For Immediate Release

10 June 2004

Westpac announces increase in Housing Base Rate

Westpac has today announced a 0.35% increase in its Housing Base Rate (HBR), effective from 5pm 11 June for new customers and from July 2 for existing customers.

The change is caused by a lift in the 90-day bill rate, which sets Westpac’s cost of funds. The last time Westpac increased its HBR – from 7.50% to 7.75% on 29 April – the 90-day bill rate was in the 5.50% to 5.60% range.

Following today’s OCR announcement, the 90-day rate is at 6.03%. Westpac has chosen to pass on some of that increase to customers.

The HBR rate change is accompanied by increases in fixed housing lending and term deposit and call/savings rates.

ENDS