Food cost fears and no presents: What's worrying Australians ahead of Christmas

As Christmas nears, the rising cost of living is on the minds of people across the country.

Financially struggling families are worried about the extra costs of Christmas presents and food. Source: AAP / Julian Smith

Key Points

• Many Australians are concerned about how they'll feed their families over the coming weeks, according to a new survey.
• The Salvation Army's poll found are stressed about their finances amid sharp bill rises.
• It comes as the consumer watchdog warned factors driving high prices were "likely to continue".

Many Australians are worried about whether they can afford enough food at Christmas as the rising cost of living hits hip pockets hard ahead of the festive season.

The Salvation Army says multiple interest rate rises combined with devastating natural disasters have added more financial stress to already-struggling families.

A poll of more than 2,000 people, released by the charity on Friday, showed 21 per cent are concerned about how they will feed their families in the coming weeks.

The survey found that half of Australians were more stressed about their finances this year compared to last year, amid sharp rises in energy and grocery bills.

It comes as the Australian Competition and Consumer Commission warned on Thursday many of the factors driving high and volatile prices were "likely to continue".

A plan to tackle skyrocketing energy prices is expected to come out of National Cabinet on Friday when Prime Minister Anthony Albanese meets virtually with premiers and chief ministers.

"It is not the fault of Australians our power prices are so high. The cost of production hasn't gone up," Energy Minister Chris Bowen said on Thursday.

The Salvos survey also found about one in seven people were concerned about their children missing out on presents this Christmas.

Priorities such as rent and mortgage payments have taken precedence, with 25 per cent of people not knowing how they will afford big ticket items and about 30 per cent planning to go into debt to keep up with the season's expenses.

The figures were worse among Salvation Army clients, with 99 in every 100 saying they were worried about how they will afford Christmas this year.

"These statistics clearly show the dire impact that the cost of living is having on Australians across the country," Salvos' spokesman Bruce Harmer said.

"We don't want anyone to feel like they are alone this Christmas. We encourage anyone who needs support to reach out - there is no shame in asking for help."