Updated analysis by the Parliamentary Library estimates that renters across Australia would be $10.7 billion better off if rents had been frozen nationwide for the past 12 months. With rents having increased by 21.5% nationwide, the average renter in Australia is paying $4,896 more for their home than last year.
The impact of a rent freeze varies by state. Sydney renters, who’ve seen their rents increase 28.6% in the last 12 months, would’ve been $7,450 better off on average had a rent freeze been in place. Melbourne renters, who’ve faced a 23.9% increase in the last 12 months, would’ve been $5,219 better off, and Brisbane renters, who’ve seen a 24% rent increase, would’ve been $5,104 better off had rents been frozen.
The Greens are calling on the Federal Government to put a nationwide two-year rent freeze on the agenda for this week’s National Cabinet meeting, as part of national tenancy standards including an end to no grounds evictions and minimum standards for rental properties.
Lines attributable to Max Chandler-Mather MP, Greens spokesperson for Housing and Homelessness:
The average renter would have nearly $5,000 more in their pockets this Christmas if the government had frozen rent increases over the last 12 months.
$5,000 could be a holiday and some great Christmas presents for the kids, or it could pay those outstanding bills, and instead it has been eaten up by unfair rent increases.
Over the last 12 months, renters paid an extra $10 billion in rent, while property investors pocketed $8.5 billion in federal tax concessions, which is desperately unfair and a reminder that right now politics really only works for the rich.
The Prime Minister needs to put a nationwide rent freeze and end to no grounds evictions on the agenda at this week’s National Cabinet meeting, and give the millions of people struggling with outrageous rent increases much needed certainty and relief.
If the Prime Minister doesn’t put a national rent freeze and an end to no-grounds evictions on the table at the National Cabinet meeting this week, then this will be a spectacular failure of leadership in the middle of the worst rental crisis in our recent history.
The Federal Budget has projected that over the next two years real wages will continue to decline while rents skyrocket and let’s be real, that will see Australia lurch into a major social crisis, unless Labor finally shows some leadership and freezes rents.
An emergency rent freeze worked in Victoria during the pandemic and it can work now across Australia to protect families from unfair rent increases that will either push them into devastating financial stress or even homelessness.
Estimated impacts of 12 month rent freeze, by state