Millions of Australians are in for a welcome boost on Tuesday, with Centrelink payments set to rise in response to growing inflation.

Centrelink payments will increase on Tuesday for millions of Australians as an indexation increase to match cost of living pressure kicks in.

The payment increase is set to be the biggest in 30 years and will benefit aged pensioners, disability support pensioners, carers and those on JobSeeker and Rent Assistance among others.

Single parents will receive an extra $35.20 per fortnight, taking their total payment to $927.40, while JobSeeker recipients who are over 22 and without children will get an extra $25.70 per fortnight, taking their total payment to $677.20.

The pension will rise to $1025.50 for singles per fortnight and $1547.60 for couples.

This change will total $38.90 more a fortnight for singles and $58.80 for couples.

More than 4.7 million Australians will benefit from the increase which aims to combat the inflation that’s expected to rise to 7.75 per cent by the end of the year.

The financial pinch has been felt across the country housing costs to surging by nine per cent since June 2021 and transport costs going up by 13.1 per cent.

Food prices in Australia increased by 5.9 per cent over the past financial year.

The increases are a result of a twice-yearly recalibration to ensure social welfare payments remain in line with the Consumer Price Index.

The process aims to allow government payments to maintain the same purchasing power when cost of living increases.

However, the increases come just before the temporary fuel price freeze ends on September 29.

Australia’s consumer price index across the June quarter increased at the steepest rate since 2001.

Earlier this year Treasurer Jim Chalmers said “this indexation will be particularly big this month because inflation is particularly challenging”.

But in a Twitter post earlier this month, opposition social services spokesman Michael Sukkar said the government’s attempt to take credit for the increase was “laughable”.

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