Australian Council of Social Service (ACOSS) Feed Items

Australia’s income support system is leaving large numbers of people below the poverty line, according to new research from the ACOSS and UNSW Sydney-led Poverty and Inequality Partnership released at the start of Anti-Poverty Week. 

The report, Poverty in Australia 2026: Who is affected, revealed three in four people in households relying on Jobseeker and Youth Allowance were below the poverty line.

It also showed half of all people in households relying mainly on income support were living in poverty in 2022–23 – around 1.9 million people, including children. The risk was highest in households relying mainly on JobSeeker Payment (76%), Youth Allowance (73%) and Parenting Payment (71%).

“JobSeeker, Youth Allowance and Parenting Payments are so low they are forcing people into poverty,” said ACOSS CEO Cassandra Goldie.

“Almost two million people relying on government support are being pushed past the brink of destitution in one of the wealthiest countries in the world. This is a policy choice and the government can fix it.

“As interest rate hikes push more people out of paid work, we are urging the government to take direct action both to reduce living costs for low income households and to strengthen the safety net for those who cannot access paid work.”

This table summarises eligibility for social security, other government financial assistance, and Medicare for people who come to Australia as migrants or refugees.

New report tracks economic outcomes for migrants in Australia

New research by the ACOSS and UNSW-led Poverty and Inequality Partnership finds that migrants in Australia have comparatively strong employment outcomes and low rates of poverty, but that outcomes vary considerably for people depending on their pathway as a migrant, refugee or person seeking asylum.

The report, The first 10 years: Employment, income and poverty among migrants and refugees in Australia, highlights concerningly high rates of poverty among people holding humanitarian, family and student visas, and points to the need for greater employment and financial support to support the wellbeing of new migrants.

Unsurprisingly, skilled migrants have the highest employment rates and lowest rates of poverty among the different visa categories.

People who are family migrants are more likely to be disadvantaged in the labour market. Women on family visas face particular barriers to employment participation with a third of women aged between 25 and 44 not in the labour force (33.2%), compared with the average of 20.8%. 

This graph compares the rates of JobSeeker, Youth Allowance and the Pension with average, median and minimum wages since 1990. It shows how JobSeeker (previously Newstart) was at a similar rate to the pension until the different indexation methods meant the payments started to diverge after 2000.

Note: Figures have been adjusted for inflation.

Sources: ACOSS calculation from Australian Bureau of Statistics (various years), Average weekly earnings, Australia; Services Australia (various years), A guide to Australian government payments; Fair Work Commission (various years), Minimum wage, Australia.

Concerns about poverty in Australia are rising as cost-of-living pressures hit hard, with a majority of people agreeing income support payments are not enough to live on, according to new research by the ACOSS and UNSW Sydney-led Poverty and Inequality Partnership.

The vast majority of people surveyed support an increase to JobSeeker, with almost nine in ten (87%) people agreeing that unemployment payments should be enough so people don’t have to skip meals. 

It comes after the Federal Government’s Economic Inclusion Advisory Committee announced its first recommendation is to increase working-age income support payments in the forthcoming Federal Budget. 

The new research, which surveyed 2,520 people, found:

This figure shows that households with the lowest income who rented their homes have spent a growing share on their income on rent in recent years, leaving them with less money for other essentials. Among people rent their homes who were in the lowest 20% income group, the proportion who spent 30% or more of their income on rent (ie, in rental stress) rose from 52% in 2020-21 to 57% in 2022-23.

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People receiving JobSeeker are around five times more likely to experience multiple deprivation than the general population, according to a new report by the Poverty and Inequality Partnership led by ACOSS and UNSW Sydney.

Material deprivation in Australia: the essentials of life found about one in two people relying on JobSeeker and one in three sole parents are experiencing multiple material deprivation, compared to about one in twelve people nationally. 

Multiple material deprivation is when a person lacks two or more essential items because they can’t afford them. Examples include a decent and secure home, a yearly dental check-up and $500 in savings for emergencies. 

The report found eight groups of people are particularly at high risk of multiple deprivation: people relying on JobSeeker Payment; Parenting Payment, Disability Support Pension or Youth Allowance, sole parent families, First Nations people, and those renting social housing or privately.

For example, more than one in three people relying on JobSeeker are deprived of having at least $500 in savings for an emergency, one in three can’t afford home contents insurance and one in five are deprived of dental treatment when they need it. 

The report found:

Families with a female reference person generally have lower incomes than those with a male reference person. The two charts below show the profile of each income group by the gender of the household reference person. 

2019-20

This chart shows that a clear majority (70%) of households in the highest 20% income group had a male reference person.

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2017-18

This chart shows that the majority (71%) of households in the highest 20% income group had a male reference person.

The post Inequality in Australia 2024: Who is affected and how appeared first on Poverty and Inequality.

New research by ACOSS and UNSW Sydney reveals the widening wealth gap between people with the most and least, even as income inequality slows.

The latest report from the Poverty and Inequality Partnership, Inequality in Australia 2024: Who is affected and how? shows the average household wealth of Australia’s highest 10% growing much faster than the lowest 60%, from $2.8 million to $5.2 million (an 84% increase) over the past 20 years. Meanwhile, the average wealth of the lowest 60% has risen from $222,000 to $343,000 (a 55% per cent increase).

Nearly half (45%) of the increase in household wealth since 2003 went to the highest 10% (those with at least $2.6 million) and half of this increase to wealthy older people (over 64 years).

Wealth inequality is also growing among households aged under 35, even though they hold just 5% of all wealth. The average wealth of the highest 10% rose from $928,000 to $2 million (an increase of 126%) since 2003. At the same time, the average wealth of the lowest 60% of younger households – largely excluded from home ownership – rose just $68,000 to $80,000 (39%).

The report also shows wage inequality falling between 2021 and 2023, when unemployment dropped below 4%. During that time, wages growth for the lowest 10% (up 4.9%) outpaced the highest 10% (up 3.3%).

This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the question whether respondents would be able to live on the current rate of unemployment payment

It shows that 58% of people in Australia said they could not live on that amount and 19% were unsure. Only 23% agreed they could live on the current rate. 

Read the full report here: https://bit.ly/communityattitudes2023

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This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the idea that Unemployment payments should be enough so that people don’t have to skip meals.

It shows that 86% of people in Australia agreed that unemployment payments should be enough so that people don’t have to skip meals.

Read the full report here: https://bit.ly/communityattitudes2023

This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the idea that People who receive unemployment payments do not deserve to live in poverty.

It shows that 59% of people in Australia agreed that people who receive unemployment payments do not deserve to live in poverty..

Read the full report here: https://bit.ly/communityattitudes2023 

This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the idea that Poverty is a big problem in Australia today.

It shows that 69% of people in Australia agreed that poverty is a big problem in Australia today.

Read the full report here: https://bit.ly/communityattitudes2023

This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the idea that Unemployment payments should be enough for people to be able to see the doctor when they need.

It shows that 84% of people in Australia agreed that unemployment payments should be enough for people to be able to see the doctor when they need.

Read the full report here: https://bit.ly/communityattitudes2023

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This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the idea that People can find themselves needing unemployment payments through no fault of their own

It shows that 78% of people in Australia agreed that people can find themselves needing unemployment payments through no fault of their own.

Read the full report here: https://bit.ly/communityattitudes2023

This chart shows the responses in our Community attitudes towards poverty and inequality survey 2023 to the idea that Australia should be a country that looks after those in need.

It shows that 83% of people in Australia agreed that Australia should be a country that looks after those in need.

Read the full report here: https://bit.ly/communityattitudes2023