FCAWA evidence to the Parliamentary Inquiry into alcohol and other drug services

In April, FCAWA’s CEO Melanie Hopkinson and Policy and Advocacy Lead Sarah Holman appeared before the Parliamentary Inquiry into alcohol and other drug treatment and harm reduction services in Western Australia.

 

FCAWA provided evidence on the critical role of financial counselling in alcohol and other drug responses, highlighting that financial stress is both a driver and a consequence of AOD harm. Rising cost‑of‑living pressures, housing instability, unmanageable debt, fines, income disruption and economic abuse are well‑established social determinants that can increase vulnerability to alcohol and other drug harm and reduce a person’s capacity to engage with treatment and sustain recovery.

 

The Committee engaged closely with our evidence, asking thoughtful and practical questions about how money stress, housing insecurity and debt affect people’s real‑world recovery journeys. There was strong discussion about the limitations of referral‑based models, the challenges people face navigating fragmented systems, and the importance of addressing the underlying financial drivers of harm, not just clinical symptoms.

 

FCAWA outlined why embedding financial counselling on‑site within AOD services is critical. Co‑located, integrated models remove common barriers such as shame, chaos, limited transport and low follow‑through on external referrals. When financial counselling is delivered as part of multidisciplinary care, financial and clinical issues can be addressed at the same time, strengthening engagement, reducing drop‑off and supporting more stable transitions through treatment and recovery.

 

We also shared evidence from integrated service models in Western Australia and nationally, demonstrating improved engagement and outcomes when financial stressors are addressed alongside clinical treatment. The economic case was also highlighted, with return‑on‑investment analyses showing strong social and economic benefits, particularly for people experiencing high and complex disadvantage.

 

Throughout the hearing, members raised questions about early intervention, young people, workforce capacity and financial literacy. FCAWA reinforced that while financial education is important, it does not remove the need for professional financial counselling. Life events such as illness, separation, mental health issues or housing instability can impact anyone, regardless of prior knowledge, and financial counselling plays a vital role in advocacy, stabilisation and recovery during these periods.

FCAWA’s position is clear: financial counselling should be embedded within alcohol and other drug frameworks as a core psychosocial support, delivered on‑site and commissioned across portfolios including AOD, housing, justice and mental health. Without addressing the financial drivers of harm, policy risks continuing to treat symptoms rather than causes.