Retailers have been urged to join hands with the government and charities to redirect unsold household items to struggling Australians amid cost of living pressures.

Good360, a non-profit organisation that distributes brand-new surplus goods to Australians in need, said that the inflation crisis has led to more demand for charity services.

Good360 estimated that more than $2.5 billion of unsold goods go to landfills each year, which could have been of significant help if only diverted to people in need.

“In the last week alone, Good360 has distributed over $1.1 million worth of essential household items and goods to people in need, a 62 per cent increase on the same time as last year. However, there’s more that needs to be done,” said Alison Covington, founder and MD of Good360.

“As the cost of living crisis continues, millions of Aussies will struggle to afford essential items, while billions of dollars worth of unsold goods are unnecessarily headed for waste and potentially landfill.”

The organisation cited the Australian Bureau of Statistics (ABS) data which showed that household goods sales fell 8.5 per cent while clothing, footwear and personal accessories sales declined 5.5 per cent month over month last December.

“Governments, retailers and charities need to work together to find smart solutions to address these challenges in a non-inflationary way, by redirecting unsold household items and goods, such as clothes, appliances and furniture, to Australians struggling with the cost of living,” said Covington.