Economic inequality in Australia has reached its highest level in two decades, according to the latest Household, Income and Labour Dynamics in Australia (HILDA) Survey, a long-term study tracking household trends across the country.
The study follows about 20,000 residents across more than 9,000 households. Couples with dependent children remain the most common household type, followed by couples without children. Single-parent households have become less common, a trend researchers attribute to economic pressures in recent years.
For one, childcare costs have risen sharply, with single parents experiencing a 76% increase in expenses per child since 2006, compared with a 48% rise for couples. The study also found that the number of hours children spend in paid care has increased across all age groups.
Despite greater reliance on childcare, household responsibilities remain largely unchanged. Australian men continue to spend an average of 12.8 hours per week on housework, the same amount as in 2002. Report author Dr. Inga Lass said the data reflects a consistent pattern across Australian households.
"We found that women take over a greater share of housework and care than their male partner in almost every employment scenario. The survey also allows us to see that men are overall more satisfied than women are with the current division of unpaid work around the house,” Lass said.
Spending habits have also shifted, with significant increases in mortgage repayments and motor vehicle fuel costs in 2022, reflecting rising interest rates and fuel prices.
At the same time, expenditure on tobacco, education, alcohol, telephone and internet services, car repairs, and children's clothing has declined. Spending on groceries, insurance, and health care has remained relatively stable but has also seen a slight decrease.
Homeownership rates fell between 2002 and 2018, while household debt levels rose steadily over the same period. However, between 2018 and 2022, home ownership slightly increased – the average household debt fell to $138,726.
"The increase in inflation in 2022 is likely to be the main driver of this decline," the report stated.
