Australia economy score cut as living-standards growth tracks weakest decade since WWI

We lowered Australia's economy score from 8.2 to 7.9 on Country To Live. GDP per person has risen by only 4% so far this decade, putting the 2020s on track for the weakest living-standards growth since the 1910s, according to the Australian Financial Review on July 22, 2026.

This is an editorial score for people comparing countries on our site. It is not a claim that Australia is in recession, and the country still draws movers for English, outdoors, and services.

Why we changed the score

• Living standards growth looks historically weak. GDP per person is up just 4% through this decade so far. That pace puts the 2020s in line with the weakest stretch since the 1910s, per the AFR report.
• Productivity has been the drag. Years of soft productivity were then hit by COVID, the energy shock after Russia's invasion of Ukraine, and high inflation. For movers, that mix shows up as slower real gains in wages and local spending power than Australia's high headline scores once suggested.
• Policy voices are calling for a reset. Former Reserve Bank governor Philip Lowe warned that deeper policy change is needed to lift business investment. That is a forward risk signal for growth quality, not only a backward look at GDP.
• We kept the cut modest. Australia remains a high-income English-speaking market with strong institutions. A 0.3 step reflects the living-standards track and productivity story, not a full rewrite of the scorecard.
• Other Australia scores stay put this round. Cost of living, housing, and job market on the Australia country page still reflect longer-term relocation factors. Only economy moved.

What the number means on our site

Economy on Country To Live measures how strong and stable growth, jobs, prices, and business conditions look for a typical international mover. A 7.9/10 keeps Australia in a high band, but a step below peers who look firmer on real living-standards momentum right now.

Open the Australia country page for the full scorecard, or put Australia in our compare tool next to New Zealand or Canada. Browse all country scores to see where this update lands.

Before you plan a move

1. Separate lifestyle appeal from real income growth. Beaches and English still matter. Model rent and groceries in AUD against your after-tax pay if wages are local.
2. Watch productivity and investment news, not only GDP headlines. Soft living-standards growth can sit next to busy cities and strong services.
3. Check visa and income tests on their own track. Economy score does not replace skilled, partner, or other permit rules on our residence pages.

We will publish another update if GDP per person growth rebounds for several years, or if productivity and investment data keep pointing the other way.

This note explains our editorial scoring only. It is not financial, tax, or immigration advice.