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New research sheds light on link between disasters and poverty across Victoria

Victorian Council of Social Service (VCOSS) 3 mins read
Key Facts:
  • Floods more likely to hit those experiencing disadvantage – and exacerbate it
  • Annual disposable income $22,818 lower in flood-affected areas one year later, compared with similar households elsewhere
  • Government action urgently required to invest in improved risk reduction, preparedness programs and recovery measures

Media release
Friday 20 March, 2026

As communities across Victoria recover from intense flooding and an extreme bushfire season, new research sheds light on the link between socioeconomic disadvantage and disasters, as well as the long-lasting effects on affected communities.

The Ripple Effects report, published by the Victorian Council of Social Service (VCOSS) and University of Melbourne, presents the first major comprehensive quantitative analysis of spatial injustice and the 2022 floods which impacted 63 of Victoria’s 79 local government areas.

The report found that:

  • A majority (59%) of regional flood-affected areas had rates of poverty above the regional average
  • Poverty increased after the floods, with one in five people in affected areas experiencing poverty the following year, as well as a higher risk of depression
  • After the floods, disposable income was $22,818/year lower for households in affected areas compared to similar households elsewhere
  • Affected areas also saw an increase in unemployment and non-participation in the labour force, along with the need for government income support
  • Aboriginal and Torres Strait Islander people as well as culturally and linguistically diverse people were more likely to live in regional flood-affected areas

VCOSS CEO, Juanita Pope, said the report was the first of its kind to provide a comprehensive analysis of spatial injustice, taking community-level impacts into account, such as regional economic impacts and pressure on local service systems.

Spatial injustice refers to the unequal distribution of resources, hazards and opportunities based on location. Research shows that where people live impacts everything from healthcare to access to education. Regional geographies in Victoria often experience spatial injustice, as do some parts of Melbourne.

“This report shows that major disasters affect everyone, but not equally. People experiencing poverty and disadvantage were more likely to live in the hardest-hit areas during the 2022 floods, and this inequity was exacerbated afterwards,” Ms Pope said.

“As climate change drives more extreme weather events, there’s an increased risk that natural disasters will further entrench inequality, poverty and disadvantage across Victoria. This report will help government authorities address and prevent that risk.”

The Ripple Effects report was produced in collaboration with Dr Ang Li and Mathew Toll from the University of Melbourne’s School of Population and Global Health, who conducted a comprehensive analysis drawing on data from multiple sources including Emergency Management Victoria, the ABS Index of Household Advantage and Disadvantage, VCOSS’ Poverty Maps dataset, and the Household, Income and Labour Dynamics (HILDA) Survey.

Dr Li and Dr Toll said the report investigates the social, economic, and health trajectories of exposed communities using a causally focused approach, and highlights the overlap between uneven exposure and uneven vulnerability.

“Spatial injustice in exposure means that those who are most vulnerable in the 2022 Victorian floods were also the ones who were more exposed to the hazard. This report raises questions of climate justice and the need for risk reduction to support the social, economic, and health recovery of exposed communities,” Dr Li said.

Recommendations

The Ripple Effects report includes recommendations for all levels of government on how to prevent the risk of future flood events further entrenching inequality, including:

  • Investing in risk reduction and preparedness programs for people experiencing poverty in high flood-risk areas
  • Supporting First Peoples and multicultural communities to lead emergency preparedness, response and recovery
  • Increasing financial support for people who experience natural disasters, including additional supports to address loss of income and employment during recovery

A full copy of the report, including detailed analysis and recommendations, is available on the VCOSS website.


About us:

The Victorian Council of Social Service (VCOSS) is the peak body for Victoria’s social and community sector.


Contact details:

For more information, media enquiries and interview opportunities, please contact:

VCOSS media
0418 127 153
[email protected]

The University of Melbourne media
+61 3 8344 4123
[email protected]

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