Report reveals Centrelink payments ‘too low’ to cover basic living costs
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As the cost of living continues to soar, many find it difficult to make ends meet.
This is particularly true for those on Centrelink payments, who are often the most vulnerable members of our community.
A recent report from Anglicare Australia has highlighted the dire situation faced by welfare recipients amid the nation's worst inflationary period since the 1980s, calling for an urgent increase in Centrelink payments to help alleviate the financial strain.
The report painted a grim picture of the reality for households with the lowest incomes.
These individuals and families are spending nearly all of their budgets on essential items, leaving little to no room for discretionary spending.
This means that when prices for necessities such as food, housing, and electricity rise, they are disproportionately affected.
Over the past two years, housing costs have surged by 22 per cent, food and grocery prices by 17 per cent, and electricity costs by a similar margin.
'It has become clear over the past 18 months that many Australians are living too precariously to cope with the shocks brought on by rising living costs,' the report said.
Anglicare Australia's Executive Director, Kasy Chambers, has pointed out welfare recipients borrowing money to cover rent, skipping meals, and forgoing insurance payments to afford the necessities.
'People on low incomes did not create Australia's cost-of-living crisis,' Chambers said.
'They shouldn't be asked to pay a higher price for it. We need a plan to stop the lowest-paid Australians from being pushed deeper into poverty.'
The charity's report called for immediate action from the federal government to raise the rate of all social security payments above the poverty line.
Furthermore, the report advocated for establishing an Independent Social Security Commission.
This body would have the authority to adjust payments as needed rather than relying on the current system, which would have them indexed to the inflation rate.
In a previous story, experts highlighted the complex reality many Centrelink recipients face despite the latest indexation to payments.
They said that a significant number of those on social security were engaged in work that isn’t compensated financially. You can read more about it here.
What are your thoughts on the current state of Centrelink payments? Share your experiences and opinions in the comments below.
This is particularly true for those on Centrelink payments, who are often the most vulnerable members of our community.
A recent report from Anglicare Australia has highlighted the dire situation faced by welfare recipients amid the nation's worst inflationary period since the 1980s, calling for an urgent increase in Centrelink payments to help alleviate the financial strain.
The report painted a grim picture of the reality for households with the lowest incomes.
Anglicare Australia’s report revealed the welfare recipients’ situation amid the worst inflationary period in the country. Credit: Shutterstock
These individuals and families are spending nearly all of their budgets on essential items, leaving little to no room for discretionary spending.
This means that when prices for necessities such as food, housing, and electricity rise, they are disproportionately affected.
Over the past two years, housing costs have surged by 22 per cent, food and grocery prices by 17 per cent, and electricity costs by a similar margin.
'It has become clear over the past 18 months that many Australians are living too precariously to cope with the shocks brought on by rising living costs,' the report said.
Anglicare Australia's Executive Director, Kasy Chambers, has pointed out welfare recipients borrowing money to cover rent, skipping meals, and forgoing insurance payments to afford the necessities.
'People on low incomes did not create Australia's cost-of-living crisis,' Chambers said.
'They shouldn't be asked to pay a higher price for it. We need a plan to stop the lowest-paid Australians from being pushed deeper into poverty.'
The charity's report called for immediate action from the federal government to raise the rate of all social security payments above the poverty line.
Furthermore, the report advocated for establishing an Independent Social Security Commission.
This body would have the authority to adjust payments as needed rather than relying on the current system, which would have them indexed to the inflation rate.
In a previous story, experts highlighted the complex reality many Centrelink recipients face despite the latest indexation to payments.
They said that a significant number of those on social security were engaged in work that isn’t compensated financially. You can read more about it here.
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