Tough times are exactly when we must invest in what matters most.

When things are hard, it’s tempting to tighten our belts and batten down the hatches.

But that’s not how you build a strong, safe, thriving Victoria.

Every Budget tells a story about the state of our State — what we value, what we fear, and what we’re willing to walk past.

Right now, Victoria’s story sits against a backdrop of growing economic inequity and social fragmentation – fuelled by the realities of rising cost of living, the housing crisis, community safety concerns, reverberations of international conflicts and intensifying climate impacts. Our social and economic fabric is under real strain.    

Meanwhile, the public purse is under pressure. There’s lots of talk about debt, budget repair, fiscal austerity and ‘efficiencies’.

In this context, some might say that now is not the time to invest in tackling root causes of entrenched problems like housing insecurity, family violence, climate-related impacts, social cohesion or the sharp edge of poverty. Some might say that’s in the ‘too-hard basket.’

They’d be wrong.

Now is precisely the time for smart investments that prevent social and economic problems from escalating and compounding, or ideally from starting in the first place.

With the political will to prioritise what matters most, we can break vicious cycles of crisis-end spending, avoiding long-term costs through prevention and early intervention.

By investing in what will pay off in the long run, Victorians can have secure housing, good healthcare, and genuine safety and security in their families and communities.

And critical to this is Victoria’s community sector – the fastest growing industry in the State, whose workforce shows up every day for people doing it tough.

Community services are operating under immense pressure, with rising demand, a changing regulatory landscape and a highly feminised workforce carrying the emotional load of the state’s most difficult and complex social issues.

No austerity agenda can fix entrenched problems like housing insecurity, family violence, social cohesion or the sharp edge of poverty.

Our sector deserves respect, fair funding and industry development support to meet the challenges of our times and keep doing what Victorians rely on. 

If we want a stronger, safer, fairer Victoria, we must invest across the whole spectrum of support – from crisis response to long-term recovery – but especially in the early intervention and prevention efforts that stop harm before it takes root. And we must invest in a skilled, flourishing, future-focused community sector that delivers across that spectrum of support.

That is how we stabilise our communities.

That is how we strengthen our economy.

And that is how ensure the things that matter most are never pushed into the too-hard basket.

Juanita Pope
VCOSS CEO

People are hurting. It’s time for a budget focused on care – and the care economy.

A note from VCOSS CEO Juanita Pope

In a time of constrained fiscal conditions and mounting social disunity, there’s one thing most of our state – indeed our country – can agree on: people are hurting.

The current cost of living is placing immense strain on Victorians. Many people are being pushed to the brink, an increasing number skipping meals just to pay the rent.
This is not a new phenomenon – it’s just more visible. Well before the cost-of-living crisis became a media talking point, 800,000 Victorians were living in poverty. The current situation is symptomatic of deep rooted social and economic inequality.

Now is the time for strong, compassionate, smart responses from government. And bold action on poverty and economic exclusion.

Governments make choices about how public funds will be spent. That’s what budgets are for. The choices that government makes – who it chooses to invest in – send a powerful message, especially to people who need support. If decisions are made that prioritise commercial interests over the wellbeing of people, this is not only socially and morally unsound, it’s economically shortsighted.

A truly prosperous economy is one that enables all citizens to thrive – that lifts them up when they are down. It’s an economy underpinned by robust, holistic foundational supports – things like housing, healthcare, good schooling, childcare, community connections and the skills to get a decent job and lead a fulfilling life.

Investing in these foundations – and in the services that provide them – is key to Victoria’s economic and social prosperity. Drip-fed, short term, siloed support will not cut it.

In 2025, Victoria needs a budget that values care and focuses on the care economy. When we invest in care and wellbeing, we unlock the potential for a more resilient, inclusive economy.

The organisations that deliver care and social supports for Australians – including health and human services, children’s early education and community development – represent the largest employing industry in the country. They offer enormous potential for economic and social returns.

As more Victorians turn to care services in hard times, Victoria should invest in the sector that has caring at its core. Investing in the care economy not only generates real jobs, but also builds a solid social foundation – both for Victorians who are hurting right now, and for future generations.

When we invest in care and wellbeing, we unlock the potential for a more resilient, inclusive economy.

Victoria’s investment in the care economy must be approached strategically. We need to ensure support for the workers who make the industry successful and sustainable. Boosted resources for workforce development, core operations and care infrastructure will ensure that the care economy remains a stable, sustainable driver of good jobs, social wellbeing and economic growth. This allows us to tackle both immediate needs and long-term challenges, like the ageing population and the escalating impacts of climate change.

It’s about priorities.

Compassionate and smart policy-making puts social equity and human wellbeing as its central tenets.

It’s time for leaders to return to the basics: alleviate poverty, provide essential services, help people and invest in care that works.

Only when we prioritise these fundamental pillars will we achieve an inclusive, sustainable economy that our society desperately needs.

Juanita Pope
VCOSS CEO