People are in poverty when they lack the resources necessary to live within socially acceptable living standards. Material deprivation research measures the direct outcomes of a lack of economic resources, reflecting lived experiences. 

Using Household, Income and Labour Dynamics in Australia Survey data, the report identifies 23 essential items considered universally as things nobody should have to go without, and measured how many people lack these items because they cannot afford them. The results highlight the impact of economic hardship on access to essential goods and services, and the failure of Australia’s income support system to provide adequate protection against deprivation.

Key findings

1. People with low incomes and wealth, especially those belonging to eight groups – people relying on JobSeeker Payment, Parenting Payment, Disability Support Pension or Youth Allowance, sole parent families, First Nations peoples, those renting social housing or privately – face a much higher risk of experiencing material deprivation.
2. At least 10% of people do not have one or more of five out of 23 essential items.
3. One in six people lack one or more essential item, one in 12 lacked two or more (‘multiple deprivation’) and one in 20 lacked three.
4. People on working-age income support payments face a much higher risk of multiple deprivation.
5. Unemployed households, sole parent families, households renting social housing, and First Nations people also faced a much higher risk of multiple deprivation.
6. People living below the poverty line are more likely to face multiple deprivation, especially those with limited wealth to draw upon.
7. People receiving working-age income support payments face a much greater risk of living below the poverty line and multiple deprivation, and a greater risk of low wealth and multiple deprivation.
8. Sole parent families, people in unemployed households, working-age households not in the labour force and households renting social housing also face a much greater risk of living below the poverty line and multiple deprivation, and a greater risk of having low wealth and multiple deprivation.
9. Living below the poverty line, having low wealth or experiencing multiple deprivation are associated with low financial satisfaction and increased financial stress.
10. People receiving JobSeeker Payment or Parenting Payment, First Nations people and those renting social housing report elevated levels of financial dissatisfaction and stress.