Bridging the Digital Divide: Addressing Barriers to Digital Government Services in Australia

Australia’s digital transformation journey is reshaping how government connects with citizens, delivers services, and solves societal challenges. Yet, as digital government services become more prevalent, a critical issue persists: the digital divide. This gap—rooted in demographic, economic, and educational disparities—prevents many Australians from fully benefiting from digital public services. Addressing these barriers is essential to ensure that digital transformation is truly inclusive and delivers on its promise for all.

The State of Digital Government Services in Australia

Recent research, including the 2024 Digital Citizen Report, highlights Australia’s rapid progress in digital government. A vast majority of Australians (85%) used online government services in the past year, and satisfaction levels remain high. Citizens are eager for more services to be made available digitally, with 92% expressing willingness to use additional digital offerings. This appetite is especially pronounced around significant life events—such as starting a family, changing jobs, or dealing with bereavement—where digital services can provide timely, tailored support.

However, beneath these positive trends lies a persistent digital divide. Nearly half of those experiencing a major life event in the past year did not use an available online service. The reasons are complex and multifaceted, spanning economic hardship, digital literacy gaps, and regional disparities.

Economic Barriers: The Cost-of-Living Crisis and Digital Access

The rising cost of living in Australia has had a direct impact on digital inclusion. The number of Australians describing their financial situation as precarious has surged, and this economic pressure is reflected in digital adoption rates. Households earning less than $100,000 are significantly more likely to struggle with finding, using, or understanding online government services compared to higher-income households. There is also a notable gap in the use of digital identity tools like myGovID and digital wallets between income groups.

These findings underscore a clear correlation between income and digital engagement. For lower-income Australians, the cost of devices, internet connectivity, and even the time required to navigate digital services can be prohibitive. As digital becomes the default channel for government interaction, these barriers risk deepening existing inequalities.

Educational and Demographic Disparities

Digital literacy is another critical factor. Australians without university-level education are significantly less likely to have knowledge of, or confidence in, using emerging technologies and digital government platforms. The unemployed, older Australians, and those in regional or remote areas also report lower engagement and greater difficulty accessing digital services.

Gender and caregiving status further influence digital inclusion. Women and non-caregivers are less likely to have practical knowledge of new technologies, and are more likely to cite uncertainty about benefits or lack of relevance as reasons for not engaging with digital services. These disparities highlight the need for targeted digital literacy and skills development initiatives.

Regional Gaps and Service Awareness

While federal government services provide a degree of consistency across states, satisfaction and awareness of digital offerings can vary significantly by region and service type. For example, legal and family services show material differences in satisfaction between states, and older Australians are more likely to be unaware of available digital services. This suggests opportunities to learn from best practices across jurisdictions and to tailor outreach and support to specific communities.

The Role of Digital Inclusion Strategies

Closing the digital divide requires a coordinated, multi-stakeholder approach. Digital inclusion is not just about internet connectivity—it is about ensuring that all Australians have the skills, confidence, and support to engage with digital government. Key strategies include:

Building Trust and Awareness

Trust remains a key barrier to digital adoption, particularly in the wake of high-profile data breaches. Over half of Australians express concerns about data security in government services. Transparent governance, robust privacy protections, and clear communication about the benefits and safeguards of digital services are essential to rebuilding trust and encouraging broader adoption.

Awareness is equally important. Many Australians are simply unaware of the digital services available to them, especially around life events. Proactive outreach, education campaigns, and user-friendly service discovery tools can help bridge this gap.

The Path Forward: Inclusive Digital Transformation

Australia’s ambition to become a world-leading digital economy by 2030 depends on closing the digital divide. Policymakers and public sector leaders must prioritise digital inclusion as a core pillar of transformation. This means investing in digital skills, ensuring equitable access to technology, and designing services that are accessible and relevant to all.

At Publicis Sapient, we believe that digital transformation must be both ambitious and compassionate. By harnessing the power of technology, data, and human-centred design, we can help government agencies deliver services that improve lives—at the moments they matter most—while ensuring that no one is left behind.

Ready to build a more inclusive digital future? Connect with our experts to explore how targeted digital inclusion strategies can help your organisation bridge the divide and deliver better outcomes for every Australian.