Bridging the Digital Divide: Addressing Data Privacy and Trust for Vulnerable and Disadvantaged Australians

The Digital Divide in Australia: More Than Access

Australia’s digital government transformation is widely regarded as a success, with over 85% of citizens using online government services in the past year and satisfaction rates consistently above 90%. Services like myGovID, digital wallets, and online healthcare or tax platforms have become everyday essentials. Yet, beneath this progress, a growing digital divide threatens to leave behind those who are most vulnerable—lower-income households, rural residents, minority communities, and individuals experiencing financial stress or low digital literacy.

The digital divide is no longer just about access to technology or internet infrastructure. Increasingly, it is defined by psychological and systemic barriers: trust, data privacy concerns, and the ability to confidently navigate digital services. For many Australians, especially those already facing disadvantage, these barriers can be decisive in whether they engage with digital government at all.

Data Privacy and Trust: Disproportionate Impact on Vulnerable Groups

Recent survey data reveals a sharp decline in public trust in digital government services. Over half of Australians (52%) have lost trust in the government’s ability to protect their data, and 56% express doubts about how their information is kept safe—a dramatic drop from just two years ago, when 92% expressed confidence. This erosion of trust is even more pronounced among:

For those experiencing financial stress, the need for government support is often greatest—yet they are also the most likely to be excluded by digital barriers. The risk is clear: without targeted action, digital transformation could deepen existing inequalities.

Key Barriers: Privacy, Security, and Confidence

The top concerns cited by Australians regarding digital government services include:

These anxieties are compounded by a lack of transparency around how data is collected, stored, and shared. Citizens want to know not just that their data is secure, but also how it is being used—and by whom. This desire for transparency is especially strong among those with recent mental health struggles or precarious finances.

The Impact: Exclusion and Underutilisation

When trust falters, so does adoption. Research shows that those in financial hardship, minority groups, and younger Australians are less likely to use digital government services, even though they are often the most in need of support. For example, 33% of low-income households struggle to find or use digital services, compared to just 23% of higher-income households. Nearly half of Australians who experienced a major life event in the past year did not use an available online service, and 36% did not even consider doing so.

Barriers such as lack of digital literacy, poor infrastructure, and uncertainty about the benefits of emerging technologies further compound these challenges. The result is a growing risk of exclusion, where those who could benefit most from efficient, accessible support are often the least likely to engage.

Actionable Recommendations: Building an Inclusive, Trustworthy Digital Ecosystem

Restoring trust and ensuring digital inclusion for all Australians requires a holistic, citizen-centric approach. Government agencies can take the following steps:

1. Transparent Communication

2. Robust Data Governance

3. Citizen Engagement and Co-Design

4. Ethical and Responsible Use of AI

5. Omnichannel Support and Digital Literacy

The Path Forward: Trust as the Foundation of Digital Government

Australia’s digital government journey is at a crossroads. The promise of more accessible, efficient, and personalised services can only be realised if trust is rebuilt and sustained—especially for those most at risk of being left behind. By prioritising transparent communication, robust data governance, and genuine citizen engagement, governments can address the psychological and systemic barriers that now define the digital divide.

At Publicis Sapient, we believe that digital transformation must be inclusive and trustworthy by design. The future of digital government will be defined not just by technology, but by the strength of the relationship between citizens and the state—grounded in trust, empathy, and a shared commitment to serving every member of society. Only then can Australia unlock the full potential of digital government for every citizen.