The cost-of-living squeeze Red Shield Report 2024
The cost-of-living crisis – people are struggling to get by
Many Australians are impacted by the rising cost of living, especially those already experiencing financial hardship. This year’s Red Shield research report illustrates many people accessing The Salvation Army’s Doorways emergency relief services are struggling to afford utility bills, groceries and their rent.
These are challenging times. Many are uncertain and worried about their financial circumstances. People are reaching out for help, because for some, the cost-of-living pressures have become too much to manage.
- Cost of living
- Food insecurity
- Financial hardship
Cost of living
The situation is now dire for many respondents. Low-income households and people receiving government benefits are most at risk. Many are unable to afford basic household items. Essentials such as the rent/mortgage, food, utility bills and medical care for their families. It has compelled many households to take drastic steps to cut costs to make ends meet.
[I’m] having to constantly borrow money off friends due to not being able to buy essentials, having to go days without eating so my kids can eat, cancelling specialist appointments that are a requirement for my health due to the cost of living.
Our research findings revealed:
Difficult choices
- 94% said they tried to reduce the cost of their electricity, gas or water bills in the past 12 months
- 22% said they either live in darkness or use candles and torches at night to cut down on their electricity costs
The cost of living has put an ultimate strain on my family’s everyday needs, including the basics such as food, electricity, petrol, internet and schooling.
How the Salvos help
People reported positive outcomes after engaging with Doorways Emergency Relief services:
96% reported improved life circumstances
94% reported improved individual capability
94% reported improved wellbeing or spirituality
Download the complete report in PDF to learn more about the impact of our services.
Download PDF ReportFood insecurity
Many people with limited resources are forced to go without.
In the past 12 months, 91% of respondents experienced a level of food insecurity, unable to afford or access enough food to eat.
… I can't afford the cost of even taking a breath. I cry every day and every night. My stomach always rumbles. I'll feed my housemates before I feed myself if we barely have food because I know I can hold out longer than any of them.
Our research findings revealed:
Empty plates, empty bellies
I feel like I have failed as a parent. Our children see other kids not struggling as much, and that’s hard.
How the Salvos help
People reported positive outcomes after engaging with Doorways emergency relief services:
Salvos Doorways Emergency Relief and Community Services provided nearly 48,000 food parcels for people in need
Salvos Doorways Emergency Relief and Community Services assisted more than 135,000 people in need
Each year, Salvos corps provide more than 240,000 community meals to people in need
Download the complete report in PDF to learn more about the impact of our services.
Download PDF ReportFinancial hardship
Many Australians are struggling to make ends meet, with those on limited incomes left with very little room to manage unforeseen expenses.
Financial hardship was a chronic issue for many respondents. Almost all (98%) respondents reported their household was struggling financially; on average for almost four-and-a-half years
Overall, respondents were left with just over $1 per day after housing costs, essential bills and food.
I feel embarrassed and ashamed. I don’t see friends anymore as I can’t afford to go out with them … I feel worthless. I’m worried all the time about the future. My kids haven’t been able to go out and do things with their friends [on the] holidays and I buy their clothes always second-hand.
Our research findings revealed:
Strapped for cash
It's very difficult as rent has gone up, and I can't afford to put the heating on or eat properly. I use a lot of 2-minute noodles. I've also just had to pay car registration. It's a nightmare for me at the moment.
Miguel’s story
Right across Australia, the cost-of-living crisis is forcing more families than ever into severe hardship for the first time.
Meet Miguel. Until recently, he never found himself in need of assistance. However, an unexpected worsening of his chronic illness meant he was no longer able to work, putting increasing pressure on him to make ends meet. Miguel and his family of four had been able to get by on his Centrelink payments, but as the cost of living and his medical bills escalated, they found themselves simply unable to keep up anymore and began falling deeper into debt. The increasing cost of fuel even made it difficult to ensure his kids could attend school regularly, and with limited friends and family to lean on, the support they desperately needed felt out of reach.
But when he decided to contact the Salvos, he suddenly felt his life moving in the right direction for the first time since his deteriorating health forced him to give up work.
he Salvation Army’s Doorways emergency relief services helped Miguel find a path forward. They offered food, material aid and longer-term support. With the help of the Salvos, “We were able to eat, get back on top of the bills and fill the car with fuel to get the kids to school.
“Things get a bit rocky now and then and it’s hard not working anymore because of my health.” Yet, with the additional support from the Salvos, Miguel feels he has the extra help he needs to manage these challenges.
Miguel says, “[I feel] more confident as a dad and ... able to look after [my] family.
“They have saved my life! Thank God for the Salvos!”
“[I feel] more confident as a dad and ... able to look after [my] family.
How the Salvos help
2022/23 FY
Salvos Moneycare services provided financial counselling to more than 13,000 people
Salvos NILS provided nearly $1M of no interest loans to 600 low-income families to buy essentials such as whitegoods, furniture, computers, or rental bond
Salvos Doorways emergency relief services provided case management support to more than 8200 people and provided nearly 30,000 sessions of care