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The surprising factor shaping young Australians' family plans

Published July 6, 2026 at 4:43 AM UTC

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Recent research has unveiled a significant factor influencing young Australians' decisions about starting a family: their trust in societal institutions. While financial considerations like housing affordability and childcare costs have long been recognized as barriers to parenthood, this new data suggests that confidence in public systems plays a crucial role in family planning.

The study, conducted by the Australian Institute of Family Studies (AIFS), analyzed longitudinal data from the Longitudinal Study of Australian Children, focusing on individuals aged 19 to 24. The findings revealed that approximately 70% of young Australians still aspire to have children, challenging the assumption that younger generations are moving away from traditional family structures. However, the research also highlighted a notable divide: nearly 79% of those who expressed trust in Australia's institutions hoped to become parents, compared to just 59% among those who lacked such trust.

Dr. Kristen Power, the lead author of the report, emphasized that family planning is influenced by a broader sense of security than merely financial stability. She stated, "Security is a whole range of factors beyond just people's immediate financial situation." This perspective underscores the importance of societal confidence in shaping reproductive decisions.

The concept of a "modern village" emerged from the study, referring to the network of institutions such as hospitals, childcare services, schools, and the welfare system that support individuals in raising children. Participants who trusted these supports were more likely to express a desire for parenthood. University of Melbourne professor Dan Woodman noted that trust in institutions reflects confidence that society will support families into the future, influencing individuals' decisions about starting a family.

Despite concerns about Australia's record-low fertility rate, which fell to 1.48 babies per woman in 2024, the study suggests that many young Australians still hope to have children. However, factors such as housing affordability and cost of living pressures continue to impact these aspirations. Sophie Renton, managing director of McCrindle, highlighted that when people trust the environment they're in and believe it's a safe and financially secure place to bring a child into the world, they're more likely to do so.

Environmental concerns also played a role in family planning decisions. Approximately 65% of participants expressed at least some concern about the future of the environment. Those with higher levels of concern were less likely to want children, although most still hoped to become parents. This reflects a broader shift in how young Australians experience adulthood, with decisions about parenthood becoming more deliberate and influenced by various societal factors.

The researchers concluded that supporting young Australians in achieving their family aspirations requires more than financial incentives. It necessitates rebuilding confidence in the institutions, economy, and broader society that shape whether young people feel secure enough to plan for the future. This comprehensive approach is essential for addressing the complex factors influencing family planning decisions among young Australians.

In summary, while financial factors remain significant, the trust young Australians place in societal institutions is emerging as a pivotal element in their decisions about starting a family. This insight calls for a holistic approach to policy and societal support systems to foster an environment where young Australians feel confident and supported in their family planning choices.