TasTalks – Cost of Living Survey Quarter 4 2022
18/8/2023
The results from EMRS’ most recent TasTalks Cost of Living Survey conducted in July show that Tasmanians have had cause to retain a pessimistic view of the economic outlook ahead. Three in four believe that Australia will enter a recession in the next three months.
EMRS Managing Director, Paul Jamrozik, added, “In addition to widespread fears of a recession, the July results showed that 60% of Tasmanian households have less disposable income than 12 months ago, and that the level of household debt has increased for 25% over the past year.”
Tasmanians continue to report high pressures on their households due to the need to increase their spend on non-discretionary items. Food and groceries remained the primary pressure for 84% of those surveyed, and 92% confirmed that their spending on these essentials had increased over the past three months. The majority also expected further increases in the three months to come (89%).
Energy costs were reported as the next main source of pressure, by 56% of Tasmanian households. In July, 78% of Tasmanians said they have been paying more for household energy and power over the past three months, and most believed they were facing additional increases in the next quarter (82%).
Some relief was noted in the cost of transportation, with 38% of private vehicle owners stating that the cost of running their vehicle in July was the same or less than three months ago. Nonetheless, 62% noted that their vehicle running costs had increased over the past quarter.
Throughout 2023, Tasmanians have been consistently underestimating the cost of healthcare goods and services. The TasTalks survey showed that only 49% of respondents expected an increase in their healthcare costs from April to July but, in reality, 65% experienced an increase within that timeframe.
Mr Jamrozik said, “Mirroring the findings of our previous Cost of Living Surveys, housing stress remains a key area of concern. Around one half of mortgagees indicated that they are spending 30% or more of their household income on their loan repayments (49%), and a similar proportion of renters are being forced to devote 30% of their income on rent (47%). This is leaving these householders with little breathing space in which to spend their income on other essential areas of day-to-day life.
“And once more it needs to be stressed that the pressure will not be confined to householders, but also extend to businesses whose customers are having to rein in their spending.”
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Media contact for further information:
Paul Jamrozik
Managing Director
pjamrozik@emrs.com.au