Demand For Almost Every Type of Social Service in Australia Is Increasing

If you feel like you’re struggling in all aspects of life in Australia – financially, mentally, physically, emotionally – you’re not alone. Demand for almost every type of social service in the country has climbed this year alongside the escalating cost of living and rental crises, and young people are getting body slammed with the full force.

Australia’s largest hardship assistance directory, Ask Izzy, broke records in May with more than 128,000 searches logged for food, financial assistance, housing, mental health, legal support and other services. It was the platform’s biggest month since it launched in 2016.

The steepest incline in the last 12 months was seen in searches for food support – more than 800,000 were logged, or a 30 per cent increase on the previous 12-month period – as food costs continue to rise despite sky-high supermarket profits. 

Demand for mental health support clocked the second-highest rise in the last 12 months of about 33 per cent, with more than 315,000 searches compared to 238,000 a year earlier. More than 30,000 were logged in May alone. 

David Spriggs, chief executive of Infoxchange, the not-for-profit tech company that runs Ask Izzy, said the data was evidence of Australia's deepening inequality.

"We can see from the data that more Australians of all ages are seeking emergency hardship assistance,” Spriggs told VICE.

“The cost-of-living crisis is increasing vulnerability and furthering intergenerational disadvantage for young Australians. We need to break these cycles to ensure there are not more children going hungry than ten years ago.” 

Spriggs said although the cost of living crisis was affecting vulnerable people of all ages, young people were copping the biggest blows. More than 25 per cent of Ask Izzy users are under 25, and 62 per cent of them are women. 

“Young people living below the poverty line or requiring emergency assistance are more likely to be impacted by issues like domestic violence and abuse,” Spriggs said. 

Despite the Reserve Bank of Australia’s best efforts to drive inflation down since early 2022, it remains stubbornly high at 5.6 per cent as of May – well above where the RBA hoped it would be. 

On July 1, minimum wage workers and welfare recipients got a pay rise as the Federal Government wanted to appear to be tackling the cost of living crisis in its 2023-23 Budget. But the wage lift was behind the rate of inflation at the time, reflecting a real wage cut, and income support payments in Australia remain hundreds of dollars off being able to lift recipients above the poverty line.

Mission Australia’s chief executive Sharon Callister said after the Budget announcement that there was clear intent from the government to ease the pressure for some, but that what was delivered was painfully inadequate. 

“The lack of a serious move to address poverty by making substantial increases to JobSeeker and other income support payments is a sharp and continuing disappointment,” Callister said.

“More than 270,000 people were helped by homelessness services last year. Aboriginal and Torres Strait Islander people are disproportionately affected by homelessness, making up 20 per cent of the homeless population but 3.2 per cent of the general population. 

“This demands far more Federal Government investment and leadership beyond the existing commitments to significantly boost the numbers of new social and affordable homes.”

The spiking demand for hardship support also spotlights the compounding effects of poverty, as they spill from one area of hardship to many. 

Launch Housing, a Melbourne-based community homelessness support organisation to which Ask Izzy may direct users searching for housing support, has seen demand increase across all its service types this year. 

“We’re experiencing an increase in client contacts at our three crisis entry points in Melbourne,” a spokesperson told VICE. 

“As demand within the capacity we have continues to grow, we’re forced to prioritise those in greatest need over those who aren’t at immediate risk of homelessness.

Operating in a similar manner to the federal Rent Assistance scheme, Launch runs a private rental assistance program that provides financial assistance to people who may be at risk of experiencing homelessness so they can stay in their private rentals with dignity and independence. 

Not only has the number of clients grown but, as rents have skyrocketed since 2022, there has been a 25 per cent increase in the average amount Launch pays towards clients’ rent since this time last year through this program.

“For young people, it can mean they become stuck in increasingly precarious accommodation as they cannot afford to enter the private rental market or move out of home into share households,” Launch’s spokesperson said.

Aleksandra Bliszczyk is a Senior Reporter for VICE Australia. Follow her on Instagram, or on Twitter.