ACOSS is calling on the Federal Government to substantially boost income support payments after it announced small increases due to routine indexation.
Some income support payments including Youth Allowance and Austudy are adjusted for inflation on January 1 each year. Youth Allowance for a single person is only going up by $1.70 a day.
“For people living on these payments, every dollar counts - but indexation alone is not enough,” said ACOSS CEO Cassandra Goldie AO.
“The soaring cost of rent, food, and essentials is driving people on income support payments deeper into poverty.
“People receiving income support are being forced to make impossible choices between eating, paying rent, or accessing healthcare. Routine indexation adjustments barely scratch the surface, and the current rates are completely out of step with the reality of living costs.
“The government must implement a real increase to ensure a liveable base rate - not just a nominal indexation that continues to leave people behind.”
ACOSS is also calling for payments such as Youth Allowance and Austudy to be indexed every six months, like JobSeeker and pensions.
“Young people are being forced to wait 12 months before they see an indexation increase in their payments, even when inflation hits record highs.
“By the time the slight boost arrives, they may no longer be eligible or still enrolled, effectively missing out on income that should have helped keep their heads above water during their studies.”
Dr Goldie said the rate of income support must be lifted to at least $82 a day, in line with the Age Pension.
“The way to end poverty is by raising the rate of income support. One of the world’s wealthiest nations should not be condemning people to poverty.”
Contact details:
Charlie Moore: 0452 606 171
