The ANZ Roy Morgan Financial Wellbeing Indicator (FWBI) revealed worrying statistics about the impact of difficult economic conditions on the wellbeing of Australians in its December 2022 Quarterly Update (below).
In the lull between COVID peaks and the cycle of rate rises that caused many Australians extraordinary financial pressure, the financial wellbeing trend persisted downward. The financial wellbeing of 1% more people moved from “no worries” to “struggling” and this was seen across all States and Territories, and for both renters and homeowners.
The uncertainty of our economic situation, the mid-year rate rise, and inflation causing the cost-of-living increase contributed to a 1.7% decrease in the overarching Financial Wellbeing Indicator.
That decrease was made up of pessimistic sentiment about one’s current and future financial stability: feeling comfortable fell 4.4%
Different from the prior quarter, the ability to meet everyday commitments fell by 1% showing that the uncomfortable feeling was not just a feeling but a reality faced by Australians tangibly finding it hard to pay for everyday needs.
On a positive note, savings were boosted by institutional support and reduced consumption, behaviour essential to prepare Australians for the future and be resilient.
Now is the time to help our resilient communities, to look toward the future by identifying financial skills, behaviours, and services needed to reverse the trend and put us back on a financially safe and inclusive course.
To read the full ANZ Wellbeing Indicator Report, flip through or download it below or visit the ANZ Financial Wellbeing page by clicking this link.FWI-dec-2022-2