“Thousands” of struggling renters can have their say in a senate inquiry secured by the Greens of their newest bid to get the federal government to deal with the rental disaster.
Days after the Greens joined forces with the Coalition to defer voting on the federal government’s $10 billion Housing Australia Future Fund till October, giving Labor time to debate hire controls with state and territory leaders, the minor occasion is claiming the inquiry as a win.
The Greens say the inquiry will examine the affordability, provide, and availability of rental housing, with an interim report due in September, earlier than a deliberate nationwide cupboard assembly on renters rights.
The Greens are hopeful the inquiry, and the nationwide cupboard assembly, will power Labor to bend to their calls for with the intention to move the HAFF. The occasion need the federal government to co-ordinate hire freezes or hire caps, whereas the federal government insists rental controls lie on the toes of state and territory governments.
The occasion’s housing spokesman, Max Chandler-Mather, stated the inquiry would be certain that Labor “cannot ignore renters any longer”, noting that 62 per cent of renters are “already in financial stress” with predictions that would worsen.
“There are millions of renters across the country staring down the barrel of another massive rent increase, and every week Labor fails to take action another family will be shoved onto the streets because of an unfair rent hike,” he stated.
“The Prime Minister and Labor have a chance to take leadership at national cabinet and co-ordinate a freeze and cap on rent increases, and this rental inquiry will help lay the groundwork for that.
“Too often the voices of renters are silenced in the national debate, but for the next few months parliament will be forced to hear from thousands of renters across the country about their experience of unfair rent increases and shocking treatment at the hands of a system that treats renters like second class citizens.”
Dr Chris Martin from UNSW stated analysis exhibits that the nationwide common of asking rents has elevated by 11 per cent within the final 12 months, with Sydney renters dealt the blow of median common weekly rents for brand new tenancies soar by 20 per cent over the previous yr, to $650 every week.
When properties are re-let, 95 per cent of landlords are getting a better hire than for the earlier tenancy.
Dr Martin stated a hire freeze, and subsequent hire cap – as proposed by the Greens – would defend present tenants from skyrocketing rents.
But, he conceded, hire freezes or caps would have “serious implications” for landlords and the broader economic system.
“While it is true that tenants who are not evicted may gain temporarily, tenants as a whole lose as rental accommodation is withdrawn, fewer new places are provided, and maintenance of rent-controlled housing deteriorates,” he stated.
“Rental rates rise due to restricted supply, while landlords with sitting tenants suffer. Eventually, a black market evolves with ‘protected’ tenants unable to move and with the rampant use of sizeable ‘key money’ paid by prospective new tenants.”
Housing Minister Julie Collins in Question Time on Thursday quoted “experts and evidence who tell us that (a rent freeze) will make the situation worse, and it won’t work”.
“Indeed the Australian Housing and Urban Research Institute said it won’t work because it will discourage new investment, so supply won’t be brought on,” she stated.
“Then you have professor Graeme Samuel, the former head of the ACCC who said (the Greens) should understand the fundamental problem is we have a lack of supply. He went on to say the moment you put a rental cap in place, you simply just exacerbate the problem.”
She additionally reiterated her level that the Constitution “shows very clearly that we do not have the power to implement a rent freeze”.
“They can keep blocking it for things that are impossible. We will keep on delivering for Australians that need it most,” she stated.
Source: www.perthnow.com.au
