Housing Minister gives a wake up call to the Federal Government

4/5/01 Housing Minister Tom Stephens has called on his Federal counterpart, Minister for Family and Community Services, Senator Amanda Vanstone, to allocate additional funds for Western Australia to ensure that the public housing system can provide for those who need it most.

4/5/01
Housing Minister Tom Stephens has called on his Federal counterpart, Minister for Family and Community Services, Senator Amanda Vanstone, to allocate additional funds for Western Australia to ensure that the public housing system can provide for those who need it most.
Speaking at the State Housing Minister's Conference in Alice Springs today, Mr Stephens said that he would continue to lobby the Federal Government to give Western Australians a better deal.
The Minister said he had approached Senator Vanstone as soon as he became Minister for Housing, to express his concerns that the Commonwealth State Housing Agreement (CSHA) was inadequate to provide even the most basic level of public housing.
"The current CSHA, which was agreed to in 1999 by the previous Government, has no indexation component and coupled with the one per cent efficiency dividend has seen a real reduction of funds," Mr Stephens said.
"Combine this with the impact of the GST in building costs the CSHA has been a disaster for this State.
"Consequently this State's public housing budget is facing a $40 million reduction over the next three years and we can ill afford it.
"The State's public housing industry is facing an up hill battle without the support of the Federal Government and it must be called to account to play its part in providing the funds that will make a difference to many Western Australians.
"The problems in the housing industry have also been compounded by the liquidation of HIH Insurance causing a backlog in insurance and building approvals.
" Premier Dr Geoff Gallop has been proactive in resolving this situation and has written to the Prime Minister requesting that he take immediate steps to establish a program to assist individuals and businesses that are currently experiencing financial hardship as a result of the collapse of HIH.
"The collapse of HIH has been a calamity. The Commonwealth Government has the responsibility for the regulation of the insurance industry under the Australian Prudential Regulation Authority Act 1998 and it must show leadership in finding comprehensive solutions to deal with this issue."
Mr Stephens said that the Federal Government should listen to the needs of WA, show compassion and provide the financial solution to the public housing needs of many people living in this State and specifically regional WA.
This could be the last chance the Federal Government has in getting it right for WA.
Media contact: Julie Cole 9213 6500