In 2024, 15.5% of children are living in poverty. We can change that. 

A new report from Impact Economics and Policy, commissioned by NCOSS, has found that child poverty costs NSW $60 billion every year. This includes $25 billion of direct costs to governments and the economy and $34 billion of costs related to diminished health and life expectancy due to child poverty.

This is equivalent to 7.8 per cent of Gross State Product.

Scroll down to read the report in full.

Poverty during childhood can have lifelong impacts.

It undermines a child’s future educational attainment, economic productivity, physical and mental health, and safety. Child poverty also creates barriers to opportunity and access, perpetuating a cycle of disadvantage that is difficult to break without targeted interventions.

Poverty affects one in six children in NSW. In some suburbs of NSW, it can be as high as two in five children.

This report is the first time in Australia that the economic costs of child poverty have been systematically quantified.

Drawing on a range of data sources, sector insights and lived experience, this report highlights how the impacts of child poverty can reverberate throughout a child’s life and their association with significant costs in terms of government expenditure and revenue, and economic growth.

Our current systems are failing these children. However, there is hope. Ending poverty is achievable, and we know the solutions.

We must commit to eliminating child poverty, invest in social and affordable housing, empower First Nations communities, expand access to early childhood education, and invest in high-quality supports for children and families. The NSW Government must take bold action to address these issues, while the Federal Government must increase income support payments to lift people out of poverty.

It is time to confront the crisis of child poverty in New South Wales.

We hope that this report serves as a valuable resource for the government and social services sector, inspiring meaningful change and a renewed commitment to improving the lives of children living in poverty.

Read the report below

	The Key Insights report provides an overview of the costs of child poverty across five domains, including education, health, child maltreatment, crime and homelessness. It also shows the five regions with the highest poverty rates and economic costs.
	The full report Lasting Impacts: The Economic Costs of Child Poverty in NSW presents a full picture of the key findings, including a break down of the data and how the costs were calculated. This report is the first time in Australia that the economic costs of child poverty have been systematically quantified.

Other resources

Child poverty estimates by SA4 region

Link to the media release

Social Media Resources to share