$280 a week: Newstart leaves Lismore residents struggling

COULD you survive on just $280 a week? Thousands of locals are being forced to make major changes to their lives that could affect their health.

Lismore Newstart recipients are struggling to survive. Picture: Contributed

IMAGINE only being able to afford the bare basics to survive while trying to pay your mortgage, keeping your car running and staying healthy on only $280 a week.

That's what Coraki resident Shelly Hayes, 64, has had to deal with for two years since she lost her job as a teacher due to health conditions and had to sign up for the Newstart Allowance.

Cutting down to only two meals a day because she can't afford the extra groceries, Ms Hayes said she struggles to stay afloat and has to use her superannuation to cover costs.

"It was really tough (when I lost my job) and it meant I had to go onto Newstart because I didn't have any choice," she said.

"It was a real shock when you've come from having a good profession to saying you're on Newstart.

"I've been on Newstart since 2017. I've now got a part-time job at a takeaway shop and I use my superannuation.

"If I didn't have my superannuation there's no way I would have survived, I'd be homeless.

"For power bills I've had to be very careful and I've had to use my superannuation just to pay some of those bills."

"I'm a single woman, I have a mortgage and it's been really tough."

Australian Council of Social Service's Raise the Rate campaign coordinator Pas Forgione, with the support of Lismore City Council and the Lismore Chamber of Commerce, are calling for an increase to Allowances.

In Lismore, there are 2,223 people on Newstart and 617 people on Youth Allowance.

SCU student Kashmir Miller is calling for an increase to Newstart allowance. Picture: Aisling Brennan

Currently, anyone wishing to rent a property in Lismore can expect to pay the median weekly rent of $338 for a house or $248 for a unit.

That would mean Newstart recipients would not be able to afford to rent a house on their own because they'd be out of pocket by $138.

And if they were renting a unit, they'd only have $32 after their rent was paid - leaving them with $4.57 a day to live off.

Mr Forgione said the community was calling for an increase because $40-a-day is "unliveable".

"If you're on Newstart and you're on $40 a day, and $40-a-day is not enough money to keep a roof over your head, pay your bills and keep food on the table," he said.

"We cannot have a system where people who are unemployed and trying their hardest to look for work have to get by on $280 a week.

"It's a huge strain on people's ability to look after themselves and look for work."

Raise the Rate campaign coordinator Pas Forgione, SCU student Kashmir Miller, Lismore Chamber of Commerce board member Ellen Kronen, Coraki resident Shelly Hayes and Social Futures Program Manager Cathy Severnty are all calling for an increase to Newstart allowance. Picture: Aisling Brennan

Mayor Isaac Smith said a $75 a week raise to allowances would inject an extra $11.11 million into the Lismore economy.

"We have businesses and retail that needs that sort of input and we know people who are in that part of their life would spend it on essentials," Cr Smith said.

"It's not going to be wasted on things that won't be used, it's going to go into our local business and our community and boost our economy."

Ms Hayes said even a $75 a week increase would be a lifeline in her financial situation.

"It would give you a little bit of a buffer to survive, that you could go out and have a cup of coffee," she said.

"You might be able to have a little extra in your groceries rather than have just the basics."