Rates Have Already Risen Three Times This Year — Is Your Business Loan Ready for Another?
Nobody can predict exactly what the RBA will do next. But businesses with variable-rate debt can work out today how another rise would affect them.
Another Rate Rise Is Still on the Table
Businesses have already absorbed three interest rate rises this year, and the Reserve Bank of Australia still has three cash rate decisions left in 2026 — meaning another increase can't be ruled out.
Part of the reason is inflation. Trimmed mean inflation, the measure the RBA watches most closely, has stayed above its 2–3% target range, while demand and consumer spending have also remained relatively strong. For businesses carrying variable-rate debt, that uncertainty makes it hard to know exactly how much breathing room they really have if repayments climb again.
Prepare Rather Than Predict
You can't control what the RBA decides. What you can control is how prepared your business is if it happens. That starts with a simple stress test: working out today how your repayments and cash flow would look at a higher interest rate.
Worth checking now:
How repayments would change at a higher rate
How much breathing room currently exists in cash flow
Whether your current loan structure still suits the business
The point isn't to make changes just because rates might rise — it's to avoid being caught off guard if they do. For some businesses, that might mean locking in more certainty with a fixed or split-rate structure. For others, it might mean simply confirming the current setup can absorb another increase comfortably.
If higher repayments would put pressure on your business, we can review your existing loans and explore whether a different finance structure would be a better fit for where the business is heading.
Fewer Surprises, More Control
Businesses that stress-test their loans ahead of time aren't guessing when rate decisions come around — they already know where they stand. That means fewer surprises, steadier cash flow, and the confidence to keep making decisions based on the business, not on what the RBA might do next.
Frequently Asked Questions
Will the RBA raise interest rates again in 2026?
It's not guaranteed, but it remains possible — the RBA has three cash rate decisions left in 2026, with inflation still running above target.
What does it mean to stress-test a business loan?
It means working out how repayments and cash flow would be affected if rates rose, so you know your breathing room in advance.
Should I fix my business loan rate to avoid future rises?
It depends on your circumstances. We can review your current loans and compare fixed, variable and split options against how your business would cope with higher repayments.
Not sure how a rate rise would affect your business?
We can review your existing loans and explore whether another structure would give you more certainty.
General advice warning: This article contains general information only and does not take into account your objectives, financial situation or needs. Before acting on it, consider whether it's appropriate for you and seek personalised advice. All loans are subject to lender credit assessment and approval, and terms, conditions, fees and charges apply.
