Make Anti-Poverty Week Meaningful

Note: Greens Leader Nick McKim MP will be available to comment at 1:30pm today, Parliament House Media Room

The Tasmanian Greens today called on Premier David Bartlett to mark Anti-Poverty week this week by negotiating with Prime Minister Kevin Rudd to erase the state’s housing debt in return for agreeing to extend the ‘rent holiday’ for pensioners in public housing as requested by the Federal government.

Greens Leader Nick McKim MP said that the federal government’s request that the $30 pensioner increase not be subject to a rise in public housing rents beyond the initial 12 months originally agreed to by the States should be agreed to, but also said that the request did provide the state with a bargaining opportunity.

“There is a way that Tasmanian pensioners keep the full value of the long-overdue increase in the pension beyond the 12 months that the state currently is only prepared to provide, as well as freeing up funds to be injected back into our public housing estate,” Mr McKim said.

“Currently the state is paying approximately $17 million per year back to the Federal government to repay the debt incurred under the Commonwealth-State Housing Agreement. The Greens’ proposal is for the State to say ok – we’ll guarantee that the entire pension increase will remain with pensioners and not be eaten up by public housing rent, if the Rudd government forgives this housing agreement debt burden.”

“If this ‘trade’ was to occur, it will be a win for Tasmanian pensioners in public housing who will receive the full flow of the long over-due $30 pension increase, and it will be a win for the state as it will free up an additional approximate $17 million per year to be reinvested into government funded housing.”

“It would be a fantastic way for Premier Bartlett to mark Anti-Poverty week if he were to commit taking this proposal to his federal counterparts.”

“Housing stress is a key indicator for those on or below the poverty line, and by pursuing the Greens’ proposal, David Bartlett could ease housing stress for pensioners in public housing, as well as secure more funds to assist in securing affordable housing for other Tasmanians doing it tough.” [1]

“It will be a win for Tasmanian pensioners, and it will be a win for the state coffers.”

“Minister Lin Thorp is on the record saying that the exemption for pensioners costs Housing Tasmania about $40, 000 a week in lost rent, which totals to just over $2 million per year. Freeing up $17 million in debt repayments easily covers that amount.” [2]

“The affordable housing crisis in Tasmania has not abated, and the most recent figures show that all major public housing indicators continue to go backwards with the waiting list increasing by 11.2 % for the 12 months to June 2009.” [3]

“The Bartlett government should be leaping at any opportunity to reverse this trend and this proposal could help achieve that,” Mr McKim said.

References:

[1] TasCOSS, JUST SCRAPING BY? Conversations with Tasmanians living on low incomes.

“The indicator results show that the cost of essentials (food, electricity, transport, housing and health) as a percentage of income had increased from 73% in 2001 to over 98% in 2007. This is an astounding statistic, especially when it is considered that this does not include costs of items such as clothing, schooling and recreation.” April 2209: pg 57.

[2] 6th October 2009: ‘Govt seeks talks on extending ‘rent holiday’; ABC news: http://www.abc.net.au/news/stories/2009/10/06/2706337.htm

[3] The August Department of Health, Housing and Human Services Progress Report reveal the following (pgs 13- 14):

1. The public housing waiting list has blown out by 11.6% for the twelve months ending 30th of June this year, with 3039 Tasmanians waiting for housing;

2. In the twelve months ending 30th of June this year the number of applicants housed in public housing fell by 12.6%, which is the lowest housing rate in over 4 years;

3. It now takes an average of 19 weeks for an applicant in Category 1 to be housed; and

4. 3.2% less people were assisted by the Private Rental Support Scheme, over the twelve month period ending on 30th of June this year.
Nick McKim MP Greens Leader