Many Australians admit that the rising cost of living has a negative impact on their mental health.
The Compare the Market survey found that younger Australians were most impacted, with 72% of Gen Z and 56.6% of millennials saying they now experience or have exacerbated anxiety or depression due to money pressure.
Overall, 48.7% of Australians say money pressures have led to the onset or exacerbation of anxiety or depression.
These findings were revealed by the RBA decided to leave interest rates unchanged.
It also comes as the latest cost-of-living index by the Australian Bureau of Statistics (ABS) found increased living costs in the March quarter of this year.
More than one in three Aussies said they slept less due to money stress. Once again, Gen Z was most impacted (48%) followed closely by Gen X (38.2%).
“Cost-of-living impacts all Australians, but it’s clear that the younger generations are feeling it the most – particularly those on lower wages, with student debt, raising a young family, and people who don’t benefit from intergenerational wealth,” Compare the Market economic director David Koch said.
Gen Z struggles most following trends found in other surveys, where the younger generation named instability and cost of living as their biggest concerns.
The research also uncovered that the rising cost of living adversely affected around half (50.2%) of Australians' relationships.
“For many, it feels like an uphill battle to pay rent, bills and groceries, afford to socialise, and try to have savings for a home deposit when almost everything is climbing up,” Koch said.
In the survey, 9% of Australians said they couldn’t afford to socialise as much, that money has put a strain on their marriage or romantic relationship, and that money has strained their relationship with their parents, and 4% said it has strained their relationship with their children.
Koch called upon the federal government to further support Australians battling cost-of-living pressures.
“Immediate bill relief is essential, but the country cannot survive on band-aid solutions,” Mr Koch said.
“It’s critical that the government delivers its election promises and longstanding economic reform to set Australians up for a brighter future.”
