Salvation Army Ballarat has collected almost 500 signatures on a petition as part of its Kickstart Newstart campaign.

Other welfare organisations have told The Courier the low rate of Newstart and other government allowances combined with a lack of affordable housing was putting pressure on their services.

Uniting Ballarat executive officer Annette Kelly-Egerton said clients were struggling to maintain accommodation and expenses on a Newstart payment with rising housing and living costs.

"There are very few private rentals that are affordable in Ballarat. In the last week there were only about four properties advertised at or under $175 per week," she said.

Most single people without children on the Newstart Allowance receive $273 per week, or $39 per day.

Buying the basics like housing, food, transport, health, energy, and clothing costs a single person a minimum of $433 per week, according to University of New South Wales research.

"The impact of Newstart is people are living on two minute noodles and cups of soup. We see a significant number of people who present for food support," Ms Kelly-Egerton said.

"Newstart hasn't kept pace with the cost of living and hasn't increased in real terms in 24 years. If people don't have a place to sleep and food to eat how can we expect them to get a job?

"Raising Newstart is an important element of getting people back on their feet."

More than half of the people on the Newstart Allowance live below the poverty line, according to the Australian Council of Social Service.

READ MORE: Could you live on $39 per day? Ballarat joins the call to raise the rate

Uniting Ballarat data revealed 558 people on the Newstart Allowance have presented for housing support since July 2018, about 32.4 per cent of all clients.

In the same period 408 clients presenting for housing support were receiving the disability support pension (23.7 per cent), while another 250 clients were receiving a parenting payment (14.5 per cent).

"Housing is crucial and it will be particularly important for the future of a city like Ballarat," Ms Kelly-Egerton said.

"Our rents are rising and there is a lack of property available for people on low income. That will put considerable pressure on organisations like Uniting but could also change the fundamentals of our city."

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Centacare Ballarat chief executive Tony Fitzgerald said 75 to 80 per cent of the organisation's employment service clients receive the Newstart Allowance, while 20 to 25 per cent are on the Youth Allowance.

He said the low rate of the government allowances and a compliance regime regarded as 'excessive' meant clients were constantly feeling worried about the cost of living and pressured into looking for a job, which was harmful to their well-being.

"There has to be a review of Newstart to assist people to better be able to live independently," he said.

"It should at least be set at a level where they can survive and be in a position to, with a clear head, look for jobs.

"Certainly we would encourage all parties, whatever the outcome of the election is, to have a serious look at the level of dollars people get either under Youth Allowance or Newstart because it is well short of where it needs to be.

"Any funding allocations that help providers improve or increase the level of stock of social and affordable housing would help. We just don't have enough housing at the bottom end to cater for a person on a Centrelink income."

Almost three quarters of Australians believe the dole should be increased to cover basic living costs, according to a new poll released this month.

The poll of about 1000 respondents, conducted by Essential Research, found 72 per cent agreed Newstart should be increased to cover basic living costs and to help people search for jobs.

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