Stretched Too Far: Children and families surviving the cost of living crisis in Tasmania

Anglicare is calling for more help for Tasmanian families trying to shield their children from the effects of financial hardship.

Stretched Too Far, a new report about cost-of-living pressures was released in Launceston today. It highlights the importance of ensuring all families have suitable and secure housing, nutritious and affordable food, and access to medical care.

“These essentials are crucial for every child’s health and wellbeing and good educational outcomes,” said Kristy Cope, a Policy and Advocacy Officer with Anglicare’s Social Action and Research Centre. “They also build the foundations of resilience that everybody needs as they move into and through adulthood.”

Stretched Too Far reveals the cost-of-living crisis has pushed many low-income Tasmanian families into deeper disadvantage. It also shows a growing number of Tasmanian families seeking help because of mortgage stress.

“Families on low incomes are facing extraordinary hardship and require urgent support,” said Ms Cope. “Data from Anglicare’s financial counselling service this winter showed that 56% of clients were living below the poverty line. This is a 12% increase from five years ago. It’s devastating to find that in 2024 many families are struggling to make ends meet. We found that even dual-income households and households with mortgages were finding it increasingly difficult, and unfortunately this is a trend we expect will continue in the year ahead.

Care-givers work very hard to protect children from the impacts of financial hardship, such as going without meals so that children can have enough to eat, or not seeing a doctor for medical care. We know, for example, that the requirement to meet all the costs of a specialist health appointment upfront is a major barrier.  But shielding children from financial hardship eventually becomes impossible. For too many Tasmanian families, there is simply not enough money to cover the cost of essentials.

Ms Cope said her report also drew on the knowledge and experience of Anglicare’s child and family practitioners.

“Children’s experiences in the first years of life affect the physical architecture of the developing brain,” she said. “Meeting a child’s nutritional needs is an absolute must for healthy brain development, but equally as important is ensuring children have positive, nurturing experiences and safe and stable environments to live in. This is why it’s so important to have programs and policies that address financial hardship and reduce the level of stress on families.”

Stretched Too Far identifies a range of policy responses and targeted supports to assist families. The report’s recommendations include:

• strengthening the regulation of Buy Now Pay Later products and the grocery sector;
• reducing out-of-pocket medical costs for families and increasing access to bulk-billing GP services;
• expanding the Healthy School Lunches program in public schools; and
• raising the rate of income support payments.

“Action to increase the supply of affordable housing in Tasmania is also critical for the safety and wellbeing of children affected by family violence,” said Ms Cope.

If governments make these changes they will result in long-term benefits for children, their families and the Tasmanian community as a whole.

Financial counselling

Any Tasmanian experiencing financial hardship is urged to contact the National Debt Helpline on 1800 007 007. They will be provided with FREE and confidential support by a financial counsellor from Anglicare.