Productivity Commission Report into National Housing and Homelessness Agreement

The St Vincent de Paul Society in Australia welcomes today’s call by the Productivity Commission for urgent reform of the National Housing and Homelessness Agreement, which governs Commonwealth funding to the states for housing services.

In a damning review, the Productivity Commission found that the NHHA had failed in its mission to improve access to affordable, safe, and sustainable housing and to foster collaboration between the Commonwealth and States and Territories.

Over the life of the NHHA, housing affordability had deteriorated significantly particularly in the private rental market, leading to a spike in demand for homelessness services and social housing.

The Commission recommended that Commonwealth Rent Assistance be overhauled to improve its adequacy and targeting; and concessions and grants for first homebuyers be redirected to struggling homelessness services, some of which are in permanent crisis.

National President Claire Victory said the St Vincent de Paul Society in Australia supported the Productivity Commission’s calls for urgent reform.

‘The Society is witnessing a sharp increase in demand for support from people struggling to pay skyrocketing rents or unable to access affordable housing,’ Ms Victory said.

‘A safe home is a fundamental human right, vital to human dignity. It is shameful that in 2022, the Australian dream has become a nightmare, with a whole generation unable to afford a home and a growing number of Australians at risk of becoming homeless as wages and income supports fail to keep up with surging costs of living.

‘We recognise the new Albanese Government’s commitment to introduce a National Housing and Homelessness Strategy and to establish a national Housing Supply and Affordability Council. But urgent action is needed now to help the growing number of Australians who are homeless or at risk of falling into homelessness.

‘We have written to the Treasurer, the Hon Jim Chalmers MP, urging him to increase Commonwealth Rent Assistance and JobSeeker in next month’s budget to lift vulnerable Australians out of poverty,’ Ms Victory said.

The St Vincent de Paul Society in Australia supports the Productivity Commission’s recommendations for broader structural reform to the National Housing and Homelessness Agreement through the negotiation of the next intergovernmental agreement, particularly

•  the inclusion of principles to guide how housing assistance should be provided and assistance dollars spent
•  a broader scope, covering all forms of direct housing assistance
•  achievable and measurable targets focused on outcomes for people
•  a new performance monitoring framework with annual reporting
• a new approach to supporting Aboriginal and Torres Strait Islander housing and homelessness services.

  The Society looks forward to working with the Albanese Government to support better housing outcomes for vulnerable Australians.