Rising utility, fuel, food and cost of living expenses put enormous pressure on already stretched budgets.

It looked like being a grim Christmas for families and the retail sector until the Reserve Bank played Santa and cut interest rates by 25 basis points.

Unfortunately that didn’t sit well with the big banks who baulked at the decision and had to be shamed into passing on the desperately needed rate relief.

Indications are that we could face the same scenario as soon as next month with the Reserve tipped to again cut interest rates.

Already some banks are indicating they are unlikely to pass on any new rate cut.

If they don’t it will be further proof that the ‘‘big four’’, who between them made billions of dollars profit last year, are greedy, interested only in profits and not their customers’ welfare.

What is heartening though is that the ‘‘big four’’ could soon face pressure of their own with several Japanese lenders considering operating in Australia. It’s likely the foreign banks will be able to offer more competitive rates and command $100billion of the home loan market. That can only be good for competition.