SMALL TOWNS

INTRODUCTION

While most Australians (71%) live in major cities, one in 10 live in small towns with populations of less than 10,000 people. Small towns are part of a diverse range of places that form the regional heart of our nation. Their social progress and economic growth can have implications for Australia's overall competitiveness, well-being and standard of living¹. By using Census data, people can gain insights into the make up of small towns and implications for future policy and service delivery within regions. What follows is a selection of the very latest information about small towns and their residents - sourced from the 2016 Census.

Defining small towns

In this article, small towns are places with urban features that have populations of less than 10,000 (but usually more than 200) people. Using the Australian Statistical Geography Standard (ASGS)/Section of State Range (SOSR) Classification, towns can be grouped in population size ranges and their characteristics compared. (For more information, see Attachment 1, at the end of the article.)

These small towns include a variety of places, ranging from small predominantly urban centres through to a variety of smaller residential settlements. They also include villages, towns and areas with significant tourism. Some examples are Weipa (Qld) with 3,900 people, Katherine (NT) with 6,300 and Wynyard (Tas) with 5,200).

In this article, small towns are compared with:

• medium towns (populations of 10,000 to less than 50,000), e.g. Mount Gambier and Albany
• large towns (populations of 50,000 to less than 100,000 people), e.g. Rockhampton and Bendigo
• major cities (populations of 100,000 people or more), e.g. Wollongong, Cairns and Melbourne.

More examples of towns (by size) are provided in Attachment 2 at the end of this article, and in the downloadable data cube.


SMALL TOWN POPULATIONS

At the time of the 2016 Census, 2.3 million people were living in small towns, or 9.7% of the Australian population. Australia-wide, there were just over 1,700 small towns. Of these:

• 88 towns had populations of 5,000 to 9,999, and were home to 613,500 people
• 526 towns had populations of 1,000 to 4,999, and were home to 1,147,400 people
• 1,088 of the smallest towns and localities had populations less than 1,000, and were home to 518,600 people.

Although spanning most of Australia, the majority of small towns are located along the eastern seaboard and in the south east of Australia.



The number of Australians living in small towns has increased slightly, from 2.2 million people in 2011 up to 2.3 million people in 2016. However the proportion of people living in small towns has decreased since 2011, from 10.4% to 9.7%. Some of this change may be due to general population growth or movement, however population counts using the SOSR classification may not be directly comparable between Censuses (see Attachment 1 for more information).

Over the same period, the number of Australians living in major cities (with populations of 100,000 or more) has increased, from 14.9 million (69%) in 2011 to 16.6 million (71%) in 2016.



POPULATION STRUCTURE

Proportionately more people aged 50 years and over live in small towns than in major cities. One likely explanation may be the comparatively lower cost of living in small towns which attracts and retains higher proportions of older people. Conversely, proportionately more people aged 15-49 years live in major cities. This may reflect educational and employment opportunities in major cities which attract young and working-age people away from small towns.



In 2016, the median age for people in small towns was 43 years. This was higher than the median age in major cities (36 years), and for the overall Australian population (38 years). The median age of males in small towns was 42 years while the median age of females was 44 years.

Overall, males comprised 49% of all people living in Australia's small towns in 2016. Of all small towns in Australia, the semi industrial/rural locality of Tomago (NSW) recorded the highest proportion of males (per total resident population) - at 66%. Conversely, Lennox Head - West (NSW) had the lowest percentage of resident males at 42%.

Small Towns(b)	% Males per total population
HIGHEST PROPORTIONS
Tomago (NSW)	66.1
Leinster (WA)	65.9
Woodford (Qld)	65.5
Oakhurst (Qld)	64.7
Wickham (WA)	59.0
Junee (NSW)	58.7
Kambalda East (WA)	58.3
Powelltown (Vic)	57.6
Bluff (Qld)	57.5
Cumnock (NSW)	57.4
LOWEST PROPORTIONS
Lennox Head - West (NSW)	41.7
Amoonguna (NT)	42.3
Balingup (WA)	42.9
Boyup Brook (WA)	43.2
Lyndhurst (NSW)	43.8
Willowra (NT)	43.9
Exeter (NSW)	44.1
Walungurru (Kintore) (NT)	44.4
Yackandandah (Vic)	44.4
Berry (NSW)	44.6
(a) Population of usual residents. (b) Urban Centre and Localities, with 200 or more usual residents counted at the 2016 Census.
Source: ABS Census of Population and Housing, 2016

WHERE DO PEOPLE IN SMALL TOWNS LIVE?

States and territories

The proportion of the population living in small towns varied across states and territories. The jurisdiction with the highest proportion of the population living in small towns was the Northern Territory, where 22% of the territory's population (50,400 people) lived in 68 small towns. This was closely followed by Tasmania, where 20% or 102,500 people lived in 92 small towns. The Australian Capital Territory recorded the lowest proportion; just 0.1% of the territory's population, or 270 people, lived in a single small town (Hall). Western Australia had 7.5% of its residents living in small towns.




DIVERSITY

Country of birth

The 2016 Census revealed that just over one in ten people (11%) living in small towns were born overseas. This is less than for major cities, where one in three (32%) were born overseas. For the 260,300 overseas-born people living in small towns, the most commonly reported countries of birth were England and New Zealand.

Country of birth	Proportion of persons born overseas %
England	31.5
New Zealand	14.6
Philippines	4.4
Germany	3.8
Scotland	3.7
Netherlands	3.3
(a) Excludes Overseas visitors. Source: ABS Census of Population and Housing, 2016

Nearly a quarter (24%) of people living in small towns had at least one or both parents born overseas, compared with nearly half (45%) of all Australians.

Year of arrival

The proportion of overseas born arrivals living in Australia's small towns has gradually declined over time. In 2016, 9.5% of people who had arrived between 1900 and 1945 lived in small towns, compared with 8.6% (who had arrived between 1946 and 1965), 6.3% (1966 and 1985) and 2.9% (1986 and 2005). For those arriving more recently, the proportions living in small towns were 2.8% (arrived between 2006-2015) and 2.2% (arrived between 1 January - 9 August 2016) respectively.

By contrast, almost 92% of persons who arrived between 1 Jan 2016 - 9 August 2016, lived in Australia's major cities.

Language spoken at home

A higher proportion of people in small towns reported they only spoke English at home (86%) compared with people in major cities (67%) and all people in Australia (73%).

Of the 148,100 people in small towns that reported speaking another language, 85%, or 125,400 people also spoke English well or very well. This was a higher proportion than in major cities (82%). The main languages other than English spoken at home in small towns included Italian (with 9,600 speakers), Mandarin (6,500 speakers) and German (6,300 speakers).



The 2016 Census also found that 6% of Australians who mainly speak Auslan at home (over 600 people) were small town residents.


ABORIGINAL AND TORRES STRAIT ISLANDER PEOPLE

While Aboriginal and Torres Strait Islander people make up 2.8% of the Australian population overall, they comprised 7.8% of the population in small towns at the 2016 Census.

Of the 178,500 people living in small towns who identified as being of Aboriginal and/or Torres Strait Islander origin, 90% were of Aboriginal origin, 5.7% were of Torres Strait Islander origin and 4.8% identified as being of both Aboriginal and Torres Strait Islander origin.

Yarrabah (Qld) was the small town with the highest number of Aboriginal and/or Torres Strait Islander people, where 2,500 people made up 97% of the town's total population, followed by Palm Island (Qld), where 2,300 people made up 94% of the town's population, and Maningrida (NT), where 2,100 people made up 89% of the town's population.

One in four (26%) Aboriginal and Torres Strait Islander people in small towns reported speaking an Australian Indigenous language at home. This was a much higher proportion than in major cities (2.2%), large towns (1.1%), medium towns (3.2%) or in rural areas (18%). It was also a higher proportion than nationally - where one in ten (10%) Aboriginal and/or Torres Strait Islander people reported they spoke an Australian Indigenous language at home. Other than English, the ten languages most commonly spoken at home in small towns included several Australian Indigenous languages.

Language	Persons no.
Kriol	5 367
Australian Indigenous Languages, nfd	5 294
Yumplatok (Torres Strait Creole)	4 319
Djambarrpuyngu	3 789
Pitjantjatjara	2 101
Warlpiri	1 874
Source: ABS Census of Population and Housing, 2016

LEARNING AND EARNING

Non-school qualifications

In small towns, a lower proportion of people aged 15 years and over held non-school qualifications (43%) than in major cities (53%). After adjusting for differences in population age structures, the proportion of people with a non-school qualification in small towns was 45%, compared with 53% in major cities.

Over half (55%) of people with qualifications in small towns held a Certificate as their highest non-school qualification, compared with one third (32%) in major cities. People with non-school qualifications were less likely to hold a Postgraduate Degree as their highest non-school qualification in small towns (3.9%) than in major cities (11%). They were also less likely to hold a Bachelor Degree (19% compared with 33%).



Engagement in work and study

According to the 2016 Census, levels of engagement in work, study or training were lower in small towns than in larger towns and major cities. In small towns, 35% of people aged 15 years and over were fully engaged in work or study, 15% were partially engaged, and 3.2% were at least partially engaged. In contrast, 48% of people in major cities were fully engaged, 15% were partially engaged, and 2.6% were at least partially engaged. The proportion of people who were not engaged in any of these activities was highest in small towns (37%) compared with 28% for major cities. After adjusting for differences in population age structures, the proportion of people who were not engaged in work, study or training was 30% in small towns, compared with 26% in major cities.



Differences in levels of engagement in work, study or training in small towns were apparent across different age groups, with levels of engagement lower in all age groups in small towns than in major cities.



Engagement of young people

In the 2016 Census, young people in small towns aged 15-24 were comparatively less engaged in work, study or training than their city peers. Almost two-thirds (62%) of people aged 15-24 were fully engaged in work, study, or training in small towns, compared with three quarters (75%) of people of the same age in major cities. Levels of partial engagement for young people were higher for those living in small towns (12%) than in major cities (9.4%).

For those who were not engaged, the proportions were higher in small towns (15%) than in major cities (8.4%), perhaps reflecting less access to educational and employment opportunities. A higher proportion of males aged 15-24 years were fully engaged (65%) than their female peers (60%), while more females in this age group were partially engaged (14%) than males (9.8%).



Employed persons

In 2016, over half (53%) of people aged 15 years and over in small towns reported they were employed in the week prior to Census night, which was less than in major cities (61%). However, the different population age structures in small towns and major cities account for some of this difference. After adjusting for differences in population age structures across regions, the proportion of people who reported they were employed was 60% in small towns, compared with 62% in the major cities.

Occupation and industry in employment

In 2016, the most commonly reported occupation for people living in small towns was Technicians and trades workers (17%). This was followed by Professionals (15%) and Labourers (14%). The most common occupations in major cities were Professionals (25%), Clerical and administrative workers (almost 15%), and Technicians and trades workers (13%).



The most commonly reported industry of employment in small towns was Health care and social assistance (13%), followed by Retail trade (11%) and Construction (9.6%). In major cities, the most common industries of employment were Health care and social assistance (13%), Retail trade (10%), and Education and training (9.1%).



Income

As recorded by the 2016 Census, the weekly median personal income for small towns ($557 per week) was less than that reported for large towns ($600) and major cities ($696).



In the 2016 Census, 26% of people aged 15 years and over who lived in small towns reported a total personal income of $1,000 or more per week, compared with 36% for those in major cities. Personal income includes wages and salaries, pensions, allowances, interest and dividends. Males were more likely to report an income of $1,000 or more per week than females (35% compared with 17%). Over half (57%) of people aged 15 years and over in small towns reported a personal income between $1 and $799 per week, with females more likely to report an income in this range than males (66% compared with 49%).




FAMILY LIFE

Family composition

In the 2016 Census, there were 589,100 families living in Australia's small towns. A higher proportion of families (in small towns) were couples with no children (44%), compared with larger towns (39%) and major cities (36%).

Couples with no children had a higher median age in small towns (62 years) than in major cities (57 years).

Small towns also had fewer couples with children (38%) than larger towns (40%) and major cities (47%). There were similar proportions of one parent families in small towns (17%) and major cities (16%).



However, not everyone in a private household lived with family members or other people. More than one in ten people (12%) in small towns were in a lone person household, compared with 9.2% of people in major cities. Furthermore, nearly a third of people (29%) aged 65 years and over who were living in private dwellings in small towns lived in a lone person household. The median age of people living in lone person households was 63 years in small towns, compared with 58 years in major cities.




HOUSING

The 2016 Census counted over 1.1 million dwellings in small towns across Australia. Most of these were occupied private households (83% or 928,300 dwellings). There was a further 187,600 (or 17%) private dwellings that were unoccupied. Of occupied private dwellings, the majority (86%) were separate houses. This was a higher proportion than in major cities where 65% of occupied private dwellings were separate houses.



In 2016, Australia's small towns had 22,200 caravans (or 2.4% of all occupied private dwellings) which housed 40,000 people. A further 6,700 cabins and houseboats (or 0.7% of occupied private dwellings) were homes for 11,100 people. Another 4,900 people were living or sleeping out in 2,700 improvised homes or tents, in small towns.

Average number of people in a household

The average number of people per small town household was 2.4 persons, compared with 2.6 per household for major cities.

Housing tenure type

In 2016, occupied private dwellings in small towns were more likely to be owned outright - at almost 35%, compared with just under 28% for dwellings in the major cities. In contrast, almost 29% of occupied homes in small towns were owned with a mortgage compared with 33% for dwellings in the major cities.

Proportionately fewer private dwellings were being rented in Australia's small towns - at 25%, compared with 31% for major cities.



Rent and mortgage payments

Households in small towns typically paid less rent than their counterparts in larger towns and cities. In 2016, the median rent payment in small towns was $228 per week, lower than the median payment for renters in medium towns ($261), large towns ($267) and major cities ($369).

Renters in small towns in New South Wales paid the highest median rent, at $253 per week while those in the Northern Territory paid the lowest, at $77 per week.



Median monthly mortgage repayments were generally lower in small towns than in larger towns. Households living in private dwellings in small towns were paying a median of $1,414 per month to service their mortgages, while those in medium sized towns paid $1,483 per month - increasing to a median of $1,504 per month in large towns and $1,943 for major cities.



Housing suitability

The 2016 Census provides a picture of housing suitability in towns of different sizes. It compares the number of bedrooms with a range of household demographics, to identify if dwellings were either under-utilised (with spare, unused bedrooms) or over-utilised (needing extra bedrooms).

An analysis of small towns showed a higher proportion of dwellings with one or more bedrooms spare (78%) than in major cities (70%), and fewer dwellings with one or more extra bedrooms needed (2.7%) than in major cities (4.2%).



However, rates of housing suitability in small towns varied greatly across states and territories. The jurisdictions with the highest rates of under-utilised dwellings (in their small towns) were South Australia (81%) and Victoria (79%). Conversely, the highest rate for over-utilised dwellings (needing extra bedrooms) was recorded in the Northern Territory (27%).



ATTACHMENT 1. ASGS SECTION OF STATE RANGES

The ASGS Section of State Range (SOSR) classification groups towns based on population size, making it possible to compare the characteristics of towns with similar sizes. For this article, small towns have been defined as those places with urban features that have populations of fewer than 10,000 people. These include towns described in the ASGS as 'Other Urban' that have populations of 1,000 to 9,999, and the very smallest towns (described as 'Bounded Localities') comprising smaller settlements and clusters of residential populations, including villages, towns and areas with significant tourism where the population is over 200. Comparisons are made between these small towns and urban centres of other sizes, by applying the SOSR classification to groups of towns as follows:

Town groupings	Description		ASGS Section of State Range Categories
Major Cities	Major urban centres with populations of 100,000 people or more.		Major Urban (100,000 to 1 million or more)
Large Towns	Urban centres, with populations of 50,000 to less than 100,000 people.		Other Urban (50,000 to 99,999)
Medium Towns	Urban centres with populations of 10,000 to less than 50,000 people.		Other Urban (20,000 to 49,999), and Other Urban (10,000 to 19,999)
Small Towns	Urban centres and other localities with populations of less than 10,000 people.		Other Urban (5,000 to 9,999), Other Urban (1,000 to 4,999), Bounded Localities (500 or more) and Bounded Localities (200 to 499)
Rural Areas	Rural areas, Balance of State/Territory.		Rural Balance, Rural Remainder of State/Territory

Source: ABS Australian Statistical Geography Standard (ASGS) Volume 4 - Significant Urban Areas, Urban Centres and Localities, Section of State, July 2016 (cat. no. 1270.0.55.004)

Some Bounded Localities may have Census counts of less than 200 people, based on place of usual residence. These can include tourism or holiday resort regions where populations fluctuate and more remote locations with temporary populations. Methodological differences in the definition of bounded localities (e.g. use of unconfidentialised data, or place of enumeration counts in some cases rather than place of usual residence) can account for slight numeric variations. For more information, please refer to Design of UCL.

Please also note: the SOSR classification is based on the Urban Centres and Locality (UCL) geographic structure. UCLs are not an official definition of towns. Some small towns with populations of less than 200 may not be included as UCLs, but the ABS provides Census data for these State Government Gazetted Localities through the State Suburbs (SSCs) which are part of the Australian Statistical Geography Standard (ASGS) Volume 3: Non ABS Structures.

While some comparisons are also made between 2016 Census and 2011 Census data, the counts are not directly comparable due to the areas being classified based on population sizes, which can change over time. Also, changes in dwelling and population densities between censuses may cause small towns to be re-classified as larger towns or smaller localities. For more information, please refer to Australian Statistical Geography Standard, Volume 4.


ATTACHMENT 2. EXAMPLES OF TOWN CATEGORIES BY SIZE GROUPINGS

Small Towns (with 200 to 9,999 persons)

Examples include: Casino (NSW); Castlemaine (Vic); Yanchep (WA); Goolwa (SA); Katherine (NT); Wynyard (Tas); Weipa (Qld); Derby (WA); Waratah (Tas); and Woomera (SA).

Medium Towns (with 10,000 to 49,999 persons)

Examples include: Wagga Wagga (NSW); Sunbury (Vic); Gladstone (Qld); Geraldton (WA); Alice Springs (NT); Devonport (Tas); Gawler (SA); Ulverstone (Tas); and Kingaroy (Qld).

Large Towns (with 50,000 to 99,999 persons)

Examples include: Ballarat (Vic); Maitland (NSW); Mackay (Qld); Launceston (Tas); Bunbury (WA); Rockhampton (Qld); Melton (Vic); and Bundaberg (Qld).

Major cities (with over 100,000 persons)

Examples include: Sydney (NSW); Melbourne (Vic); Brisbane (Qld); Perth (WA); Adelaide (SA); Canberra - Queanbeyan (ACT part); Sunshine Coast (Qld); Hobart (Tas), and Geelong (Vic).


EXPLANATORY INFORMATION

Age standardised (or age adjusted) rates have been used where stated in the article. An age standardised rate is calculated to remove the effects of different age structures when comparing populations over time. A standard age composition is used, in this case the age composition of the estimated resident population of Australia at 30 June 2001. The age standardised rate is that which would have prevailed if the actual population had the standard age composition.

The 'not stated' category for a particular data item has been included in most proportions calculated in this article. Some exceptions include non-school qualifications, employment, industry, occupation and income, where 'not stated' responses (along with 'inadequately described') were excluded from calculations.

The proportions calculated for Household composition exclude people in visitor only or non-classifiable households. In addition, all data provided in the Housing section are Place of Enumeration based. In contrast, all other information (for all other topics) is Place of Usual Residence.

For definitions of the data items in the article, see the Census of Population and Housing: Census Dictionary, 2016 (cat. no. 2901.0). Selected items are also included in the Glossary from the Explanatory Notes tab at the top of this page. For more information about 2016 Census data release and products, go to www.abs.gov.au/census.

Data contained in this article and further related data can be found in the Downloads tab at the top of this page.

Details on the characteristics of specific small towns can be obtained by using QuickStats.


FOOTNOTE

1. Australian Government, Department of Infrastructure and Regional Development, (2015). State of Regional Australia 2015: Progress in Australian Regions. Accessed from <http://regional.gov.au/regional/publications/sora/files/State-of-Regional-Australia-2015.pdf> on 15 March 2018.