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Government ponders rent fund to help tenants

The government has proposed a new cash boost to help struggling renters through the pandemic, so landlords will not have to carry the cost of missed rental payments.

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THE Premier has moved quickly to placate angry landlords by offering to help struggling Tasmanians pay their rent.

Mr Gutwein told parliament yesterday the State Government would consider establishing a fund to help renters hit by the coronavirus pandemic so that landlords would not have to carry the cost of missed rental payments.

Mr Gutwein called for a truce in an ugly spat which the Real Estate Institute yesterday described as a “declaration of war” on property owners.

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He said he had overnight received correspondence from several landlords about the government’s changes to residential tenancy rules — including a rent freeze and a ban on evictions.

Government legislation extending protection to commercial tenants is expected to pass through parliament on Thursday after being introduced into the House of Assembly the day before.

Mr Gutwein said he would talk to the Tenants Union and the Residential Tenancy Commissioner about what could be done to help both landlords and tenants.

“If we need to establish a fund that where somebody has been severely impacted as a result of by COVID and is in a difficult position so that we can find a fair and reasonable outcome, I am happy to go down that path,” he said.

“One concept though that has to be understood here for both landlords and tenants is that we are in extraordinary circumstances, very difficult circumstances.

“I note some of the Facebook traffic last night, it appears that certainly in some quarters there might not be a lot of goodwill.

“But we need to try to find ways to work together to actually get to an outcome that acknowledges the very desperate circumstances that we are in and find ways that we’re not going to have people unfairly punished whether they’re a landlord or a tenant as we work our way through this.”

Mr Gutwein said some tenants who were receiving JobSeeker or JobKeeper allowances may have received an increase in their incomes — but he acknowledged that some may have fallen through the gaps, such as people on working or student visas.

Real Estate Institute of Tasmania CEO Mark Berry said he was opposed to any changes ot the law which would let tenants pay less rent.

“Further extending legislation that places such a burden on landlords is simply

not acceptable and in the true Aussie spirit, simply not fair,” he said.

“The REIT calls on all levels of government to stop this continued persecution and

demonisation of landlords and provide them with equal support that has been provided to

others in the community.”

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Labor’s housing spokeswoman Alison Standen said more effective government assistance for renters was critical.

“The government must commit to providing rental assistance funding for private renters along the lines of the grants programs announced by the Victorian, Western Australian and Queensland governments,” Ms Standen said

“These states provide one-off rent relief payments of up to $2,000 to support eligible landlords and tenants experiencing rental hardship due to the coronavirus pandemic.

The Greens on Wednesday dropped their plans to amend the legislation before the house after Mr Gutwein’s announcement.

“The Greens are pleased there are stronger protections in train for residential renters who are struggling to pay their rent, through lost employment or reduced income,” party leader Cassy O’Connor said.

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Original URL: https://www.themercury.com.au/news/government-ponders-rent-fund-to-help-tenants/news-story/218319ab0dd1ab91574fd0b524e93752