Tree hollows constitute crucial habitats for fauna and can buffer ambient environmental conditions. The latter property should be especially relevant during extreme weather conditions, which are forecast to increase under anthropogenic climate change. We investigated the buffering capacity of Eucalyptus oleosa F.Muell. ex Miq. subsp. oleosa tree hollows in semi-arid southern Australia for 28 days under a wide range of ambient temperatures. Tree hollows provided more stable microclimates than ambient conditions, maintaining lower temperatures and higher humidity during the day and higher temperatures and lower humidity during the night. Daytime buffering capacity increased slightly with depth and we recorded a maximum buffering of 15.1°C below ambient temperatures. Maximum day time buffering capacity increased at a rate of approximately 0.6°C per 1°C increase in ambient temperature, meaning that maximum buffering capacity was reached during the hottest periods. The high buffering capacity of tree hollows suggests that old trees with deep hollows are important in facilitating the persistence of fauna during extreme weather events. Therefore, protecting old-growth forests and vegetation remnants that are rich in tree hollows is an important strategy for mitigating the impact of climate change on fauna.