This after a new Productivity Commission report reveals disturbing figures
The Productivity Commission’s recently released Report on Government Services 2024 has raised alarming concerns about housing and homelessness in Australia, revealing that, despite receiving Commonwealth Rent Assistance (CRA), 42.9% of low-income households renting private homes were in rental stress, risking homelessness during 2022-23.
Among the key findings, 34.9% of people seeking assistance from Specialist Homelessness Services did not have their housing needs met, indicating an increase from the previous rate of 33.9% in 2021-22.
The waiting lists for social housing nationwide have surged to 224,326 households, with those in critical need rising by 4% to 106,534 compared to the previous year.
Mission Australia response
In response to the report, Mission Australia CEO Sharon Callister (pictured above) stressed the urgent need for government intervention.
“This report confirms that cost-of-living and inflation pressures and rising rental stress are pushing more people into homelessness at a time when there’s very limited availability of affordable homes to rent,” Callister said. “It’s increasing the risk of homelessness for many, including people in paid employment and those who are staring down the barrel of homelessness for the first time in their lives.
“There isn’t enough accommodation options for everyone who needs it, and these days, finding a rental that’s affordable is like finding a needle in a haystack.”
A call for government action
Callister called for a significant increase in Commonwealth Rent Assistance by at least 50% and a raise in income support payments to a minimum of $78 a day. She stressed that these measures are crucial to preventing people from falling into poverty and mitigating the risk of homelessness due to rental stress.
Highlighting the strain on Mission Australia’s services, she noted a 26% increase in demand over the past three years.
“Our frontline staff say the housing situation is the worst they’ve seen it, with no signs of reprieve,” Callister said. “Often homelessness service staff find it near impossible to help vulnerable families and individuals find safe, secure accommodation, because the housing stock just isn’t available.
“Even after much dialogue and distress caused by the cost-of-living and housing crisis, people are still making tough financial choices heading into 2024 – between putting food on the table, paying the power bill or paying the rent to keep a roof over their head.
As part of the proposed National Housing and Homelessness Plan, Callister urged the government to establish a $500 million Prevention Transformation Fund, allowing frontline staff to actively prevent homelessness by providing timely assistance and support.
Callister also called for a commitment to building at least 1 million new social and affordable homes over the next 20 years, emphasizing the severity of the housing and homelessness crisis in Australia.
“Existing commitments by governments are expected to contribute around 50,000 social and affordable homes over the next five years,” she said. “While we welcome this step forward, much more investment is needed to address the social and affordable home shortfall, long waiting lists and Australia’s homelessness emergency.
“Australia is in the midst of a housing and homelessness disaster, and governments must tackle this problem like they would for any other emergency and natural disaster – with urgency, collaboration, targeted investment, and steely resolve.”
Read: Mission Australia’s submission to the National Housing and Homelessness Plan
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