Young movers driving growth in regional areas

4 min read
June 23, 2022
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Regional migration is at a five-year high and young people are driving growth, according to new data from the Commonwealth Bank and the Regional Australia Institute’s Regional Movers Index.

Young people are driving growth in regional areas with more Millennials and Gen-Xers moving out of capital cities, according to new insights from the March quarter Regional Movers Index report.

A partnership between Commonwealth Bank and the Regional Australia Institute (RAI), the report analyses the quarterly and annual trends in people moving to Australia’s regions. For the first time, this quarter’s report not only tracks population movement, but also the demographics of who is moving.

Young people accounted for the largest proportion of movers to the highest growth regional areas, boosting an overall migration trend from capital cities to regional areas, in the 12 months to March 2022.

The number of people moving to regional areas rose by 16.6 per cent to reach a new five-year high in the March quarter, almost doubling pre-pandemic levels.

Regional Australia Institute (RAI) CEO Liz Ritchie said Millennials and Gen-Xers were welcome additions to any regional community as they often bring with them business skills to grow the local community, as well as families who integrate into the local school system and community sporting activities.

“Regional living is attracting more young people and particularly younger families who are looking for bigger living spaces at a cheaper cost,” Ms Ritchie said.

Commonwealth Bank Regional and Agribusiness Banking Executive General Manager Paul Fowler said regional areas are providing attractive local employment opportunities.

“Regional Australia is thriving, fuelled by strong investment across a broad range of industries including agriculture, manufacturing, retail and hospitality,” Mr Fowler said.

“There are labour shortages in many parts of regional Australia and local businesses are attracting skilled and unskilled workers to increase capacity and serve growing demand for products and services.”

Demand for housing is soaring, particularly in South Australia where regions such as Ceduna, Mount Gambier and Port Augusta feature as the top three local government areas with the biggest growth rates in the 12 months to March 2022.

“Mount Gambier is perfectly positioned between Adelaide and Melbourne with wonderful amenities and work opportunities in a diverse range of industries including manufacturing, agriculture, civil construction and wholesale retail,” Mr Fowler said.

There was a significant jump in regional movers to Ceduna of 114 per cent, in the 12 months to March 2022. Growth in Mount Gambier and Port Augusta was also high, at 85 per cent and 74 per cent respectively. In other states, Moorabool in Victoria and Western Downs in Queensland experienced substantial growth rates of 56 per cent each.

Millennials accounted for the highest proportion of regional movers, making up 76 per cent of movers to Port Augusta, 70 per cent of movers to Mount Gambier and 66 per cent of movers to Ceduna.

While Millennials made up the biggest proportion of people moving to Moorabool, it also attracted a relatively high proportion of Gen-Xers at 24 per cent. Western Downs attracted a relatively large share of Gen Alpha and Z, comprising 19 per cent, as well as Baby Boomers, who made up 12 per cent of total movers.

The biggest outflows were from the major cities of Sydney and Melbourne with most people heading to regional NSW, Queensland, and Victoria.

The Gold Coast in Queensland remains the most popular destination overall, attracting 11 per cent of people from major capitals, in the 12 months to March 2022. The next most popular destinations were the Sunshine Coast, Greater Geelong in Victoria, and Wollongong and Newcastle in NSW.

Notes for Editors:

The Regional Movers Index, launched in 2021, tracks movements between Australia’s regions and capital cities, using Commonwealth Bank data from relocations amongst its 10 million customers. This enables early identification of growth trends and flags places emerging as hot spots needing fresh thinking on housing and infrastructure.

Data based on CBA customer address changes over the past 5 years, with prior addresses resided in for at least 6 months. Greater Capital City/Regional Area based on ABS 1270.0.55.001 GCCSA. At least 100 persons must have migrated to an LGA from a capital city in the previous 12 months for an LGA to be include in the report.

For a full copy of the latest Regional Movers Index please click here.

Demographic breakdown:

Gen Alpha and Z: Younger than 24 years
Millennials: 24-40 years
Gen X: 40-56 years
Baby Boomers: 56-75 years
World War II: Older than 75 years

For media enquiries contact:

Amanda Barwick
Regional Australia Institute
0429 142 232
Amanda.barwick@regionalaustralia.org.au

Commonwealth Bank media:
02 9118 6919
media@cba.com.au

Budget Delivers for the Growing Regions

3 min read
March 30, 2022
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The Regional Australia Institute (RAI) has welcomed the Government’s 2022/23 Budget as delivering significant outcomes in several key areas for the regions.

In this Budget, RAI was seeking a suite of policies and measures to ensure regional communities are desirable places to live, work and invest, are an attractive proposition for city dwellers to move to and ultimately well positioned to accommodate growth.

RAI CEO Liz Ritchie said regional population growth leaped again in 2020-21 and the first time on record the population of our capital cities actually declined.

“According to the latest ABS data, in the 12 months to June 2021, the combined capital cities population declined for the first time on record — falling -0.1 per cent from an average of 1.8 per cent per year over the decade prior to the pandemic,” Ms Ritchie said.

“As a nation, we must address these growing pains facing the regions to accommodate the surge in popularity and growth. The Budget is a step in the right direction to support regional communities,” Ms Ritchie said.

As the nation’s leading thought-leader on regional issues, the RAI’s work focuses on guiding the future direction of regional Australia.

Liz Ritchie said the Institute has worked closely with the Government to ensure regional communities are getting the policy support they need to prosper into the future.

“RAI is focussed on rebalancing the nation where we see a more equitable, balanced, sustainable and prosperous nation,” Liz Ritchie said.

Covid has seen a once in a generation shift in people leaving the capital cities to call the regions home, and it’s critical that regional people have access to the services they need to be able to live and work outside capital cities.

RAI research shows one in five residents in the major cities are considering a move to the country, but they are looking for affordable and adequate housing, well paid jobs, and the appropriate liveability standards.

Liz Ritchie said the Budget has a clear theme of providing the support to ensure people who wish to live and work in the regions can do so effectively, particularly in the key areas of housing, skills and cost of living pressures.

“The cost-of-living relief, particularly at the petrol bowser will be welcomed by regional Australians who have to travel large distances and often do not have the option of public transport. In addition, the extra assistance payments will certainly help the lower income earners who live in the regions.

“The RAI welcomes the $17.9 billion increased spending on infrastructure but recognise the challenges of labour shortages and the skills gap, particularly in regions. The Budget has a strong focus on boosting skills and training and this will be made easier with the additional investment for 35,000 apprentices and trainees.

“The expanded home loan guarantee scheme, with the 50,000 guarantees each year with Government backed deposits, will be a significant benefit to young people who are trying to break into the regional housing market, an extension of this policy is advocated for by the RAI in the Building the Good Life – Meeting the demand for regional housing discussion paper being released in Bendigo on today.

“The $480 million upgrade for rural and regional NBN fixed wireless services will provide access and better reliability of internet service which is crucial for rural businesses as well as people wishing to work from home who require reliable digital connectivity. The RAI also welcomes the $812 million expansion of the regional Mobile Black Spots and Regional Connectivity programs.

“RAI is delighted to see the $500 million Regionalisation Fund as a stand-alone regional fund to drive growth in the regions.

“We welcome the Regional Accelerator Program and the regions of national importance concept and believe with a broader regionalisation framework to under pin their roll-out, the concept could play a significant role in the regionalisation of Australia,” Liz Ritchie concluded.