Australians are largely blaming supermarkets and the increasing cost of groceries for the rise in living expenses, with major grocery chains being labeled as “public enemy number one.”
A new poll conducted by the Australia Institute’s Centre for Future Work revealed that 83% of 1,014 respondents said supermarkets deserve “some blame, or a great deal of blame” for the rising cost of living. Supermarkets, as a focus of public anger, were blamed more than energy companies (82%), banks (73%), and the government (71%).
Six out of ten people said the most visible sign of rising living costs was at the grocery store. Meanwhile, 21% cited utilities, and 7% pointed to transportation.
Lisa Heap, lead researcher at the Centre for Future Work and co-author of the report, explained that the findings reflect Australians’ growing frustration with supermarkets. “These results are critical.
Australians are pointing fingers directly at supermarkets as public enemy number one in the cost-of-living crisis,” Heap said.
When asked about policy areas that could help reduce living costs, 64% of participants also pointed to increasing competition between major supermarkets, specifically Coles and Woolworths. Other areas included lowering utility costs (64%), reducing medical expenses (60%), and accelerating wage growth (58%).
Heap added that the research highlights the “supermarket monopoly under voters’ noses.”
She said, “Nearly two-thirds of voters see it as essential to easing cost-of-living pressures. Australians are now demanding action on supermarket competition with the same urgency they have for reducing utility costs and increasing wages.”
“There are likely to be political rewards for action that increases competition among supermarkets.”
This research follows the Albanese government’s recent crackdown on large retailers, with moves toward implementing a mandatory grocery code that could impose multimillion-dollar penalties on companies violating the rules.
The announcement coincided with the Australian Competition and Consumer Commission (ACCC) taking legal action against Coles and Woolworths over allegations they increased prices on more than 500 items before promoting misleading discounts higher than their original prices.
A Woolworths spokesperson said the supermarket giant remains “committed” to helping customers save money, though they added that inflation has also increased operating costs for suppliers.
“Many of the rising costs that families are facing are also making it more expensive for our suppliers to produce food and groceries—from electricity and fuel to rent and interest rates,” they said.
“We remain committed to helping customers save at checkout, including thousands of weekly specials, everyday low prices on essential household items, and a wide range of high-value private-label brands that are on average 30% cheaper than their mainstream equivalents.”
A spokesperson for Coles declined to comment.