COVID-19 has negatively impacted the finances for 54% of respondents. As well as loss of income and paid working hours, financial losses have been experienced across savings, investments, and superannuation.
In spite of the loss of income or reduction in paid working hours experienced by many Australians, COVID-19 has had a variable impact on people’s discretionary spend with 18% of people actually reporting greater discretionary spend due to a pause on regular expenses brought on by lockdown (i.e. transport, petrol, childcare fees and their additional activities, going out, dining out etc). 39% report less discretionary spend and 43% state they have the same discretionary spend.
It remains to be seen how personal financial circumstances, economic conditions and overall consumer confidence will affect spending but the negative financial impact on people and households is likely to be further exacerbated in coming months due to the cessation of JobKeeper, winding back of free childcare, increased utility bills due to home quarantine, and end of the 6-month mortgage/rental freeze etc.
- 63% of Australians are pessimistic about the economy and in the most recent survey wave (Wave 13 / 8-12 June) the economic recovery is ranked as the number one challenge ahead for Australia, ahead of a second wave of infection.
- The week-on-week increase in people saying they will resume their regular life (63%) corresponds with the downward trend in concern about COVID-19.
- 1 in 2 people are concerned about being infected
- 2 in 3 people are concerned others close to them will be infected
- 3 in 4 people are concerned about the spread of COVID 19 in the community
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