Rent subsidies may be used in Melbourne

June 1, 2018 by  

A report into the affordability of Melbourne suggests that rent subsidies could be on the cards.

Recent research shows that rents are driving some workers away from central Melbourne. This trend could be reduced if subsidies for tenants were introduced, and the demand for stationery printers in Melbourne may increase if the affordability issue was addressed.

The report in question was produced by Community Sector Banking (CSB), National Shelter and SGS Economics. Adrian Pisarski, the executive officer at National Shelter, commented:

“People in the part-time economy – hospitality or retail or any kind or part-time employment – are really finding it hard. It puts enormous pressure on how well businesses can run, I think we’ll see employers having to subsidise workers’ accommodation so they can live close enough.”

Pisarski believes that high rents can contribute to excessive stress, and that various social problems can develop when affordable housing is scarce. Businesses may not be viable if their employees are obliged to relocate. If discretionary spending falls, the local economy might struggle to function properly. Pisarski wants tax reform to take into account the difficulties facing people who would like to get on the housing ladder.

James Baron at CSB thinks it is vital for employees to be able to reside close to their places of work. Proximity to childcare provision is another important issue.