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Labor housing policy a step in the right direction

Shelter NSW media release - 6 July 2004

In terms of hard cash the Labor Party’s new national housing policy is not very adventurous, but at least it offers a better deal for low-income people than the current Commonwealth State Housing Agreement (CSHA), says housing peak agency Shelter NSW.

‘It’s good that the Labor Party plans to reopen the CSHA and put more money on the table with $325 million extra over the next four years,’ said Shelter executive office Mary Perkins today.

‘When you look at 200,000 households on public housing waiting lists around the country, the 11,350 new homes it will build will help less than 6% of them – not much more than a drop in the bucket.’

However, the new policy framework presented a solid basis for future development of coordinated housing policy across the country, said Ms Perkins.

‘The Labor Party has responded to concerns we and others raised at the National Housing Summit, by committing its government to a housing ministry and development of a national housing strategy, with a national strategy for affordable housing to be developed within 12 months,’ she said.

‘Some other initiatives promised greater flexibility for public housing, both by providing separate funding for new construction and for recurrent costs, and by easing the eligibility criteria for public tenancies.’

‘An additional and separate $75 million for New Housing Partnerships will at least enable the development of a handful of demonstration projects.

‘Given that the Treasurer, Mr. Costello, has clearly indicated in his response to the Productivity Commission inquiry that the Coalition’s policy is primarily concerned with first home purchasers, these initiatives are a welcome step in the right direction. At least the Labor Party appears to be aware there is a problem not currently being addressed.’

Ms Perkins also welcomed pressure on the States to come up with matching funds to increase the pool of money in the CSHA.