Invest
Vaccine rollout delay could set back herd immunity by 12 months, costing billions
Invest
Vaccine rollout delay could set back herd immunity by 12 months, costing billions
Australia’s delay in the vaccine rollout is tipped to cost the nation over $1.4 billion and see residents locked down for an additional 11.1 days, an industry expert has said.
Vaccine rollout delay could set back herd immunity by 12 months, costing billions
Australia’s delay in the vaccine rollout is tipped to cost the nation over $1.4 billion and see residents locked down for an additional 11.1 days, an industry expert has said.
The Morrison government’s initial COVID-19 Vaccine Roadmap plan would have reached the earliest possible measure of herd immunity (65 per cent vaccination rate) by August 2021.
However, the government has formally abandoned its target of having every Australian vaccinated against COVID-19 by the end of October.
Prime Minister Scott Morrison issued a Facebook message on Sunday night confirming that the government has not set, nor has any plans to set, a new vaccination target.
“While we would like to see these doses completed before the end of the year, it is not possible to set such targets given the many uncertainties involved,” he said.
While the cost of lockdowns varies wildly, Treasurer Josh Frydenberg has previously stated that a national lockdown cost Australia $4 billion per week.
According to a new report by the McKell Institute, even if Australia picks up the vaccination rollout rate to that of the UK, herd immunity would be delayed by 116 days from Morrison's original schedule. Under the same scenario, Australia could except 11.1 days of lockdown, costing the economy some $1.368 billion.
By comparison, if Australia were to instantly increase the pace of vaccination to mimic the rate of Germany, the delay would be 353 days with a projected economic cost of $4.164 billion.
“These delays will increase the chance of lockdowns and the economic costs that come with them,” McKell Institute's executive director, Michael Buckland.
“It’s vital we are clear-sighted about the cost and impact of a government’s action or inaction.
“Just as it was correct for the government to measure the economic impact of state lockdowns, so too should the government embrace the publication of clear information about the economic impact of its vaccination rollout program.”
Mr Buckland highlighted that the slow rollout could have devastating impacts on small businesses.
“Australia’s vaccination program has failed to meet its targets, and it’s incomprehensible that we will catch up. Our leaders need to accept the additional risks of delay and act.
“Additional support measures for vulnerable people and businesses must be considered in response to the delay,” he concluded.
RELATED ARTICLES
About the author
About the author
Economy
RBA's hawkish stance reflects inflation concerns, State Street economist comments
In a recent statement, the Reserve Bank of Australia (RBA) has signaled a hawkish stance on interest rates, drawing insights from financial experts about the implications for Australia's economic ...Read more
Economy
Navigating the inflation maze: How CFOs can outsmart economic hurdles in Australia
Fresh inflation data have cooled expectations of near-term rate cuts in Australia, intensifying pressure on margins, capital allocation and demand. Rather than wait for monetary relief that may not ...Read more
Economy
Inflation concerns rise as Australia's CPI climbs to 3.8% in October
Australia's latest Consumer Price Index (CPI) figures have sent ripples through the economy, with headline inflation accelerating to 3.8% year-on-year in October, up from 3.6% in September. The data, ...Read more
Economy
October CPI results pose challenges for RBA’s monetary policy stance
In a surprising turn of events, the October Consumer Price Index (CPI) data has raised eyebrows among economists and market strategists, revealing stronger-than-expected inflationary pressures in ...Read more
Economy
Global deal activity declines by 6% amid economic uncertainty, reports GlobalData
In a year characterised by economic turbulence and evolving market conditions, global deal activity has witnessed a notable downturn during the first ten months of 2025. According to GlobalData, a ...Read more
Economy
Australia’s softening labour market puts another RBA cut in play — here’s what business should do now
A four-year high in unemployment has revived expectations the Reserve Bank could deliver another rate cut as soon as November. With quarterly GDP growth running at 0.6 per cent and annual growth at ...Read more
Economy
Rising CPI reinforces RBA’s stance as rate cut expectations remain: State Street
State Street Global Advisors says the Reserve Bank of Australia (RBA) is likely to hold its current policy outlook following the release of September quarter inflation data, which showed an unexpected ...Read more
Economy
NSW SES boosts tsunami preparedness ahead of World Tsunami Awareness Day
As World Tsunami Awareness Day approaches on 5 November, the New South Wales State Emergency Service (NSW SES) is ramping up efforts to enhance tsunami preparedness along the east coastRead more
Economy
RBA's hawkish stance reflects inflation concerns, State Street economist comments
In a recent statement, the Reserve Bank of Australia (RBA) has signaled a hawkish stance on interest rates, drawing insights from financial experts about the implications for Australia's economic ...Read more
Economy
Navigating the inflation maze: How CFOs can outsmart economic hurdles in Australia
Fresh inflation data have cooled expectations of near-term rate cuts in Australia, intensifying pressure on margins, capital allocation and demand. Rather than wait for monetary relief that may not ...Read more
Economy
Inflation concerns rise as Australia's CPI climbs to 3.8% in October
Australia's latest Consumer Price Index (CPI) figures have sent ripples through the economy, with headline inflation accelerating to 3.8% year-on-year in October, up from 3.6% in September. The data, ...Read more
Economy
October CPI results pose challenges for RBA’s monetary policy stance
In a surprising turn of events, the October Consumer Price Index (CPI) data has raised eyebrows among economists and market strategists, revealing stronger-than-expected inflationary pressures in ...Read more
Economy
Global deal activity declines by 6% amid economic uncertainty, reports GlobalData
In a year characterised by economic turbulence and evolving market conditions, global deal activity has witnessed a notable downturn during the first ten months of 2025. According to GlobalData, a ...Read more
Economy
Australia’s softening labour market puts another RBA cut in play — here’s what business should do now
A four-year high in unemployment has revived expectations the Reserve Bank could deliver another rate cut as soon as November. With quarterly GDP growth running at 0.6 per cent and annual growth at ...Read more
Economy
Rising CPI reinforces RBA’s stance as rate cut expectations remain: State Street
State Street Global Advisors says the Reserve Bank of Australia (RBA) is likely to hold its current policy outlook following the release of September quarter inflation data, which showed an unexpected ...Read more
Economy
NSW SES boosts tsunami preparedness ahead of World Tsunami Awareness Day
As World Tsunami Awareness Day approaches on 5 November, the New South Wales State Emergency Service (NSW SES) is ramping up efforts to enhance tsunami preparedness along the east coastRead more
