‘Simply not enough’: Slow progress year on from landmark Victorian housing plan

One year after Victoria released a landmark housing plan, rents are increasing higher than inflation and wages and the crisis has gotten worse in almost every key indicator.

“At the moment, it’s unclear how much of the government’s 800,000-home target is actually social housing,” Council to Homeless Persons chief executive Deborah Di Natale said.

“The Big Housing Build is a great initiative, but unfortunately the data tells us it’s going to be nowhere near enough to end this housing emergency.”

Twelve months ago, then Premier Dan Andrews announced a major housing plan to shake up the planning process, build in-fill housing, tighten renters’ safety, and accelerate the building of social and affordable housing.

“The status quo is not an option, and admiring the problem will only make it worse,” Mr Andrews said at the time.

“Unless we take bold and decisive action now, Victorians will be paying the price for generations to come.” A few days later Mr Andrews resigned, ending a nine-year stint as Premier.

A year on, rents statewide are up 13 per cent.

More than 2000 households were cleared from the social housing waiting list at the start of this year, but more than 3000 families and single people were then added, taking the waitlist to 51,602.

Another 10,000 households need to be transferred to a different social housing property because of a change in circumstances, like a single parent and child who were living in a one bedroom home.

There are barely 1600 more social housing dwellings than there were in 2017. The number of people needing homelessness support services specifically because they can’t afford a home has come down by a few hundred this year to 10,342.

“Things have actually gotten worse for Victorians at the brink of homelessness since the government unveiled its Housing Statement last year,” the Council to Homeless Persons chief executive said.

“The Housing Statement was meant to be a landmark in tackling this crisis, but all key indicators are showing us it simply won’t be enough to stop more people from becoming homeless.”

On Friday the age pension, carer payment, parenting payment, JobSeeker and rent assistance all rose.

Single parents get an extra $1.64 per day, up to $211.20 per fortnight.

“I think people can see that every dollar does make a difference. But these are not big dollars,” Australian Council of Social Service chief executive Cassandra Goldie told ABC on Friday.

It was hard to track home many people were being evicted nationally, Dr Goldie said, because many evictions happened informally.

“People cannot pay their rent, they end up leaving the private rental market and they’re going into cars and tents and couches. This is very serious.”

“We need to fix the rate of JobSeeker and the unemployment payment, it needs to go up to at least the pension rate,” Dr Goldie said.

“Very generous tax cuts were delivered for people on higher incomes, but now we want a couple of dollars extra for people on the pension and JobSeeker,” she said.

Federal Social Services Minister, Amanda Rishworth, said Friday’s social security increases complemented energy bill rebates and the stage three tax cuts.

Asked if $1.64-per-day was enough of an increase, the Minister said it was a 12 per cent rise on the maximum rates.

People received on average $2000 more in rent assistance since Labor was elected in May 2022, she said.

“So, this is an important measure. It’s not the only measure. We’re not pretending this is the only measure to help with cost of living.”

“Many people on JobSeeker will also get Commonwealth rent assistance. They will also benefit from our freeze to medicines, and will benefit two years in a row from our $300 discount on energy bills.”

The Victorian government says it is doing “everything we can” to build new housing, and provide support to people in need, including the most vulnerable people in our communities.

The government has invested $6.3bn in housing for 13,300 new social and affordable homes across Victoria - more than 10,000 are under construction or built.

Speaking on Friday morning, Victorian Housing Minister Harriet Shing announced the government is redeveloping all of Melbourne’s 44 high-rise housing estates and delivering thousands more modern, secure and accessible social homes.

In many instances the old buildings no longer meet modern standards of living – particularly for families with kids, and people living with a disability.

“There’s a lot to do, but the progress we’re making across Victoria shows that the changes we’re making through the Housing Statement and record funding are making a big difference,” Ms Shing said.