Could household debt levels be a trigger for another round of credit tightening?

Australian household debt levels have increased substantially over the past thirty years, with the ratio of household debt to annual disposable income rising from 68% in June 1990 to a recent peak of 188.5% in June 2019.  Since June last year, the ratio has reduced slightly to 185.0%.  

Most of the debt held by households is housing debt, which comprises around 76% of overall household debt.  Thirty years ago housing debt comprised a much smaller 46% of overall household…