Waitakere City Council Rent Rise Unfairly Hits The Poorest

Waitakere Community Law Service (WCLS) urges Waitakere City Council councillors to reject the proposed change in rental policy for the Council’s housing for older adults. This will be decided this Thursday, 10th June, at their Finance and Operational Performance committee.

Council staff are proposing tenants pay 30% of gross income, up to 70% of market rent, whichever is the lower. Tenants’ current rent, of 25% of gross income, is already the most expensive amongst similar local authority housing in the Auckland region, which like HNZ charge only 25% net income.

Most tenants’ income is solely from superannuation. Even with accommodation supplement, single superannuitants will be $6 worse off each week, and be left with only $229 a week once their rent has been paid. Sigrid Shayer, WCLS spokesperson says, “Pensioners are not able to gain further income or savings, and may be living on this very low income for many, many years, with an increasing need for costly medical help and heating. Energy costs, in particular, are projected to rise faster than the rate of inflation.”

A report (NZ Superannuation – A Measure of Its Adequacy), recently released by Age Concern and Grey Power, states that a single superannuitant, living in Auckland, in a freehold home, with no other income than superannuation, already has a shortfall of $9-12 a week to maintain just a minimalist weekly budget! Whilst this study includes $28 rates in the weekly budget, it does not include rent, which for a similar Council tenant is currently $91 a week.

Sigrid Shayer, WCLS spokesperson, continues, “Therefore superannuitant renters are even more worse off. There is great unease, concern and fear at how severely this may impact on the quality of their already very restricted lives.” Here is the link to that report http://www.ageconcern.org.nz/money/income/nz-super-not-enough-live-%E2%80%93-study In particular, please see Part 2, page 7.

Waitakere Community Law Service has written to all councillors asking them consider the real negative impact this proposed change in rental policy will have on the majority of tenants who rely solely on superannuation. We have asked them to reject this proposed policy.

ENDS

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