Revolt grows over Labor’s $2m cut to lifeline for struggling Australians

A revolt against the Albanese government’s decision to axe funding for a vital service that helps Australians find food, housing and emergency assistance has spread across the political divide, as almost 200 charities and community organisations join demands for a reversal of the $2 million-a-year cut.

The campaign to save Ask Izzy, a free online directory connecting people in crisis with essential services, has gathered momentum in Canberra, with the Coalition, Greens, One Nation and crossbench MPs backing calls for the government to restore funding.

The number of organisations that have now joined the campaign has soared in the past week, up from just 24 when it launched. They include Mission Australia, Foodbank, OzHarvest, St Vincent de Paul, The Smith Family and UnitingCare Australia. Meanwhile, more than 2000 Australians have contacted politicians demanding action.

Despite the growing pressure, no federal government minister has publicly explained the decision to end funding on June 30, beyond a bureaucratic reference to government processes.

The escalating dispute threatens to become another political headache for Labor as charities warn that cutting access to emergency assistance during a cost-of-living crisis risks leaving vulnerable Australians without help when they need it most.

Ask Izzy recorded a record 9.1 million searches last financial year, up 7 per cent, with food accounting for almost a third of requests, followed by financial assistance, housing and mental health support.

The service, operated by not-for-profit Infoxchange, maintains more than 500,000 listings of charities, government programs and community organisations.

Its reach extends deep into regional Australia. In the sprawling Victorian electorate of Mallee, which has a population of about 88,000, there were approximately 28,000 searches for assistance last year.

Coalition MPs in regional Queensland have requested detailed electorate-level figures as pressure builds on the government ahead of Senate estimates hearings later this month.

Tasmanian Liberal senator Claire Chandler’s office told a constituent that the Coalition supported restoring the funding.

“When in government, the Coalition always provided financial support to the Ask Izzy service,” the office said in correspondence provided to this masthead. “Labor must explain why it has stripped funding away from a service helping 9.1 million Australians seeking assistance in hard times.”

A delegation of frontline workers and people with lived experience of homelessness, family violence and financial hardship will travel to Canberra during the next parliamentary sitting week to press the case directly with politicians. Campaign organisers argue that the $6 million requested over three years is modest compared with the scale of the service, which they estimate supports $83.1 million in annual public value.

One Nation and crossbench independents have also indicated support during discussions with campaign organisers, although formal commitments have not been announced.

Independent MP Allegra Spender is also demanding the government continue its support for the digital tool.

“Ask Izzy is a fantastic service connecting the most vulnerable members of our community to support when they really need help,” she said. “Our office uses it when we’re trying to find emergency assistance for people in our electorate.”

The campaign has also highlighted the service’s role in helping women escape domestic violence. Women account for 63 per cent of users, while one in five people searching for housing assistance are escaping family violence.

Infoxchange chief executive David Spriggs said the government had helped establish the service and should not abandon it when demand was at record levels.

“The government helped establish Ask Izzy, and its agencies, funded services and countless vulnerable Australians rely on it every day,” he said. “The government should restore the funding.”

Services Australia has confirmed its funding agreement ended on June 30, pointing instead to alternative government referral services that do not require additional licensing or subscription costs.

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