Savings all gone? You're not alone and it's intentional, says economist

Australian households aren't saving money. Whilst the high cost of living is partly to blame, one economist says it's mostly the result of a deliberate policy decision by the Reserve Bank of Australia.

Source: Getty / Getty Images/Asadanz

Key Points

• The Australian Bureau of Statistics says the saving ratio is at a 17 year low - just 1.1 per cent of total disposable income.
• Anglicare Australia Deputy Director Maiy Azize says more people on stable wages are seeking Anglicare's support.
• Professor of Economics at the University of Newcastle Bill Mitchell says the RBA has deliberately targeted household savings.