RESEARCH BRIEFING
THE COST OF YOUTH HOMELESSNESS IN AUSTRALIA
David MacKenzie (Swinburne University of Technology)Paul Flatau (UWA Centre for Social Impact)Adam Steen (Charles Sturt University)Monica Thielking (Swinburne University of Technology)
APRIL 28, 2016
The Costs of Youth Homelessness in Australia project is an ARC Linkage research project undertaken by the Swinburne University Institute for Social Research, the University of Western Australia and Charles Sturt University, in partnership with The Salvation Army, Mission Australia and Anglicare Canberra & Goulburn.
THE COST OF YOUTH HOMELESSNESS IN AUSTRALIA APRIL 28, 2016
SUMMARY OF KEY FINDINGS AND POLICY IMPLICATIONS ..................................................................... 1 1. BACKGROUND ..................................................................................................................................................... 5 2. Why study the costs of youth homelessness?......................................................................................... 6 3. What do we know about the economic costs of homelessness? ..................................................... 7 4. What did the CYHA Study do? ....................................................................................................................... 7
4.1 The Costs of Youth Homelessness in Australia survey ........................................................ 8 4.2 CYHA Specialist research papers .................................................................................................. 9
5. The profile of study participants ................................................................................................................. 9 5.1 The homeless experience .............................................................................................................. 10
6. Characteristics and experiences of the homeless group ................................................................. 12 6.1 Education – early school leaving ................................................................................................ 12 6.2 Employment – labour market disadvantage ......................................................................... 12 6.3 Family violence – a driver of homelessness .......................................................................... 12 6.4 Out-of-home care .............................................................................................................................. 13
7. Health Issues, Health Service Usage and Costs ................................................................................... 13 7.1 Mental health and homelessness ............................................................................................... 13 7.2 Young people and psychological distress ............................................................................... 14 7.3 Health care utilisation .................................................................................................................... 15
8. Justice Issues, Justice Service Usage and Costs ................................................................................... 18 9. The costs of providing Specialist Homelessness Services assistance to young people ...... 21
9.1 Cost of providing programs to assist young homeless people ...................................... 21 9.2 Cost of providing accommodation and support .................................................................. 22 9.3 The Cost of providing support only .......................................................................................... 25
10. Summary ............................................................................................................................................................. 26 11. Policy Implications - The Economic Costs of Homelessness ......................................................... 26 12. Policy Priority One: Early Intervention.................................................................................................. 28
12.1 Early Intervention with at-risk youth and vulnerable families ..................................... 29 12.2 Early intervention with young people who have been in out-of-home care ........... 31 12.3 Leaving care – an opportunity for early intervention ....................................................... 31 12.4 Early intervention with early school leavers ........................................................................ 32
13. Policy Priority Two: Rapid Rehousing – housing exit pathways from homelessness ........ 33 14. Acknowledgements ........................................................................................................................................ 36 15. References .......................................................................................................................................................... 37 16. Appendix 1 ......................................................................................................................................................... 40 17. Appendix 2 ......................................................................................................................................................... 44
The Cost of Youth Homelessness in Australia Research Briefing
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Youth Homelessness:
Health Issues:
Justice Issues:
The Cost of Youth Homelessness in Australia Research Briefing
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Costs to the community:
Policy Implications
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HOMELESS YOUNG PEOPLE
JOB-SEEKING YOUNG PEOPLE
Number of respondents 298 96
Gender Male 39% 56%
Female 61% 44%
Age Range 13-25 16-25
Median 18 20
Mean 18.57 20.56
Background ATSI 12% 7%
Australian born 85% 87%
Residence NSW 25% 9%
WA 20% 21%
QLD 7% 34%
VIC 25% 24%
SA 20% 12%
ACT 4% 0%
Source: The Costs of Youth Homelessness in Australia Survey - Wave 1.
52
86
32
54
38
18
38
813
7
0102030405060708090
100
Per c
ent Homeless Group
Job-seeker Group
The Cost of Youth Homelessness in Australia Research Briefing
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48%
14%
68%
46%62%
14%
14%
14%
17%
17%24%
37%
11%
23%
15%15%
35%
6% 15%6%
0%10%20%30%40%50%60%70%80%90%
100%
Often
A few times
At least once
Not as far as I know
The Cost of Youth Homelessness in Australia Research Briefing
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5.112
1.067
0.236
0.674
0.011 0.0000.326
0.157 0.101
0.820
6.580
3.171
2.2342.451
2.161
1.675
1.080 1.1080.818 0.951
0
1
2
3
4
5
6
7
Mea
n in
cide
nce
per
pers
on p
er y
ear
Primary support:UnemploymentPrimary support:Homelessness
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$229$77 $21
$1,087
$9 $0$187
$22 $79 $50$294 $230 $199
$3,952
$1,745
$614 $620
$154
$639
$58
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
Mea
n co
st p
er p
erso
n pe
r ye
ar
Primary support:unemployment
Primary support:Homelessness
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Government
cost per incident
(2011-12 $)
PRIMARY SUPPORT: HOMELESSNESS PRIMARY SUPPORT: UNEMPLOYMENT
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Health services
General practitioner consultation
$45 6.580 $294 2% 5.112 $229 8%
Medical specialist consultation $72 3.171 $230 1% 1.067 $77 3%
Nurse or allied health professional (incl. psychologist) consultation
$89 2.234 $199 1% 0.236 $21 1%
Night in hospital $1,612 2.451 $3,952 22% 0.674 $1,087 38%
Night in mental health facility $807 2.161 $1,745 10% 0.011 $9 0%
Night in AOD detox/rehab centre
$367 1.675 $614 3% 0.000 $0 0%
Casualty or emergency $574 1.080 $620 3% 0.326 $187 6%
Outpatient or day clinic $139 1.108 $154 1% 0.157 $22 1%
Ambulance $782 0.818 $639 4% 0.101 $79 3%
Dental services $61 0.951 $58 0.3% 0.820 $50 1.7%
Total average health cost $8,505 48% $1,761 61%
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0.056
3.214
0.405 0.18 0.191 0.011 0.045 0.3140.392
19.189
0.717
2.641.427
2.521
0.4971.294
0
5
10
15
20
25
Mea
n in
cide
nce
per
pers
on p
er y
ear
Primary support:UnemploymentPrimary support:Homelessness
$128
$548
$33 $104 $199$3 $13 $92
$891
$3,270
$59
$2,093
$1,489
$1,038
$145$377
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
Mea
n co
st p
er p
erso
n pe
r ye
ar
Primary support:Unemployment
Primary support: Homelessness
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Government cost per incident
(2011-12 $)
PRIMARY SUPPORT: HOMELESSNESS PRIMARY SUPPORT: UNEMPLOYMENT
Average incidence
per person per year
Cost per person
per year
Percentage of total
health and justice cost
Average incidence per
person per year
Cost per person
per year
Percentage of total
health and justice cost
Justice services
Victim assault/theft reported to police
$2,274 0.392 $891 5% 0.056 $128 4%
Stopped by police in street, visits from justice officer
$170 19.189 $3,270 18% 3.214 $548 19%
Stopped by police in vehicle $83 0.717 $59 0% 0.405 $33 1%
Apprehended by police
Juvenile: $1,032
Adult: $516
2.640 $2,093 12% 0.180 $104 4%
In court $1,044 1.427 $1,489 8% 0.191 $199 7%
Nights in prison Juvenile: $624
Adult: $305 2.521 $1,038 6% 0.011 $3 0%
Nights held by police $292 0.497 $145 1% 0.045 $13 0%
Nights in detention/ remand/ correction
$292 1.294 $377 2% 0.314 $92 3%
Total average justice cost
$9,363 52% $1,121 39%
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Accommodation type
No. of Programs NO. OF CLIENTS COST PER CLIENT
Min Max Mean Min Max Mean
Crisis 5 34 132 86 $6,132 $16,201 $10,270
Short Term 3 8 77 31 $23,299 $31,169 $28,349
Medium Term 5 7 43 24 $10,000 $40,667 $23,530
Long Term 2 59 60 60 $4,333 $4,381 $4,375
Transitional 5 12 230 79 $2,252 $15,591 $5,549
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Accommodation type
No. of Programs COST PER CLIENT COST PER CLIENT PER WEEK
Min Max Mean Min Max Mean
Crisis 5 $6,132 $16,201 $10,270 $789 $3,846 $1,773
Short Term 3 $23,299 $31,169 $28,349 $970 $2,038 $1,652
Medium Term 5 $10,000 $40,667 $23,530 $250 $1,452 $681
Long Term 2 $4,333 $4,381 $4,375 $56 $77 $67
Transitional 5 $2,252 $15,591 $5,549 $21 $268 $113
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Program type
No. of Programs NO. OF CLIENTS AVG. COST PER CLIENT
Min Max Mean Min Max Mean
Support only 4 32 156 74 $2,263 $4,837 $3,793
Program NUMBER OF CLIENTS BEING ASSISTED P.A.
AVG. COST PER CLIENT
A. Referral 2,500 $360
B. Long-term transitional support 150 $6,667
C. Education only 200 $2,075
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Flatau P, Conroy E, Marchant T, Burns L, Spicer B, Di Nicola K, Edwards R., Bauskis A, Athanassios M, Larsen K. 2010. Increasing our understanding of homeless men: the Michael Project. Mission Australia, Sydney.
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Government cost per incident
(2011-12 $)
GENERAL POPULATION PRIMARY SUPPORT: HOMELESSNESS
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Health services
General practitioner consultation
$45 5.452 $244 9% 6.580 $294 2%
Medical specialist consultation
$72 1.123 $81 3% 3.171 $230 1%
Nurse or allied health professional (incl. psychologist) consultation
$89 0.901 $80 3% 2.234 $199 1%
Night in hospital
$1,612 0.688 $1,109 40% 2.451 $3,952 22%
Night in mental health facility
$807 0.117 $94 3% 2.161 $1,745 10%
Night in AOD detox/rehab centre
$367 0.020 $7 0% 1.675 $614 3%
Casualty or emergency
$574 0.288 $165 6% 1.080 $620 3%
Outpatient or day clinic
$139 1.994 $276 10% 1.108 $154 1%
Ambulance $782 0.144 $112 4% 0.818 $639 4%
Dental services $61 1.652 $101 4% 0.951 $58 0.3%
Total average health cost
$2,271 82% $8,505 48%
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Government cost per incident
(2011-12 $)
GENERAL POPULATION PRIMARY SUPPORT: UNEMPLOYMENT
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Health services
General practitioner consultation $45 5.452 $244 9% 5.112 $229 8%
Medical specialist consultation $72 1.123 $81 3% 1.067 $77 3%
Nurse or allied health professional (incl. psychologist) consultation $89 0.901 $80 3% 0.236 $21 1%
Night in hospital $1,612 0.688 $1,109 40% 0.674 $1,087 38%
Night in mental health facility $807 0.117 $94 3% 0.011 $9 0%
Night in AOD detox/rehab centre $367 0.020 $7 0% 0.000 $0 0%
Casualty or emergency $574 0.288 $165 6% 0.326 $187 6%
Outpatient or day clinic $139 1.994 $276 10% 0.157 $22 1%
Ambulance $782 0.144 $112 4% 0.101 $79 3%
Dental services $61 1.652 $101 4% 0.820 $50 1.7%
Total average health cost
$2,271 82% $1,761 61%
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Government cost per incident
(2011-12 $)
GENERAL POPULATION PRIMARY SUPPORT: HOMELESSNESS
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Justice services Victim
assault/theft reported to police
$2,274 0.067 $151 5% 0.392 $891 5%
Stopped by police in street, visits from justice officer
$170 0.322 $55 2% 19.189 $3,270 18%
Stopped by police in vehicle $83 0.827 $68 2% 0.717 $59 0%
Apprehended by police
Juvenile: $1,032
Adult: $516
Juvenile: 0.0016 Adult:
0.0025
$1.38 0.05% 2.640 $2,093 12%
In court $1,044 0.057 $59 2% 1.427 $1,489 8%
Nights in prison Juvenile: $624 Adult: $305
Juvenile: 0.120 Adult: 0.466
$129 5% 2.521 $1,038 6%
Nights held by police $292 0.00015 $0.04 0.002% 0.497 $145 1%
Nights in detention/remand/correction
$292 0.108 $31 1% 1.294 $377 2%
Total average justice cost $496 18% $9,363 52%
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Government cost per incident
(2011-12 $)
GENERAL POPULATION PRIMARY SUPPORT: UNEMPLOYMENT
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Average incidence
per person per year
Cost per person per
year
Percentage of total
health and justice cost
Justice services
Victim assault/theft reported to police
$2,274 0.067 $151 5% 0.056 $128 4%
Stopped by police in street, visits from justice officer
$170 0.322 $55 2% 3.214 $548 19%
Stopped by police in vehicle $83 0.827 $68 2% 0.405 $33 1%
Apprehended by police
Juvenile: $1,032
Adult: $516
Juvenile: 0.0016 Adult:
0.0025
$1.38 0.05% 0.180 $104 4%
In court $1,044 0.057 $59 2% 0.191 $199 7%
Nights in prison Juvenile: $624 Adult: $305
Juvenile: 0.120 Adult: 0.466
$129 5% 0.011 $3 0%
Nights held by police $292 0.00015 $0.04 0.002% 0.045 $13 0%
Nights in detention/remand/correction
$292 0.108 $31 1% 0.314 $92 3%
Total average justice cost $496 18% $1,121 39%
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Associate Professor David Mackenzie, Swinburne Institute for Social Research, Swinburne University of Technology [CYHA Chief Investigator] David Mackenzie is a widely respected and influential social researcher, whose work into youth homelessness and youth issues is recognised in Australia and internationally. In 2007-2008, David was one of the four Commissioners responsible for the National Youth Commission Inquiry (NYC) into Youth Homelessness. The NYC report, Australia’s Homeless Youth, together with the feature documentary The Oasis influenced the development of the Federal Government White Paper, The Road Home. David is the architect of The Geelong Project ‘community of schools and youth services’ model of early intervention and is currently working with the key partners on scaling up this model as a reform for how to more effectively support disadvantaged young Australians. He is the founder and current Chair of Youth Development Australia Ltd (YDA), a not-for-profit charity which is a platform for innovative program development and policy change for young Australians. YDA operates Youthworx, an innovative media training program and media social enterprise that works with homeless and at-risk young people.
Professor Paul Flatau, Director, Centre for Social Impact, The University of Western Australia [CYHA Chief Investigator] Paul Flatau has authored more than 100 publications covering labour economics, the history of economic thought, and the economics of social policy. He has made a significant contribution to the analysis of social and economic outcomes and the impact and cost-effectiveness of programs in a number of fields including poverty, education, youth justice, unemployment, homelessness, and housing. In recent years, Paul has made significant contribution to homelessness research in Australia. His most recent work covers topics such as intergenerational homelessness, homelessness and service integration, the costs of homelessness, youth homelessness and refugees and homelessness.
Professor Adam Steen, School of Accounting and Finance, Charles Sturt University [CYHA Chief Investigator] Adam Steen has more than 25 years experience as an applied finance and accounting researcher in the tertiary education sector, and has worked in a number of leading Australian and international business schools. His applied research on finance and accounting has been published in leading international journals.
Adam is a Fellow of CPA Australia and Chairs the Academic Community of the Society of Trustees and Estate Practitioners (STEP), as well as treasurer and board member of registered charity Youth Development Australia Ltd. He has published a number of reports into youth foyers, family homelessness and researched the link between unemployment and homelessness.
Dr Monica Thielking, Senior Lecturer, Director of Postgraduate Studies in the Department of Psychological Sciences, Swinburne University of Technology [CYHA Research Associate] Monica Theilking is a registered psychologist who has worked in Melbourne secondary schools as a school psychologist prior to entering academia in 2010. Monica’s research and teaching on issues around education equity, school psychology and youth homelessness has had an impact on policy, service delivery and school psychology practice. She is an academic member of several Government and NGO working parties that focus on improving student equity and psychological support services in schools. She is a strong advocate for effective early intervention for young people at-risk of leaving school early and/or becoming homelessness, as well as for integrated service delivery and education equity to improve the educational, social and mental health outcomes for all young people.
RESEARCH BRIEFING
THE COST OF YOUTH HOMELESSNESS IN AUSTRALIA
David MacKenzie (Swinburne University of Technology)Paul Flatau (UWA Centre for Social Impact)Adam Steen (Charles Sturt University)Monica Thielking (Swinburne University of Technology)
APRIL 28, 2016
The Costs of Youth Homelessness in Australia project is an ARC Linkage research project undertaken by the Swinburne University Institute for Social Research, the University of Western Australia and Charles Sturt University, in partnership with The Salvation Army, Mission Australia and Anglicare Canberra & Goulburn.