12 August 2024

Could our choices end homelessness in Canberra?

| Devin Bowles and Travis Gilbert
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Homeless man sleeping in the back of car

Can we end homelessness in Canberra? Photo: Region.

Who hasn’t passed a person experiencing homelessness and wondered about the choices that led that person to their situation? The conclusion of Homelessness Week is a reminder that homelessness is the result of choices – political choices. The right choices by leaders of sufficient vision and skill could virtually end homelessness in Canberra.

As the ACT approaches its election, it is worth remembering that our choices at the ballot box are among the most important in deciding how much homelessness will be experienced in the ACT. We need leaders with the vision and courage to transform our approach to housing. Any candidates promising the status quo will continue to increase the number of people who experience homelessness in Canberra.

At the Commonwealth level, the Reserve Bank of Australia changes interest rates with the primary purpose of keeping inflation within certain boundaries. It is well understood that these decisions have direct consequences for unemployment rates.

In effect, the Reserve Bank forces some into unemployment in the name of monetary policy. This policy sacrifices a minority so that the majority can enjoy lower inflation. The assumptions underpinning monetary policy are increasingly being challenged, but regardless of how good it is, this policy setting shapes the environment in which the ACT Government makes decisions.

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Unemployment and low wages lead to homelessness only in the context of other political choices, like the level of support that is provided to people experiencing unemployment. Support payments for those experiencing unemployment are not high enough to provide people with even the barest necessities. This is especially true in Canberra, where only seven of the 323 one-bedroom properties advertised cost less than $763 per fortnight, the maximum Jobseeker payment for a single person.

Across Australia, the ACT has the highest rate of people on Commonwealth Rent Assistance who are in rental stress (spending more than 30 per cent of their meagre incomes on rent) – more than half. A shocking 16 pre cent spend more than 70 per cent of their income on rent – with many of this group unable to afford decent food, health care and other essentials.

The supply of housing, especially public and community housing, is a political choice and a potent lever for any level of government to pull to reduce homelessness in the ACT.

The decline in the share of housing stock that is public housing from 12.2 per cent at self-government to a meagre 5.7 per cent is the result of a series of political choices made by successive ACT governments.

These choices are directly responsible for the growth of the waitlist for public housing to over 3000 in this term of government.

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This Homelessness Week, ACTCOSS and ACT Shelter were proud to launch their joint housing and homelessness election platform. It focuses on increasing social housing stock to at least 10 per cent of all housing stock in the ACT by 2036, an ambitious but realistic goal.

Several parties and candidates have recognised the centrality of the housing crisis to our community’s welfare and have announced their own ambitious platforms for transformative change. ACTCOSS and ACT Shelter call on all remaining candidates and parties to sign up to the far-sighted investment required to transform our social housing system.

All Canberrans deserve a decent social safety net.

All Canberrans deserve a government that will tackle our community’s most pressing social policy challenge. This election is the time to ensure we have one.

Devin Bowles is the CEO of ACTCOSS.

Travis Gilbert is the CEO of ACT Shelter.

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bev hutchinson6:48 pm 15 Aug 24

Greed is the problem..not exclusive to Canberra but certainly very prevalent in the area. I know if several single govie home tenants living alone in 3-4 bedroom homes and refuse to move or share. Get these people out and get the fully employed out of govie housing now.

The five year leases proposed will have landlords permanently exiting the market, with no equivalent volume of investors stepping in to replace them. (Equally gun shy at the direction and balance of regulation). More first dwelling live in owners will get a place – a one-time event, but supply of rental units after that due to reduced market demand to build more units, will just result in rental price hikes due to scarcity. One could ask who now owns a landlord’s property (with attendant steep mortgage), they themselves, or the government who regulates all the things that they can and can’t do with their own property?

ChrisinTurner4:26 pm 15 Aug 24

440 social housing ABC apartments were demolished to make way for luxury apartments near Civic. Where were the replacements built?

Incidental Tourist3:12 pm 14 Aug 24

Greens and Labor will keep doing more of what they did in the past two decades promising different result.

Which is absolutely nothing. There are mo far-sighted politicians in this country. We are doomed.

Don’t expect the Greens to really want to do anything about Public Housing.

They talk the talk but don’t walk the walk.

Unless I’ve missed it, they’ve never admitted they were wrong about Deb Foskey.

For those who don’t know that saga, she was a Greens MLA who refused to move out of her public housing after being elected as an MLA.

Her party backed her stance arguing that she might get voted out at the next election and thus deserved to keep her public housing.

Of course she stayed an MLA in public housing until she eventually retired to Victoria.

So the Greens to this day appear to defend one of their own highly paid people occupying Government housing instead of genuinely needy people.

They are big on talk but exceedingly hypocritical when it affects their own people.

Who was the one a few years back who had a v8 cruiser as her daily driver, and complained about emissions from other people? 🤣

‘Any candidates promising the status quo will continue to increase the number of people who experience homelessness in Canberra’. No candidate is going to promise the status quo, but we have two parties in this territory who, in coalition for the past 12 years, have created it. Do we need a list of public housing units sold off over the past seven years to pay for construction of the tram?

This has sweet FA to do with the light rail. The sale of public housing units has been going on for decades. It’s been a death by a thousand cuts for public housing.
It’s a national problem.

Google ‘Australian Capital Territory Asset Sales and Projects’ from 2018 and then check pp. A-8 through A-13 to see where all the money went from selling off the following public housing complexes: Dickson Flats, Garden Flats (Dickson), Owen Flats (Lyneham), Northbourne Flats (Braddon and Turner), Bega Court (Reid), Allawah Apartments (Braddon), Currong Apartments (Braddon), Gowrie Court (Narrabundah), Red Hill Flats, Strathgordon Court (Lyons), and Stuart Flats (Griffith). Spoiler alert: it all went to Capital Metro.

Homelessness is a national tragedy facing all governments Hamba. What are your suggestions for tackling homelessness rather than the same tired old conservative rhetoric of blaming it on light rail?

The ACT Asset Sales and Projects was a scheme offered by the then LNP government way back in 2015 which all state and territory governments signed up to. This agreement paved the way for the ACT government to enter into negotiations with Capital Metro for the light rail and its commencement. The agreement committed to building more housing, replacing the ACT’s public housing stocks and other projects in our city. These were required milestones which were clearly highlighted in the Agreement.

LOL
Imagine my shock that Jack D would somehow try to blame the LNP for ACT Labor and the greens selling off public housing stock. 🤣

Most obvious paid shill on the planet.

Jack, are you telling porkies again, as Jon Stanhope wrote this today in City News.

“What is even more remarkable is that the decrease in public housing is, in the main, a consequence of active and deliberate decisions by the ACT government.”

“The most notable of those is the sale of 1288 public housing dwellings with the proceeds directed to the Light Rail project, formalised under an agreement signed by Treasurer Andrew Barr and the then Federal Treasurer, Josh Frydenberg. This program was euphemistically titled the Public Housing Renewal Program. It included a much-touted commitment to invest $700 million in public housing which, surprise-surprise, never eventuated. In fact there was a net loss of 194 public housing dwellings during a period when dwelling prices were increasing at a rate of $1000 a day, putting the housing market out of reach of a major cohort of Canberra households.”

Jack,
You’re being a little bit loose with the truth there.

The agreement only required that the amount of public housing stock would not drop (from the level in 2014) and that existing public housing residents would be relocated into suitable replacement housing when the assets were sold.

For accuracy, the amount of public housing was already a couple of hundred more dwellings than the 2014 figure when the agreement was signed.

The agreement also made no mention of the typology of dwellings required, just a number.

The funds of all the asset sales under this agreement were used to fund Light Rail Stage 1 and no other project, housing or otherwise. It’s a straight mistruth to claim other projects were involved.

People can read this for themselves here:

https://federalfinancialrelations.gov.au/sites/federalfinancialrelations.gov.au/files/2021-01/asset_recycling_initiative_act-v2.pdf

The ACT Government met the terms of this agreement despite overall public housing dwelling numbers falling slightly over the period.

The public housing dwelling numbers have continued to fall slightly in subsequent years, despite significant population growth in Canberra.

Now, personally I don’t believe the government should hold a huge amount of public housing stock, but just on the pure dwelling numbers, they have gone backwards to anyone with an interest in the data and factual information.

Incidental Tourist4:59 pm 14 Aug 24

@Jack D – “Across Australia, the ACT has the highest rate of people … in rental stress”. You know that extra rent tax (called land tax) on tenants is in the range of $100-$300 per week in ACT than before tax reform 2011 started. “The supply of housing … is a political choice” Indeed all Canberra renters are punished with rent tax because they “choose” to be poor enough to buy a house and avoid this poverty tax. More than half of all tenants are in rental stress highlighting that this land/rent/poverty tax is highly unfair. Those who can’t pay end up homeless.

The “revenue neutral” tax reform 2011 doubled tax take over the past decade in real terms. And despite such revenue rip off and massive sale of public houses, ACT has ended up in historically highest debt and its revenue balance is deep in red. Interest payments of this debt alone are eye watering $2M per day. It is about the same as all rates revenue. Therefore paradoxically ACT Government is more dependent on stamp duty revenue today than when this tax reform started back in 2011 which, I remind you, aimed to abolish the stamp duty.

Rental stress, cost of living pressure and increasing homelessness will be shameful legacy of those who keep promising same old utopia to disadvantaged and delivering misery to them.

City News! I wouldn’t read that old rag if I was paid to!

What a surprise, Jack doesn’t like reading facts that disagree with his opinion.

Explains quite a lot.

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