Over 75% of Aussies are experiencing moderate or major financial stress as a result of the latest hikes to fuel prices, according to a new survey conducted by Savvy. The survey of a representative sample of 1,077 individuals was commissioned prior to the RBA increasing interest rates on Tuesday, which will only add to the financial stress of homeowners.
Key takeaways
- 37% of respondents reported major financial stress following increases to fuel pricing, with a further 39% citing moderate stress
- Rising petrol prices have forced 80% of Aussies to cut back on spending, with 40% doing so significantly
- 83% of respondents felt that the Australian Government should intervene to limit fuel price hikes
- 65% of respondents have said they’ll drive less often due to petrol price rises
- 44% of Australians are considering buying a more fuel-efficient or electric car if petrol prices continue to rise
Aussies feeling the pinch at the pump and beyond
That adds up to 76% of Aussies who’ve found themselves plunged into deeper financial stress, on top of ongoing cost of living pressures and, most recently, interest rates being bumped up once again. It’s easy to see how this has happened, with 55% of respondents having seen fuel prices go up by at least 50c per litre and 24% reporting hikes in excess of 80c per litre.
Using the example of a Toyota RAV4, Australia’s most popular SUV, that adds up to between $28 (50c per litre increase) and $44 (80c per litre increase) more per full 55L tank of petrol. For a RAV4 hybrid that drives 12,000km per year, you’ll be paying an additional $240 to $384 annually on fuel alone.
If you’re looking at a petrol-only car, though, it’s a different story. The Mitsubishi Outlander ES 2WD has an inferior fuel economy of 7.5L/100km compared to the RAV4’s 4.0L/100km, meaning you’d be forking out a further $720 to the annual cost of running your car for an 80c fuel hike.
With fuel prices on the up, what’s going to give?
With more of the household budget going towards fuel, the money has to come from somewhere. Savvy’s survey found that the most common area where people cut back on their current spending was eating out, with 65% of respondents stating that they’re doing so less because of the ballooning fuel prices.
Following closely behind at 63% was savings, as plenty of Aussies simply don’t have the luxury of building their nest eggs by as much as they were before (if at all). 57% of respondents cited paying less for groceries to compensate for the increased outlay on fuel, meaning that more than half of Aussies are choosing or being forced to go without.
Travel was the final common reason, with 53% rethinking minor or major holiday plans. 24% of respondents said that they were cutting back on all four, while a further 18% were pulling back their spending on three of them.
How fuel prices are impacting the way Aussies travel
Costlier fuel = less driving? That was certainly the case among the survey’s respondents, with 65% pledging to drive less often as a way to avoid spending too much on petrol and diesel. 47% said that they’d be more strategic in their refuelling and look out for cheaper petrol stations, which is always advisable when you’re looking for the most bang for your buck.
A smaller portion said that they’d be taking more public transport (16%) or getting from A to B on foot or by bike more often (13%). Only 11% of Aussies said that their travel and commuting habits wouldn’t change at all, highlighting just how far-reaching the effects of these hikes are.
So, where to from here?
The future isn’t exactly crystal clear when it comes to how long drivers will be punished at the pump, as there’s no shortage of uncertainty surrounding the current conflict between the United States and Iran. However, the Australian Government has stated that it wouldn’t be cutting the fuel excise, something that 33% of survey respondents believed it should do.
That means that Aussies could be in for a tough time running their vehicle over the coming weeks and months, according to Savvy Managing Director Bill Tsouvalas.
“The biggest loser out of the current fuel crisis, without a doubt, is the Australian people”, he said.
“Countless families will be placed under undue financial pressure in a situation that is entirely avoidable.
“Cutting the fuel excise will give Australians some much-needed relief and allow them to put their money towards more important expenses like groceries and other household bills.
“Against the backdrop of the steep rise in fuel prices, we’ve seen green car loan enquiries, such as those for EVs and hybrids, more than double.”
Statistics cited in this release are based on answers provided by 1,077 respondents to Savvy's survey from March 2026.