REPORT SHOWS PERTH OVERTAKES BRISBANE IN COST OF LIVING

A new report comparing the cost of living in Brisbane with other capital cities shows that Queensland’s capital is cheaper to live in than Sydney, Melbourne and Perth, Employment and Industrial Relations Minister John Mickel said today.

“There have been several reports comparing the cost of living, including housing, in Brisbane, with new hotspots around the state, including the mining areas such as Moranbah,” he said.

“And now this report will throw some perspective on the cost of living in the capital cities, comparing housing costs, salaries and other factors impacting on the finances of workers and their families.”

The report was commissioned by the Queensland Department of Employment and Industrial Relations and researched by Dr Paul Henman from the University of Queensland.

“The aim of the research was to estimate equivalent salaries for certain Brisbane salaries that allow the achievement of a similar standard of living in Adelaide, Perth, Melbourne and Sydney,” Mr Mickel said.

Overall, the report found that:
• living in Sydney requires significantly more income than in Brisbane to maintain a similar living standard (averaging about 25% to 35%, but up to 55% in some cases)
• The gap between Sydney and Brisbane to maintain the same living standard has reduced in the last twelve months
• Melbourne households generally require a greater income than Brisbane households to achieve identical living standards (averaging 4% to 10%), and this has remained fairly constant since 2003
• living in Adelaide requires about 5% to 10% smaller incomes than in Brisbane to obtain the same living standard, and this has remained fairly constant since 2003
• the figures for Brisbane and Perth have changed over the past 12 months to the extent that Perth is now generally more expensive a place to live on the same salary (on average 7% higher).
“The results show that despite the housing boom in Brisbane, the situation here is comparable with that in other Australian capital cities – except perhaps Sydney - when it comes to living standards,” Mr Mickel said.
“That of course is looking at the figures from an objective financial viewpoint. If we were to factor in the climate, the people, the jobs growth in this state and all the other things we take for granted in the Sunshine State – why would you want to live anywhere else?”

Media Contacts: Chris Brown on 3224 7349 or Elouise Campion on 3224 6784

University of Queensland Researcher, Dr Paul Henman 3365 1845

7 March, 2007