An economic expert says homeowners are disproportionately feeling the pain of the cost of living crisis.

Latest figures from Stats NZ show the average household's cost of living increased 7.2%in the year to June.

The official inflation rate for the period was six percent, but interest payments went up 28%.

New Zealand Initiative Executive Director Oliver Hartwich told Mike Hosking there's been a difference in the cost rises on average between renters and homeowners.

He says the interest rates increase means if someone is renting they will be facing lesser rises in costs.

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