AUSTRALIANS are increasingly shunning commuter towns and moving to regions with thriving local economies in a shift driven by cost-of-living pressures and the housing squeeze.

Regional migration is sitting at the same level as the tail end of COVID-19 lockdowns, new figures show.

The most popular places to relocate are outside the commuter belts, according to the June quarter Regional Movers Index released on Monday.

“Movers (are) increasingly attracted to areas with thriving local economies built on industries such as mining, agriculture, manufacturing, health care, and tourism,” the report said.

“The availability and cost of housing are also influencing this broader movement pattern, as movers seek regions where house price growth is slowing or there is some rental availability.”

These regions included Strathbogie, in central Victoria, the Bega Valley, in southern NSW, Tasmania’s George Town and Port Lincoln in South Australia.

The Index, compiled by the Regional Australia Institute using Commonwealth Bank data, showed 27 percent more people moved from the capitals to the regions than in the other direction.

Queensland’s Sunshine and Gold coasts, Greater Geelong and Moorabool in Victoria and Lake Macquarie in NSW had the largest inflows.

While regional areas on the east coast continued to attract the biggest share of city folk, Western Australia’s regions were also getting a look in.

Albany, Bunbury and Northam were among the top five areas to experience the greatest growth in city movers.

The index had long shown a “stepping stone” trend of people moving to large regional centres before relocating to smaller towns, the bank’s head of regional and agribusiness Paul Fowler said.

Mr Fowler said the research, which had been tracking migration since the height of the pandemic, showed the move away from cities was likely an ongoing structural change.

“Whether you live in the cities or you live in the regions, prosperous, growing regional communities are good for everyone,” Mr Fowler told AAP.

“A more even spread of the Australian population across the country is a stronger setting for overall Australian economic growth.”

Regional areas are predicted to get even bigger as they drive the nation’s energy transition.

Research released by the institute in August showed most communities view renewables as an opportunity but need improved government engagement, housing and health care to succeed.

“The emergence of this new era signifies how important the regions are to the future of our nation,” the institute’s chief executive Liz Ritchie said.

“The regions will be at the heart of Australia’s net zero transition, and it is vital the infrastructure and services our growing regions require are met to ensure long-term prosperity and sustainability of our country.”

By Stephanie GARDINER, AAP