Australian households are facing renewed pressure from rising unemployment, persistent inflation and the prospect of another interest rate rise. Labor says it is working to bring inflation down and expects conditions to improve, while mortgage holders brace for the Reserve Bank of Australia to raise its official rate on Tuesday.

Markets widely expect the rate to reach 4.6%, a near 15-year high. The article links recent rate increases in the US, Japan and Europe to higher oil and fuel costs amid the US-Iran war; Australian petrol and diesel averaged A$2.37 and A$2.69 per litre respectively in the five largest cities. Inflation was 3.5% in August and could reach 4% in the latest figures due on Wednesday, while Labor has rejected calls to restore a previous fuel-tax cut.