Baby Bust a Direct Result of out of Control Living Costs

Australia is experiencing its lowest birthrate since 1935, a troubling trend highlighted by recent data from the Australian Bureau of Statistics. The total fertility rate has plummeted to just 1.5 births per woman, with NSW and Queensland seeing declines of some 6 per cent.

Additionally, the median age for new mothers has risen to nearly 32 years. This concerning data highlights the profound effects of the ongoing cost of living crisis on our communities, raising serious questions about the Albanese government’s support for young women and families. Research from the RedBridge Group earlier this year found that more than half of Australians aged 18-34 are delaying parenthood due to financial constraints.

You can’t have a baby if you can’t afford your mortgage, or you’re struggling to pay your rent. It has been a difficult week for Labor, with the Prime Minister and his government receiving increasing criticism for being out of touch with everyday Australians. This disconnect is particularly glaring in Treasurer Jim Chalmers’ tone-deaf remarks from May, where he urged women to have more children in a cringe-worthy attempt to channel former treasurer Peter Costello.

Rising housing costs are a significant contributor to the declining birthrates, yet this issue remains largely unaddressed by the Labor government at both state and federal levels. While the government touts ambitious housing reforms, its policies seem more focused on perpetuating a cycle of renting than on providing sustainable solutions. Instead of supporting aspiring families, billions are funnelled in the direction of industry super funds and institutional developers.

In NSW, planning approvals have also dropped significantly, with Premier Chris Minns attributing this decline to the very planning system that previously facilitated higher approvals. At the federal level, the government is doing little to instil confidence in women considering starting a family amid persistent inflation and high interest rates.

The government’s ongoing “sugar hit” funding promises, presented as responsible economic management, are already showing all the signs of pre-election manoeuvring. Recently, Anthony Albanese suggested a shift to a universal flat fee structure for childcare subsidies, despite warnings from the Productivity Commission that such a change would primarily benefit the top 25 per cent of income earners.

A flat fee model will come with an $8.3bn annual expenditure bill, prioritising wealthier families. Instead, there should be a focus on enhancing support for lower-income households through more access to childcare places, particularly in peri-urban and regional communities. The Coalition, led by Peter Dutton, will fight to better address the needs of families facing financial challenges and encourage a more positive environment for growing families.

Maria Kovacic is a Liberal federal senator for NSW