SENATOR DEAN SMITH
SHADOW ASSISTANT MINISTER FOR COMPETITION, CHARITIES AND TREASURY
SENATOR FOR WESTERN AUSTRALIA
MEDIA RELEASE
19 November 2024
CHARITIES AND HUNGRY AUSTRALIANS THEY SUPPORT “CRYING OUT FOR HELP” UNDER LABOR
Labor’s cost-of-living crisis has seen millions of Australians unable to afford food and other basic necessities – leaving charities struggling to meet demand and making a mockery of Prime Minister Anthony Albanese’s promise the nation would be better off under his Government.
The recently released final report of the Senate Select Committee on the Cost of Living, reflecting almost two years of hearings around Australia, paints a shocking picture of hardship for households and charities alike, noting “The sector is crying out for help”.
Leading charities and not for profits told the Committee of the “severe food insecurity” affecting record numbers of Australians, with Anglicare Sydney working with families where parents were forced to go hungry so their children could eat.
Foodbank was among the organisations that shared insights into skyrocketing demand, noting that only 6,000 people searched their website for food relief access in August 2022 compared to 25,000 in May this year.
The rising cost of goods and services has meant that Australians who have never required charitable support are now reaching out for it.
The report confirms that, for the first time, charities’ clients include dual income households and mortgage holders.
A combination of growing mortgage stress, high grocery prices – coupled with shrinkflation – and price increases across many other essential categories, has meant that nobody is safe from Labor’s homegrown inflation.
The report also found that charities and not for profits are themselves operating in a compromised environment, with less donations and greater overheads, as well as reduced access to volunteers.
Reserve Bank Governor Michelle Bullock acknowledged this inflationary challenge for the charity sector in evidence to the Committee, noting that “it’s inflation which is compounding this whole issue…they don’t have the money to buy essentials”.
Labor and its economic mismanagement are responsible for this situation and its effect on millions of Australian households and businesses, so the Albanese Government’s rejection of a practical proposal to boost food donations to charity is particularly outrageous.
One of the key recommendations of the report was that Labor support passage of Senator Dean Smith’s Private Senators Bill, the Tax Laws Amendment (Incentivising Food Donations to Charitable Organisations) Bill 2024.
The Bill would introduce a tax incentive to offset the cost of donating food, providing desperately needed support to hungry Australians and the food relief charities they rely on.
It also assists farmers and other food producers affected by Labor’s tandem cost of doing business crisis.
The report observes “Of all the committee’s recommendations, these are among the most urgent, given people are foregoing food because they do not have enough money to buy groceries and eat.”
But, despite this urgency, and widespread endorsement, the Albanese Government signalled last week that it opposes the Bill.
Disappointing as it is, it’s an unsurprising move from a Government that has consistently failed to address both the cause and effects of a cost of living crisis of its own making.
Quotes attributable to Senator Dean Smith:
“The cost-of-living committee has pulled back the curtains on the struggle and suffering Labor is inflicting on the Australian people, including increasing food insecurity.”
“Our charities and not for profits have never worked harder, or been more needed – this report confirms that – yet the Government ignores its recommendation to support a practical initiative to reduce hunger and support charities.”
“Australian voters must hold the Government to account for its broken promises and the toll its incompetence has taken on households and businesses.”
ENDS