The high cost-of-living significantly impacts not only how young people spend their income but also how government spends on poverty-stricken communities. Businesses are called upon to play a bigger role to help with poverty alleviation and keep the economy pumping.
The cost of living impacts youth
New research shows the cost of living has a hard knock-on effect on young Australians leaving the nest, but this is not stopping them from splurging. Data from CommBank iQ shows young Australians are still buying essentials but, surprisingly, are still spending on entertainment.
The research shows that the youth are not cutting back on travel and other luxuries – contrary to what others are doing. It’s found that travel grew above inflation by 8% and entertainment by 9%.
People under 40 are more impacted by the crisis, mostly who have young families. Older Australians are living more comfortably, but not as those between 25 and 29 years of age.
Government has ‘lost control’ over cost-of-living
Former UK prime minister Gordon Brown argues in an open letter in The Guardian that “mental illness, attempted and actual suicides [are] some of the hidden injuries of poverty that traditionally remain behind closed doors and are also on the rise.”
Brown states that the poverty levels are spiraling out of control, so much so that he calls it an “increasing epidemic of poverty.” He uses a recent survey to emphasize his point about the massive burden on the government. Teachers are reporting problems with personal hygiene becoming a huge factor in schools.
According to the Joseph Rowntree Foundation, more than a million children are considered destitute, lacking access to food and shelter. This has a significant bearing on the state.
Business sector called for help
Companies, including Amazon, are refusing to be mere bystanders in this crisis. The giant e-commerce platform has helped 150,000 families in the UK in need. With this campaign, households received 1.5 million essential goods for free. This is through its Multibank charity initiative.
Amazon founded it last year in partnership with Brown and local businesses with suppliers in the UK. The purpose is to donate goods to impoverished people from one dedicated warehouse.
Multibank operates as a “click and collect” service for over a thousand local charities and professionals, which include teachers and social workers. They access goods from the warehouse in Lochgelly to help people in need.
The process is made easy for sellers with the help of Amazon’s supply chain and operational expertise.
About the author
Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.
