Melbourne · Council (LGA)

Economy & Advantage in Melbourne

How well-off the area is, how fast its population is growing, and the businesses and new homes here.

A massive 27% population jump since 2021 marks Melbourne as one of the fastest-growing areas in the country. It is a place of high overall advantage and exceptional job skills, though these strengths sit alongside some significant gaps in access to money and resources.

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📍 Melbourne, Council (LGA)

Where Melbourne sits — Socio-economic advantage (IRSAD decile)

10
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All council (lga) areas, 2021. The marker is Melbourne — higher than 99% of areas.

Socio-economic advantage

SEIFA indexes ranking relative advantage and disadvantage.

While the area is among the most advantaged overall with a score of 1,086, there is a sharp contrast in wealth. Residents have some of the highest education and job skills levels, yet access to money and resources is smaller than about 90% of similar areas.

10

Higher than 99% of council (lga) areas.

ABS Index of Relative Socio-economic Advantage and Disadvantage, 2021, as a national decile: 1 = among the 10% most disadvantaged areas in Australia, 10 = among the 10% most advantaged. IRSAD summarises both advantage and disadvantage, so a high score reflects relatively many high-income, well-educated households and few low-income, low-skill ones.

8

Higher than 71% of council (lga) areas.

ABS Index of Relative Socio-economic Disadvantage, 2021, as a national decile: 1 = among the 10% most disadvantaged areas in Australia, 10 = among the least disadvantaged. IRSD focuses on disadvantage alone (low income, low education, unemployment, unskilled occupations), so a higher decile means relatively less disadvantage.

1

Lower than 99% of council (lga) areas.

ABS Index of Economic Resources, 2021, as a national decile: 1 = among the 10% lowest areas for economic resources in Australia, 10 = among the highest. IER reflects the income, housing costs, dwelling size and assets of households, so a higher decile means relatively greater economic resources.

10

Higher than 99% of council (lga) areas.

ABS Index of Education and Occupation, 2021, as a national decile: 1 = among the 10% lowest areas for education and occupation in Australia, 10 = among the highest. IEO reflects residents' qualifications and the skill level of their jobs, so a higher decile means a more highly educated and skilled workforce.

1,086

Higher than 92% of council (lga) areas.

ABS Index of Relative Socio-economic Advantage and Disadvantage, 2021, as a raw index score (standardised so the Australian average is about 1000). Higher scores indicate relatively greater advantage; lower scores greater disadvantage.

Population growth

Annual population estimates and change since the census.

Population growth in Melbourne has been far above the Victorian figure, rising by 27% compared to the state's 8% increase. This has pushed the population estimate to 194,481, making it among the largest areas at this level.

Business & building

Operating businesses and dwellings approved.

The city is a major economic hub with 46,783 businesses, which is among the largest counts for this level. This activity is matched by a high volume of new development, with 3,903 dwellings approved.

46,783

Higher than 90% of council (lga) areas.

Operating businesses (ABS Counts of Australian Businesses), June 2025.

Sources

  • Socio-Economic Indexes for Areas (SEIFA) — Australian Bureau of Statistics, 2021 (CC BY 4.0).
  • Regional Population (Estimated Resident Population) — Australian Bureau of Statistics, 2024 (CC BY 4.0).
  • Counts of Australian Businesses & Building Approvals — Australian Bureau of Statistics, 2025 (CC BY 4.0).

More for Melbourne

Cite this page

Australian Bureau of Statistics. (2021). Economy & Advantage in Melbourne [Census of Population and Housing]. CensusAtlas, used under CC BY 4.0. https://censusatlas.au/region/lga/LGA24600/melbourne/topic/economy-advantage