The Federal Government cuts announced today come as the latest statistics show a massive jump in the cost of living.
Over the last decade, basic household necessities such as electricity, petrol and vegetables, have risen at more than twice the rate of inflation.
Ashleigh Stevenson reports.
Everyday household necessities like fruit and vegetables dominated a list of the top 10 price rises.
Items that have dropped in price are mostly one-offs such as TVs and sporting equipment.
The Salvation Army has noticed an increase in the number of people reaching out for help.
Major Neil Dickson, Salvation Army: “We’ve had more Queensland families coming to us for assistance in recent years and that’s primarily because of the cost of living.”
Over the past ten years, the cost of the average bag of groceries has increased by 31 per cent.
But groceries aren’t all that’s hurting the hip pocket.
A combination of things are adding up to affect household budgets.
Vox 1: “It’s always going up up up the whole time there’s nothing going down.”
Vox 2: “Everything has gone up, electricity, and all the bills, rent, groceries, so yes.”
Other statistics show half of Queensland’s property owners are in mortgage stress and forking out a third of their income to pay off their home loans.
The figures, collated by Resolution Research, suggest this stress will have a severe impact on the rental market.
Diana Howes, Resolution Research: “We’ve seen in some suburbs median rents grow by over 10 per cent in a quarter. Now statistically that’s very strong and so those are households now we may see living in housing stress.”
Key inflation figures are due to be released on Wednesday.
Ashleigh Stevenson, QUT News