Financial Wellbeing and Capability Activity
The Australian Government, in partnership with community organisations, provides support to eligible individuals and families experiencing financial crises and help build financial wellbeing, financial capability, and resilience for vulnerable people and those most at risk of financial and social inclusion and disadvantage. People can acquire budgeting and financial literacy skills to help navigate through debt and learn strategies to better manage their money and become financially independent through the Financial Wellbeing and Capability Activity.
Services include crisis support, broad financial capability building services, financial counselling and access to microfinance and microenterprise products. Services are free, voluntary and confidential and are delivered by community organisations.
Services provided under the Financial Wellbeing and Capability Activity
- Financial Crisis and Material Aid; and
- Financial Counselling, Capability and Resilience
Financial Crisis and Material Aid
Financial Crisis and Material Aid includes the provision of Emergency Relief and Food Relief.
- Emergency Relief – provides immediate financial and/or material support to people in financial crisis.
- Food Relief – increases emergency relief organisations’ access to a cost-effective supply of food items which is provided to people in need across Australia.
Financial Counselling, Capability and Resilience
Financial Counselling, Capability and Resilience supports include financial counselling, financial literacy education, and access to financial services including microfinance products such as low or no interest loans.
Review of the coordination and funding of financial counselling services across Australia
The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry (Royal Commission) provided its final report to the Governor-General on 1 February 2019. The Treasurer, the Hon Josh Frydenberg MP released the Australian Government’s response to the Royal Commission on 4 February 2019.
The Government is taking action on all 76 recommendations outlined in the Royal Commission’s Final Report. In addition, the Government has committed to additional actions to improve the financial outcomes of Australians. This included undertaking an immediate review of the coordination and funding of financial counselling services that disadvantaged Australians rely on.
On 3 October 2019, Senator the Hon Anne Ruston, Minister for Families and Social Services, released The Countervailing Power: Review of the Coordination and Funding for Financial Counselling Services across Australia. The Government released its response to the review on 25 November 2020.
More information is available at Review of the coordination and funding of financial counselling services across Australia.