Australians are moving from capital cities to regional communities at rates matching the height of the COVID-19 migration boom, suggesting the shift towards regional living has become more permanent than initially expected.
The latest Regional Movers Index shows capital-to-regional migration during the June quarter reached its equal-highest level for that quarter since records began, matching June 2021.
People moving from Australia’s major cities to regional areas outnumbered those moving in the opposite direction by around 30%.
Sydney accounted for 52% of net capital-city departures to the regions, while Melbourne contributed another 36%.
Housing and lifestyle drive move
The Sunshine Coast remains Australia’s most popular regional destination by share of migration, followed by Greater Geelong.
But growth is increasingly spreading beyond established coastal centres.
Central Goldfields in Victoria recorded the strongest annual growth in net internal migration nationally, while areas including Burdekin, Tablelands and Douglas in northern Queensland also experienced significant increases.
Regional NSW accounted for around one-third of net regional inflows and regional Victoria about one-quarter.
Hybrid working has helped loosen the traditional link between professional employment and capital-city living, while housing costs are encouraging some families to look further afield.
The trend creates economic opportunities for regional businesses through a larger workforce and customer base.
It also creates significant infrastructure challenges.
Rapid population growth increases demand for housing, schools, hospitals, roads and other services in communities that were often planned around much smaller populations.
Regional Australia has already grown faster than earlier government projections suggested.
The latest data indicate the pandemic may not have created a temporary regional migration anomaly.
Instead, it appears to have accelerated a broader shift in where Australians choose to live.
