Media Release

Another 237,000 Australian children in poverty in four years

ContactsJoanna Holcombe, Research and Industry Engagement Manager
Published17 November 2025

Almost a quarter of a million children have been plunged into poverty in just four years – a 33 per cent increase – prompting advocates across Australia to call for urgent legislation to define and measure the impacts of poverty on childhood wellbeing.

New data from the Child Poverty in Australia 2025 report, released today by the Bankwest Curtin Economics Centre (BCEC) and the Valuing Children Initiative (VCI) for the End Child Poverty campaign, revealed more than 950,000 Australian children are experiencing food insecurity, poor housing conditions, and limited access to education and healthcare driven by rising housing costs, widening inequality and a failure of income support to keep pace with inflation.

The report goes beyond the latest HILDA data, projecting poverty under current economic conditions and factoring in the steep increases in rents and living costs since 2023.

Key Findings:

  • Child poverty has increased by 236,350 children over four years – a 33 per cent increase.
  • The rate has risen by 3.2 percentage points since 2021.
  • The report projects 950,100 children will be living in poverty in 2025, up from 868,350 in 2023. This represents a rise of 81,750 children in just two years.
  • Projected 15.6 per cent of children living in poverty in 2025—up from 15 per cent in 2023.
  • Single-parent households are most affected, with 36.6 per cent living in poverty.
  • This trend confirms the risk of surpassing 1 million children in poverty this year.

Backed by 180 organisations, the End Child Poverty campaign, calls on the Federal Governments to legislate a child-centred definition of poverty, commit to measures that impact children, and systematically reduce child poverty by aligning policy, funding, and accountability mechanisms with the evidence. The Act would consider not just the impacts of income but access to housing, education, health, and social inclusion on children.

Professor Alan Duncan, Director of the Bankwest Curtin Economics Centre, said rents have risen by around a quarter nationally over the past three years, and by nearly a half in some states, so using 2023 data alone would significantly understate today’s child poverty levels.

“Our modelling brings those housing cost pressures forward to give policymakers a far more realistic picture of where families now stand,” Professor Duncan said.

“This rise in child poverty is not a statistical anomaly; it’s the predictable result of housing stress, inadequate income support, and policy drift. Without meaningful intervention, Australia risks crossing the one-million-child threshold within months.”

End Child Poverty Campaign Lead Sarah Quinton said children know when they are living in low-income families and often adjust their behaviours to reduce stress in their family.

“Poverty shapes a child’s life. Some tell us they’re punished for wearing torn uniforms they can’t afford to replace, or sleep on mattresses on the floor. These experiences leave them feeling isolated from friends at a time when they should be building confidence and connections,” she said.

“Australia doesn’t have a child-centred definition of poverty or any way of measuring the wellbeing of children living in income poverty, if we don’t define or measure child poverty, how can we reduce it?”

A table showing the child poverty rate, with the number of children in poverty in Australia and the change from the previous year, 2021-2025.

A table showing the child poverty rate, broken down by states, with the number of children in poverty in Australia, the child poverty rate and the rank, 2021-2025.

A table showing the child poverty rate, broken down by household type, with the number of children in poverty in Australia, the number of children in significant poverty in Australia, and the number of children in severe poverty in Australia, 2021-2025.

Contacts

Sarah Quinton, Valuing Children Initiative, Squinton@valuingchildren.com.au 0439 439 233
Joanna Holcombe, Bankwest Curtin Economics Centre, joanna.holcombe@curtin.edu.au 0414 313 521

The core dataset used is the HILDA Survey, managed by the Melbourne Institute. It tracks household income, employment, housing, wellbeing, and demographic data over time. The report uses Waves 19 to 23 of the survey, covering data from 2019 to 2023.
Poverty is assessed using relative income poverty thresholds: 50% of median equivalised household income (standard poverty line). Additional thresholds at 30%, 40%, and 60% to measure depth of poverty. Income is equivalised using OECD-modified scales to account for household size and composition. Adjustments for Housing Costs Disposable household income is calculated after housing costs, to reflect real financial stress. This includes rent and mortgage payments. Population and Economic Projections Data is uprated to 2025 using: Centre for Population forecasts for demographic changes ABS wage and price indices for inflation adjustments. CoreLogic rental data for housing cost growth.