Rental-Insights-A-COVID-19-Collection - Flipbook - Page 15
RENTAL INSIGHTS:
COPING WITH
LOW INCOME
Tenants aged under 50 were more likely
to have made use of SERS than older
people. Around one-fifth (19%) of both
18–29 and 30–49 age groups had made
an application, whereas 12.1 per cent of
50–64- year-olds and just 4 per cent of
over 65s had done so.
People with children were also more likely
to have made an application. Around
one- fifth of couples with children (21.2%)
and lone parents (20.0%) had applied
compared to 15 per cent of childless
couples and 14 per cent of singles.
There is also a distinct pattern of
applications relating to tenants’ incomes.
Around one-fifth of those with pre-tax
household incomes of $31–59,000 and
$59– 90,000 had made an application
with declining proportions doing so as
income rises (up to the highest income
band where there is a slight uptick).
What is the relevance
to Australian policy?
Whatever relief SERS provides as
an immediate response to COVID-19
related hardship, it risks undermining
the long-term financial security of the
individuals involved. It may further
undermine the integrity of the scheme if
governments see it as an alternative to
working age social security in the future.
The survey has shown an overlap
between use of SERS and loss of
housing affordability arising from
COVID-19. This is strongly suggestive
of income loss, and the key question
for Australian policy makers is why
policies actually designed to help
people in such circumstances, notably
Commonwealth Rent Assistance,
appear to be inadequate.
Renters who accessed COVID-19 Superannuation Early Release Scheme
by rental affordabilitys
45
40
35
30
25
20
15
10
5
0
Rent became unaffordable
Rent had not become unaffordable
Tenants aged under
50 were more likely
to have made use
of SERS than
older people.
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