CHILD POVERTY COSTS RIVERINA $1.5 BILLION A YEAR

Child poverty in the Riverina is costing the region a hefty $1.5 billion each year, a new report reveals.

More than one in five children in the region are growing up in poverty, facing significant challenges in their lives.

The report, commissioned by NCOSS, highlights the long-term consequences of child poverty, including poor health, lower education attainment, and increased risk of unemployment and homelessness. NCOSS calls for urgent action to address this issue, including increasing income support payments, expanding affordable housing, and investing in early childhood education.

NCOSS chief executive Cara Varian said the total cost of childhood poverty in NSW is $60 billion, eclipsing the annual contributions to the state’s economy from major sectors such as construction ($52.9 billion), manufacturing ($42.3 billion) and mining ($32.5 billion).

“There are more than 7,200 children in poverty in the Riverina,” she said.

 “Child poverty hurts us all - it robs children of their future and steals more than $1.5 billion from the Riverina economy every year.”

 “Children from households living in poverty are three times more likely to also experience poverty in adulthood. We are setting up a cycle of disadvantage.

 “Poverty during childhood has a lifelong impact. These children go on to have poor physical and mental health and earn less at work. They are more likely to be unemployed, homeless or land in the legal system as an adult.

 “We live in one of the world’s wealthiest nations - poverty is preventable and this research shows the immense economic opportunity available to the NSW Government, if it takes the steps necessary to avoid the long-term consequences of child poverty.”

According to Miss Varian, NSW and the Australian Government need to make the following changes to lift families out of poverty:

• • Substantially increase base rates of income support payments, particularly JobSeeker and Parenting Payments (e.g. match rates of the Age Pension), and index them to community living standards.
  • Ensure that a minimum of 10 per cent of all housing is social and affordable housing; further increase Commonwealth Rent Assistance to keep up with private rental rates; and ensure homelessness services are resourced to support everyone who needs help.
  • Commit to joint decision-making to empower First Nations communities in the design and delivery of services, including boosting funding for the Aboriginal Community Controlled sector.
  • Guarantee all children have access to at least three days a week of quality and affordable childcare, with removal of the Activity Test on the childcare subsidy.
  • Invest in high-quality integrated support services for children and families, that help them early in life.

*For this report, child poverty is defined as a child (0 -17 years) living in a household with income less than 50 per cent of the median household’s income (including government benefits, and after tax and housing costs), adjusted for household size.

To read the report, go to ncoss.org.au