Canberra workers are unable to buy food or pay power bills; homelessness is increasing; and cash-starved community services might go belly up, the ACT Council of Social Services (ACTCOSS) told ACT Budget estimates hearings this week.

ACTCOSS CEO Dr Devin Bowles testified that the cost-of-living crisis was continuing. Emergency food relief services see new clients, some of whom were in jobs but unable to pay for food. People sought support to pay their energy and other utility bills.

“We continue to see an increased number of people accessing community services, including for emergency type aid and food aid, including people who are in paid work,” Dr Bowles said.

“We’re continuing to see a large number of people accessing services that they wouldn’t have five years ago and wouldn’t have imagined themselves accessing five years ago.”

More widespread and deepening financial stress increases the need for other services, such as mental health services.

Corinne Dobson, ACTCOSS’s head of policy, said that while payments were helpful, people also need a base of secure, affordable housing. A growing number of people in Canberra cannot access affordable housing.

The community sector is under tremendous pressure in its efforts to assist the community, Dr Bowles said. The cost-of-living and housing crises have increased the number of people accessing services, and many clients require more assistance than they previously would have. 

But Canberra’s population increase is not being matched by investment in the community sector, Dr Bowles said. As a result, many community organisations are in difficult financial situations.

Two CEOs recently told Dr Bowles that they might need to wind up their organisations because of lack of funding.

Canberra Liberals: ACT Government fails to deliver any relief

The Canberra Liberals said that ACTCOSS’s testimony confirmed that Chief Minister Andrew Barr’s budget, which promised to support Canberrans most impacted by the cost-of-living crisis, had failed to deliver any relief for thousands of Canberrans doing it tough.

“What yesterday shows is that those community groups that are out there on the ground are seeing first-hand the impact that the cost-of-living crisis is having on Canberrans,” Canberra Liberals leader Elizabeth Lee said.

“And instead of delivering much needed relief and support for Canberrans doing it tough, Andrew Barr is set to slug them even more taxes and charges; all because he has utterly failed to manage the budget over the past decade.”

Ms Lee stated that Mr Barr’s high-taxing budget increased taxes and charges across the board, including:

• household rates up by between 4.5 and 9 per cent
• vehicle registration fees up by 4 per cent
• drivers licence fees up 4 per cent
• public transport fees up by 3 per cent
• road rescue fees up 4 per cent
• safer Families levy to increase from $50 to $70
• police, fire and Emergency services levy to increase from $375 to $396.

Electricity charges increased 12.75 per cent; water charges by 7 per cent; and sewerage charges by 7 per cent.

“In stark contrast, the Canberra Liberals’ $65 million Cost of Living policy will deliver real and immediate cost of living relief to all Canberrans, with a family of four at least $750 better off,” Ms Lee said.

“The Canberra Liberals will also cap rate increases at 2.2 per cent in the next term of government which will ensure households will be paying, on average, almost $2,000 less in rates compared to the Labor-Greens rates gouge.”

The ACT Government was asked for comment.