The mounting pressure of housing affordability across the country is an increasingly crucial election issue. In the lead up to the Federal Budget, national housing campaign Everybody’s Home has released a heatmap revealing the proportion of households living in financial stress, and Canberra’s percentages show more than half the population are affected.
Illustrating the impact of rising rents and stagnant wages, the weight has been particularly felt in outer suburban and coastal communities across the country.
The ACT statistics vary according to each of the three electorates..
In the Bean electorate – which includes Tuggeranong, Weston Creek, and the Molonglo Valley – 24.2 per cent of renters and 43.3 per cent of mortgagees are in financial stress.
Conversely, in the seat of Canberra – which includes Canberra Central, Majura, and Kowen – 42.1 per cent of renters and 27.6 per cent of mortgagees are in financial stress.
In the northern electorate of Fenner – which includes Gungahlin and part of Belconnen – 29.9 per cent of renters and 34.3 per cent of mortgagees are in financial stress.
Everybody’s Home spokesperson, Kate Colvin, said the data displays the need for dramatically increased investment in social housing.
“Incomes are not keeping up with surging housing costs. This is no longer an issue which impacts only those on modest incomes or those living in the major cities,” Ms Colvin said.
“Middle income Australians can’t keep up with rent and mortgage payments. Regional communities are also experiencing housing crises never seen before.
“There is no time to waste; we need an urgent commitment from the Treasurer to invest in social housing in the upcoming Federal Budget. Millions of Australians are counting on it.”
Federal social housing funding has continued to decline, despite rental affordability worsening. Current data forecasts the next Federal Budget will commit $1.6 billion in social and Indigenous housing, when in 2013-14 there was over $2 billion, reveals Everybody’s Home.
Ms Colvin said that not only would social housing investment elevate housing stress, but it would also give the national economy a much-needed boost.
“Investing in social housing is more than just providing everyone a place to call home. It will also provide our economy with a significant economic boost,” she said.
“Building just 25,000 social and affordable homes per year would generate annual economic output of $12.7 billion and create 15,7000 jobs.
“The upcoming Federal Budget represents a unique opportunity for Treasurer Josh Frydenberg which cannot be wasted. Failure to deliver more social housing will further exacerbate what is already a developing social crisis.”
This report comes after more than 150 Australian organisations working at the helm of the housing and homelessness crisis called on Treasurer Josh Frydenberg to invest more in social housing this Federal Budget.
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