974 by 2% up to 10.38%

Liberals took power again in Nov 1975, and in Feb 1976 dropped
the rate by 0.5% to 9.88%

By Dec 1978 the rate had come down to 9.13%. But by March 1983
the rate was at 12.5%, and Labor again took power.

This time, Labor dropped the rate by 0.5% down to 11.5% in Jan
1984, before it began to rise again in Apr 1985.

During this term of office, the rate began at 12.5%, hit a high of
17% and then a low of 8.75% before ending at 10.5% in Dec 1994.

Liberals again took power in Mar 1996, and there followed 8
consecutive interest rate drops, totalling 4%, bringing the rate
down to 6.5% in Dec 1998.

Between 1999 and 2000 there were 6 rate increases, totalling 1.55%
bringing the rate to 8.05%

During 2001 there were 6 rate reductions totalling 2%, to bring
the rate to 6.05%

Then, between 2002 and 2007 there were 10 rate increases,
totalling 2.5%, bringing the rate to 8.55%

In 2007 Labor again took power, and the interest rate that they
inherited, of 8.55%, is their lowest on record since June 1974.

No matter what anyone says, John Howard, when he said he would
hold Mortgage Interest rates at record low levels, did actually do
that.

The interest rate at the end of his government WAS a RECORD LOW
LEVEL, compared to the ALP party.

The bottom line is:

ALP 1983 – 1996: a total of 34 interest rate
changes in 13 years, 21 being reductions, and 13 increases, with
a total change being a reduction of 2%

LIB 1996 – 2007: a total of 30 interest rate
changes in 11 years, 14 being reductions, and 16 increases, with
a total change being a reduction of 1.95%

The main difference being that the ALP increased rates at the
beginning, starting at 12.5% going up to 17% at the midpoint of
its term in Government, and then bringing the rates down to 10.5%,
before they finally lost government again.

Liberals however, started at 10.5%, bring the rates down to
6.05% at the midpoint of its term in Government, but then
increasing its rates to 8.55%, before they lost government at the
end of 2007.

The last 4 governments:

1: ALP 1972 – 1975 rates went UP from 7% to 10.38% (up 3.38%)

2: Liberal 1975 – 1983 rates went UP from 10.38% to 12.5% (up
2.12%)

3: ALP 1983 – 1996 rates went DOWN from 12.5% to 10.5% (down
2.00%)

4: Liberal 1996 – 2007 rates went DOWN from 10.5% to 8.55% (down
1.95%)

Rate changes between 1972 and 2007

16 years of ALP saw rates go UP by 1.38%

19 years of Liberal saw rates go DOWN by 0.17%

A minimal difference with Liberals having the slightly better
result, a difference in Liberals favour of just 1.55%.

From November 2007, when ALP regained office……..

…to be continued….