Renter union vents frustration at Federal rent assistance increase
A change in Commonwealth Rent Assistance by the Albanese government has been met with anger by peak rental bodies, who say ‘too many people are falling through the gaps’.
A tenant’s union has called out the federal government for increasing rental assistance by about $20, believing they were offering “crumbs disguised as cakes”.
The Albanese government announced on the weekend it was raising Commonwealth Rent Assistance by 10 per cent from September 20, which gives renters up to $23 extra a fortnight to put towards their lease commitments.
It comes after the federal government also increased rent assistance by 10 per cent in its May budget.
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PropTrack data shows Melbourne rental prices have increased by 10.6 per cent in the 12 months to June this year, with median house and unit weekly lease sitting at $580 and $550, respectively.
The Renters and Housing Union (RAHU) secretary Harry Millward said this policy continued the Labor government’s offering of “crumbs disguised as cakes” to tenants across the nation.
“This amounts to little more than a transfer of money from government to landlords, via our pockets as renters,” Mr Millward said.
“When 86 per cent of parliamentarians own at least one investment property, it’s unsurprising that this is their solution.”
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Tenants Victoria director of community engagement Farah Farouque said a modest increase in Commonwealth Rent Assistance would offer some limited relief for renters on very low incomes, who continued to confront spiralling rents.
“The Federal and state governments also urgently need to invest in more public and community housing and boost other Centrelink payments,” Ms Farouque said.
“Housing is a human right and an essential service. In our wealthy country, too many people are falling through the gaps.”
Property Investment Professionals of Australia (PIPA) chair Nicola McDougall said anything that helped tenants with higher rents at the moment was good.
“The percentage change in those rental assistance programs I’m sure will help with the rising costs of living across the country, but also rents,” Ms McDougall said.
“The one thing that (rental providers) desire the most is a long-term tenant who looks after the property like their home and stays over the long term.”
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sarah.petty@news.com.au
Originally published as Renter union vents frustration at Federal rent assistance increase
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