The QCOSS Living Affordability in Queensland 2024 report seeks to establish whether low-income households in Queensland can afford a basic standard of living.
The report documents the financial stress and deprivation faced by vulnerable households in Queensland. The five model households featured in this report illustrate how various low-income households experience cost-of-living pressures based on their respective incomes and financial circumstances.
Summary of households and budget weekly deficit or surplus
*This is partly because this year the single parent worked part-time (.5)
Note: Majority of households will go back to being ‘worse’ as soon as the short-term cost-of-living relief has ceased.
Among responses to QCOSS’ biannual Cost-of-Living Survey, housing, energy bills, food and transport were the leading categories of increased household costs.
Only two of the five modelled households were able to meet a basic standard of living, with all five modelled households highly vulnerable to financial shocks and indebtedness. None have sufficient income to meet unplanned expenses if an emergency arose as the vast proportion of their income is allocated to meeting essential costs.
Housing costs were the highest expenditure for each household, with all modelled households spending more than 37 per cent of their income on housing.
These households are in housing stress. Unaffordable rent and critically low rental vacancy rates mean that people on low incomes have limited access to affordable and secure housing and are under significant financial stress to maintain tenancies. Some people are forced to stay in unsafe and unsuitable housing because they cannot afford alternative accommodation.
Transport costs are also too high for families on low incomes reliant on private vehicles and petrol for transport.
Rural and remote households are especially affected as access to reliable public transport is limited. Lack of access to transport increases a person’s risk of social isolation.
Due to cost-of-living pressures, households are making detrimental trade-offs. For example, the high costs of food and groceries are driving households to substitute healthy foods with cheaper alternatives, buying less food, or skipping meals, which impacts on their health and wellbeing.
Households are also struggling to meet out-of-pocket costs associated with their child’s schooling in light of competing financial demands.
Households are neglecting their health needs due to out-of-pocket costs, or are enduring extreme financial hardship to cover essential medical expenses.
Concerningly, people are experiencing higher levels of stress, anxiety, and depression due to financial stress, and are facing significant barriers to accessing psychological care.
Government supports and concessions have made a tangible difference to household budgets in 2024, however more targeted and sustained support is required to ensure Queenslanders on low incomes do not live in poverty.