Housing

The Principles

Adequate housing is a basic human need, and is universally recognised as a fundamental human right. (Universal Declaration of Human Rights, No. 25).

Australians have the right to housing which provides shelter, safety and privacy, is properly maintained, is affordable and offers a reasonable security of tenure, and is located in close proximity to transport, employment and community services.

Every social problem - inadequate parenting, violence, delinquency, failed marriages and dysfunctional families, unemployment, infirmity and lonely old age - is made worse by lack of, or inadequate housing. In a wealthy country (such as Australia) this aggravation is a matter of choice, not necessity. (Barbara Ward, The Home of Man, 1976, Penguin). A home is not a consumption unit but a productive unit (Hugh Stretton).

The negative impact of inadequate housing increases the need for public spending on health, prisons, etc.

Governments have an important role in ensuring that these principles are met, particularly for those people on low incomes and those with special needs - such as the homeless, young people, the frail aged, people with physical and intellectual disabilities, people suffering mental illness and victims of domestic violence.

While community organisations have a role in working constructively with governments in providing community housing alternatives and working for community development, they should not be pressured into taking on government responsibilities. Overall responsibility for housing rests with Government.

The Issues

In 1951 to 1966 home ownership rose from 50% to 70% of households ...Australia distributed private land and housing space more equitably (with New Zealand) than any other developed country did. Since 1970 much of that strategy has been abandoned. (Hugh Stretton, Economics: A New Introduction, UNSW Press, 1999).

Australia now has an underclass due especially to unemployment and underemployment with the long-term impact on hundreds of thousands of children (850,000 with both parents out of work) dependent upon public or community housing.

While public housing is managed by State Government agencies, funding for this type of housing is largely provided by the Federal Government. Therefore housing is the joint responsibility of Federal and State Governments and they work together on key housing priorities. In addition the Federal Government is responsible for providing rental assistance to people on low incomes living in the private rental market.

There has been a long-term decline in Federal Funding for public housing over a number of years. 'Shelter NSW' estimates that Federal Housing funding has been cut by almost 50% in real terms (allowing for inflation) since the mid 1980s. This decline in funding has gained pace since the 1996 election. Over the past four years Federal Housing funding has been cut by more than 10% in dollar terms to $948 million this year. Even this level of funding is guaranteed only until 2003. Without further funding the public housing system will be unsustainable.

These cuts do not take into account National Housing needs. The Public Housing Waiting List has increased to include 250,000 (as estimated by Shelter NSW) and the number of homeless Australians now stands at 105,000 (Chamberlain, an analysis of the 1996 census data in homelessness, in Counting the Homeless). The children suffer because of this and there is a distinct correlation between poor housing and domestic violence.

Alternatives

Governments have a key role in the establishment of just structures:

• In ensuring that there is an adequate supply of appropriate and affordable housing both by providing funding for public and community housing, and by putting into place incentives for the development of affordable housing in the private market.

• In extending the recent $14,000 grant to first home owners, and properly allocating such finance to public housing.

• In ensuring that there is a legal framework in which the rights of both tenants and landlords are protected.

• In ensuring that it is working with community organisations to guarantee that all neighbourhoods (particularly those with a concentration of disadvantaged people) are healthy, happy and secure places to live.

The Federal Government should take the lead in developing this national affordable housing strategy, involving all levels of government, industry and community organisations. The strategy should seek to address the shortfall in affordable housing by:

• · Immediately enhancing housing funding to the State Governments.

• Increasing levels of rent assistance in areas of identified need.

• Reviewing the Federal Rent Assistance program to ensure that people on low incomes are not paying more than 30% of their income on housing. Particular attention should be given to housing costs for single people and sole parents with one or two children and for people on low incomes paying higher rents in the major cities.

• Putting in place incentives to encourage the development of affordable housing in the private sector.

The strategy should seek to develop affordable housing by:

• Instructing national standards for Tenancy Legislation so that it enhances the security of tenure of private renters.

• Increasing commitment for community development initiatives in communities which are under stress due to long-term unemployment.