Over 15 million Australians are living in strict lockdown conditions as of 19th August. Although there are many people who are saving money as a result of staying at home, the cost of living for many is surprisingly only getting more expensive.

Recently published research has demonstrated that 27 percent of Australian households have seen their quarterly energy bills increase since lockdown began, with the average quarterly energy bill now $344.

One of would assume that it would be easier for Australians to save money during lockdown as they are not driving very often and aren’t going out to dinner. However, as a result of more people spending prolonged amounts of time inside, the costs associated with running heaters and air conditioners for an average four hours per day is expected to cost households at least another $233 over winter on top of their quarterly bill.

For Australians who are currently in lockdown and wanting to reduce the amount of money you spend, it would be a good idea to keep a close eye on how much money you are spending online. Make sure you don’t have your lights and heaters on all day if it is unnecessary. It is also important to keep in mind that streaming content on platforms such as Netflix can also drive up your internet bill if you currently don’t have an unlimited plan.

The research also discovered that 15 percent of Australians are spending more money on food delivery during lockdown. Younger Australians and those in NSW the most likely to head online for food delivery. However, a similar proportion say they’re spending less on food delivery.

A slightly smaller proportion 13 percent) admit that their internet bill has gone up compared to two months ago, while 7 percent have seen their bills reduce.

As expected NSW residents are the most likely to have had their internet bills increase.

26 percent of Australia have also seen their spending on online shopping excluding food delivery increase, with more than a third of Millennials and Gen Z Australians increasing their online spending.

The same trend is occurring for NSW residents, with 32 percent admitting they’re spending more online.

Online shopping is convenient but can be too convenient when you’ve been stuck at home for too long. It can be easy to fall into the habit of online shopping for entertainment when you are bored at home.

Fruit and vegetable prices increased 4.7 percent and 5.5 percent respectively in the June 2021 quarter, while beef prices increased 3.6 per cent as a picker shortage and lower beef supply drove up prices.

Australia’s Unemployment Rate Dropped In Latest Lockdown As People Gave Up Looking For Work

The unemployment rate across Australia has dropped during the latest wave of lockdowns, as a large number of unemployed Australians simply gave up looking for work.

Australia’s unemployment rate dropped from 4.9 percent in June to 4.6 percent in July. These figures have been recorded despite there only being an extra 2,200 extra people becoming employed.

This is the lowest seasonally adjusted unemployment rate since December 2008, when Australia was only just beginning to feel the economic impact of the global financial crisis after a massive mining boom.

According to the Australian Bureau of Statistics (ABS), the major reason unemployment dropped was because the large majority of Australians gave up looking for work when their city was in lockdown, with the participation rate dropping 0.2 percentage points to 66 percent.

The survey was conducted in early to mid-July, capturing the initial effects of Sydney’s current lockdown, but not Melbourne’s latest one.

“The labour market changes in New South Wales between June and July had a large influence on the national figures. There were big falls in New South Wales in both employment (-36,000) and unemployment (-27,000), with the labour force reducing by around 64,000 people. In addition, hours worked in New South Wales fell by 7.0 per cent. These changes offset increases in employment and hours in Victoria,” said the ABS’s Bjorn Jarvis.

The team at C&D Restructure and Taxation Advisory are here to help. As part of the Vault Group we can offer the full suite of financial products and advice to help you navigate the business landscape. Schedule a meeting here via Calendly or give us a call on 07 36086800. 

The team at C&D Restructure and Taxation Advisory are here to help. As part of the Vault Group we can offer the full suite of financial products and advice to help you navigate the business landscape. Schedule a meeting here via Calendly or give us a call on 1300 1 VAULT (1300 182 858)

Post Author: Craig Dangar

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