Kevin Rudd admits record low rates are certain to increase after an inflation rise of 2.1%.

The inflation rate has economists tipping a fourth consecutive interest rate rise when the Reserve Bank meets next Tuesday.

Figures from the Australian Bureau of Statistics reveal headline inflation rose 0.5% in the three months to December, for an annual rate of 2.1%.

Mr. Rudd said interest rates would obviously rise again.

He said interest rates had dropped in the wake of the global financial crisis, but the government’s stimulus strategy had helped keep the economy going.

“Australia was the only advanced economy in 2009 not to go into recession,” he said.

JP Morgan economist Helen Kevans said borrowers should prepare for another rate rise.

If you are already facing financial difficulty, and if increasing interest rates could possibly tip you over the edge, you should act quickly to find the financial solution you need. The Australian Lending Centre is a specialist in debt consolidation and a leading supplier of home loans, personal loans, business loans and debt consolidation loans.

At the Australian Lending Centre you’ll find it easy to compare interest rates. Whether you’re looking for a mortgage to buy a home or you need a debt consolidation loan to pay off your credit cards, we offer competitive interest rates for each type of loan.

To enquire about a suitable debt solution that is tailored to your individual circumstances, simply fill in an express enquiry form to your right or call to speak with a debt consultant today on 1300 138 188.