ID :
82174
Tue, 09/29/2009 - 08:24
Auther :
Shortlink :
http://m.oananews.org//node/82174
The shortlink copeid
Aged pensioners' rents to rise next year
(AAP) - The federal government is urging the states to pass on the full value of a recent pension boost to the elderly, instead of slugging them with higher public housing rent.
From September 2010, single aged pensioners in public housing in most Australian
states will lose a quarter of their $30-a-week pension boost because their rents
will increase.
When Prime Minister Kevin Rudd announced the pension rise in the May budget, he
wrote to all premiers and chief ministers asking that their housing authorities
allow the entire extra benefit to flow on to pensioners.
Federal Housing Minister Jenny Macklin said she was unhappy with the NSW
government's decision to instead increase public housing rent for pensioners.
"They've waited a long time for this pension rise ... and we want it going into
their purses and wallets, not gobbled up by rent," she told ABC Radio on Monday.
Ms Macklin said the commonwealth did not consider a 12-month rent reprieve long enough.
"It is totally unacceptable that the states are only allowing the full value of the
pension to go for a year."
But NSW Housing Minister David Borger said the $12 million in additional funds
generated by the rent rise would go straight into building more public housing for
those in greatest need.
"Obviously rent increases, fee increases, are always a difficult issue," he said.
"But on balance the difference between charging the additional $7.50 and not means
an extra 50 units of seniors pensions accommodation can be built over a year."
The move has "appalled" the country's largest seniors group, National Seniors.
"We call on the NSW government to cancel their plans," chief executive Michael
O'Neil said, before warning other states not to follow suit.
"If they do, they should expect serious backlash from the public."
Acting Prime Minister Julia Gillard said she had written to the state and territory
governments' representative body, the Council of the Federation, about the issue.
"That conversation is continuing ... but I believe the goal is clear; we want to
make sure that pensioners benefit from the pension rise," she said.
Council chair and Queensland Premier Anna Bligh said pensioners had already enjoyed
a 12-month moratorium on rent increases.
She said they would continue to pay about the same amount of their income, around 25
per cent, in rent.
"This has happened every time there has been a pension increase," Ms Bligh said.
"The only difference is this year we're giving a 12-month holiday in recognition of
how long it's been since there's been a pension increase."
Acting Opposition Leader Julie Bishop said the federal government could have stopped
the pension increase being "whittled away" by ramped-up rent.
"The federal government always has the capacity to tie grants to outcomes, they
didn't do it in this situation," she said.
"It's self-evident the federal government should sit down with their Labor
counterparts in NSW and sort out this mess."
From September 2010, single aged pensioners in public housing in most Australian
states will lose a quarter of their $30-a-week pension boost because their rents
will increase.
When Prime Minister Kevin Rudd announced the pension rise in the May budget, he
wrote to all premiers and chief ministers asking that their housing authorities
allow the entire extra benefit to flow on to pensioners.
Federal Housing Minister Jenny Macklin said she was unhappy with the NSW
government's decision to instead increase public housing rent for pensioners.
"They've waited a long time for this pension rise ... and we want it going into
their purses and wallets, not gobbled up by rent," she told ABC Radio on Monday.
Ms Macklin said the commonwealth did not consider a 12-month rent reprieve long enough.
"It is totally unacceptable that the states are only allowing the full value of the
pension to go for a year."
But NSW Housing Minister David Borger said the $12 million in additional funds
generated by the rent rise would go straight into building more public housing for
those in greatest need.
"Obviously rent increases, fee increases, are always a difficult issue," he said.
"But on balance the difference between charging the additional $7.50 and not means
an extra 50 units of seniors pensions accommodation can be built over a year."
The move has "appalled" the country's largest seniors group, National Seniors.
"We call on the NSW government to cancel their plans," chief executive Michael
O'Neil said, before warning other states not to follow suit.
"If they do, they should expect serious backlash from the public."
Acting Prime Minister Julia Gillard said she had written to the state and territory
governments' representative body, the Council of the Federation, about the issue.
"That conversation is continuing ... but I believe the goal is clear; we want to
make sure that pensioners benefit from the pension rise," she said.
Council chair and Queensland Premier Anna Bligh said pensioners had already enjoyed
a 12-month moratorium on rent increases.
She said they would continue to pay about the same amount of their income, around 25
per cent, in rent.
"This has happened every time there has been a pension increase," Ms Bligh said.
"The only difference is this year we're giving a 12-month holiday in recognition of
how long it's been since there's been a pension increase."
Acting Opposition Leader Julie Bishop said the federal government could have stopped
the pension increase being "whittled away" by ramped-up rent.
"The federal government always has the capacity to tie grants to outcomes, they
didn't do it in this situation," she said.
"It's self-evident the federal government should sit down with their Labor
counterparts in NSW and sort out this mess."