Looming petrol price hikes resulting from the end of the six-month fuel excise cut will add further strain to already-struggling families.
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Petrol could jump more than 20 cents a litre in the coming days after the cut finished at midnight Wednesday, adding to the increased cost of living and rising interest rates already impacting family budgets.
Salvation Army Ballarat team leader John Clonan said the petrol price rise would likely lead to more people needing food relief and other support.
"It will have an impact across the board ... even in day to day activities like getting the kids to school," Mr Clonan said.
"We anticipate more people will access food relief through the Salvation Army, and access other assistance where needs be if they are paying more money (for petrol) out of their welfare payments or income there's less for food, less for utilities and less for day to day living."
Mr Clonan said demand for support from the Salvation Army in Ballarat was "getting back to pre-COVID levels" with around 90 individuals and families a week needing support which would translate to around 200 to 300 people receiving assistance. He said the petrol price hike would be particularly hard for people who need to travel for medical reasons, especially those who must travel to Melbourne including families with children at the Royal Children's Hospital.
Mr Clonan warned the recent increase in pensions and welfare payments would make little difference to those already struggling who now face a jump in petrol prices.
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"There's been a slight increase in the pension and welfare but it's very minimal and all that will be eaten away with the cost of living. It's not keeping people above the poverty line."
The former coalition government cut the fuel excise by 22 cents per litre to help Australians struggling with the cost of living and soaring prices at the bowser due to the war in Ukraine.
The federal government and Australian Competition and Consumer Commission said petrol prices should not rise immediately, with about 700 million litres of lower-excise fuel already in the system.
"We would look very firmly down on any petrol station that has supplies purchased under the previous arrangement that sees the need overnight to jack the price up 23 cents a litre," said finance minister Katy Gallagher.
- with AAP
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