# Australian small business cost pressures > Live situation record from CLSTR: https://clstr.news/situations/australian-small-business-cost-pressures > Updated: 2026-08-04T08:51:00.000Z. Sources: 5. Developments: 2. An AMP Bank Go Small Business Cost Pressure Index released in early August 2026 showed that operating expenses for Australia’s 2.7 million small firms had risen roughly 25 % since March 2020, with insurance costs up over 50 % and wages, interest and fuel also climbing sharply. The index projected a further increase to 27 % by year‑end and highlighted the strain on profitability, prompting owners to absorb higher costs through lower margins and reduced investment. A follow‑up report the next day reiterated the same index figures and added a detailed breakdown of cost drivers—insurance, fuel, interest, electricity, rent and wages. It also broadened the scope to include South Africa, where a separate SME survey found nine‑in‑ten firms feeling pressure from fuel‑price hikes and shifting from growth plans to short‑term survival. Both pieces underscored that, despite any easing in headline inflation, small businesses in the region remain under significant financial stress. ## Timeline ### 2026-08-04: Small businesses in Australia, South Africa face rising costs Australian and South African small businesses report rising costs, with Australia’s index showing a 25% increase since 2020 and South Africa’s survey noting fuel‑price pressure on 90% of SMEs. 2 sources. https://clstr.news/cluster/small-businesses-in-australia-south-africa-face-rising-costs ### 2026-08-03: Australian small businesses face record cost pressures AMP Bank Go’s index shows Australian small businesses’ costs up 24.6% since 2020, with insurance up 51.7% and wages 20.3%, squeezing margins and prompting delayed investment. 3 sources. https://clstr.news/cluster/australian-small-businesses-face-record-cost-pressures --- Cite as: Australian small business cost pressures. CLSTR, https://clstr.news/situations/australian-small-business-cost-pressures