A poll* by AMPLIFY has found 73% of Australians feel their money is not going as far as it was a year ago, with more than 40% reporting it is going much less far. In just three months, the number of Australians feeling worse off has increased by 10%.
Compared to January this year, the average Australian household is now around $400 a month** worse off due to higher interest rates and fuel prices alone.
In response, Australians want the federal budget to prioritise cost of living support, ranking it as their number one priority.
Despite global events, housing also continues to be a dominant issue for Australians, ranking third among priorities for the upcoming budget.
These issues are related.
Housing was the largest contributor to inflation over the last 12 months, driven by higher rents and the increased cost of new houses. These drivers are likely to continue given the impacts of the war in Middle East and higher interest rates.
AMPLIFY’s poll also found 70% of Australians are in housing stress – spending more than 30% of their household income on housing. Worse, more than a quarter of Australians are now spending more than 50% of their household income on housing.
“Our research shows no matter their age, housing situation, or employment status, Australians are struggling and their financial situation is worsening,” AMPLIFY CEO Georgina Harrisson said.
“This is showing up in everyday decisions for Australians, from the groceries they buy, the amount of fuel they put in the tank, and the sacrifices that come with higher mortgage repayments and rents. They are feeling constant pressure to decide where to cut back and how to make their money add up.”
“Housing remains one of the biggest drivers of inflation and financial stress and Australians are clearly telling us they want it treated as a priority in this year’s budget,” Ms Harrisson said.
“In the face of cost of living pain and a worsening housing crisis, Australians want the upcoming budget to take bold action and deal with these issues head on."
“Short-term relief won’t fix the long-term structural problems that have led to this housing crisis. Now is the time for bold reform to improve housing supply and affordability otherwise these financial pressures will just continue to build.”
Key findings:
· Nearly three-quarters of Australians (73%) say they are worse off financially than a year ago
· More than 40% say their financial situation is much worse than a year ago
· The proportion of Australians feeling worse off has increased by 10% in just three months
· Cost of living support is the main priority for Australians in the budget with 73% putting it as a top three priority (40.5% ranked it as their top priority)
*National poll undertaken from 19 to 26 March comprising more than 1,900 responses.
**This is based on the average Australian home loan amount of $736,257 as per the Australian Bureau of Statistics and average unleaded fuel prices in Sydney in January compared with March. It assumes a household with a 25 year variable mortgage and two cars (which drive the average monthly kilometres with average fuel consumption). Actual costs will vary depending on individual circumstances.
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MEDIA CONTACT Lucy Bladen, lucy@akinagency.com.au 0438 727 605
About AMPLIFY AMPLIFY is an independent community-led organisation working to rebuild the broken promise to Australians. Our vision is for Australia to become a nation where fairness and prosperity continues to grow and no-one gets left behind. We use cutting edge tools to bring together community, experts and decision-makers to drive change and shape policies. For more information: amplifyaus.org.