Insanity as immigration into Sydney and Melbourne hits record high

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By Leith van Onselen

The ABS has released its Australian Demographic Statistics for the June quarter of 2017, which revealed that Australia’s population continues to grow strongly led by a surge in net overseas migration (NOM), mostly into Sydney and Melbourne, which have both seen record immigration flows.

According to the ABS, Australia’s population rose by 1.60% in the year to June 2017 to be way above the 30-year average:

However, the growth in the number of persons in the year to June 2017 was an insane 388,100, up 28,100 on the same quarter of last year and 120,613 above the 35-year average:

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Australia’s population growth continues to be driven overwhelmingly by NOM – defined as those residing in Australia for 12 months or more:

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While NOM has declined from the peak of 315,700 recorded in calendar year 2008 to 245,500 in the year to June 2017 – it remains well above the 35-year average level of 136,281.

It is also way above the circa 73,000 average NOM since Federation:

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Moreover, as shown below, the proportion of population growth derived from NOM – 63.3% in the year to June 2017 – remains well above the 35-year average of 48.4%:

Population growth into Australia’s key resources state – Western Australia – has fallen through the floor, but recovered slightly in the June quarter. In the year to June 2017, Western Australia’s population grew by 0.84% (down from a peak of 3.5%); and is running well below the national average (1.60%). Population growth into Queensland rose to 1.64%, but is well down on the 2.1% growth rate recorded in the year to September 2012 and is running just above national average. South Australia’s population growth has fallen to 0.6%.

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Victoria, by contrast, continues to be the population ponzi king, with its population growth at 2.34%, whereas population growth into New South Wales is also running at 1.57% in the year to June 2017:

In sheer number terms – which is what matters for infrastructure and housing – Victoria and New South Wales are way out in front in the population ponzi stakes. In the year to June 2017, Victoria added an insane 144,357 new residents, whereas New South Wales added 121,796 new residents:

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Immigration into NSW (read Sydney) and VIC (read Melbourne) has also hit record high levels of 98,570 and 86,901 respectively in the year to June 2017:

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You don’t have to be a rocket scientist to see that such manic population growth is destroying living standards in the main cities. Housing is woefully unaffordable. Roads and public transport are crush-loaded. And overall economic and social infrastructure is groaning under the strain.

This mass immigration ponzi scheme simply must end before these cities become even more expensive, gridlocked, unlivable hell holes.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.