Master Builders Association rather predictably bites back at Labor's negative gearing policy

 Labor's policy.....

ABC News, 13 February 2016:

Federal Opposition Leader Bill Shorten has unveiled plans to change negative gearing rules for property purchases, in a move touted to "put the great Australian dream back within reach for the middle and working class".

Key points:

* Labor government would restrict negative gearing to "newly constructed homes"

* Capital gains tax discount reduced from 50 per cent to 25 per cent

* Both measures would come into force from July 2017

* All existing investments under the scheme would be fully "grandfathered" and protected against changes

With just months to go until a federal election is called, Mr Shorten used his speech to the NSW ALP conference to rally the party faithful for the battle ahead.

He said if Labor wins the election, from July next year negative gearing would only be available on newly-constructed homes.

The changes under a Shorten government would not affect the tax arrangements for investment properties purchased before July 2017.

Under costings released from the Parliamentary Budget Office, the measures could save the budget $32.1 billion over 10 years once they come into force.

Builders' snark.....

Medianet Release 13 February 2016:

“Labor’s policy announcement on negative gearing has squarely driven a marker not only in the housing debate but also in the broader debate about tax reform and the values we hold as a community,” Wilhelm Harnisch, CEO of Master Builders Australia said.

“Master Builders Australia is committed to tackling the underlying challenges that impact on housing affordability so that home ownership and the housing rental markets remain a cornerstone of Australia’s way of life. The ALP’S new policy position will be controversial by moving away from a long held bipartisan approach since the 1990s after the failed negative gearing policy experiment,” he said. 

“The quarantining of negative gearing to newly constructed residential buildings has certain attractions for the residential building sector but has a sting in the tail by reducing the Capital Gains Tax discount from 50% to 25%,” Wilhelm Harnisch said.

“Our concern is that Labor’s policy is a populist response to those who demonise housing and negative gearing as primary cause of our fiscal and social problems. Investing in new private rental housing is not evil,” he said.

“The private rental market is a critical supplement to the public and social housing rental sectors.

The private rental market also provides a valuable role in supplementing the retirement income strategy for mum and dads on low and middle incomes. Housing is an asset class just as shares and just as shares, interest deductibility in investment housing should remain as a tax feature,” he said.

“The ALP policy leaves important questions unanswered including how to overcome structural impediments to increasing housing supply which is the only effective way to truly tackle housing affordability for both homeowners and renters ” Wilhelm Harnisch said.

“Master Builders has called for the Federal Government to work with State and Territory Governments to use federal national competition policy payments for individually targeted and permanent structural reforms that can remove the current unnecessary blockages that inflate the cost of housing,” he said.

“Master Builders will continue its positive engagement with the ALP on this important area of public policy,” Wilhelm Harnisch said.

“But what we are looking for from both major parties in the lead up to the Federal Election are policies that add to economic growth, create jobs and enhances the positive role that housing can play and that will at the same time improve the ability of mums and dads make their contribution by providing rental housing and at the same time look after their own retirement strategies,” Wilhelm Harnisch said. 

Who negatively gears investment properties.....

The Sydney Morning Herald, 15 February 2015:

Exclusive analysis of the costs and take-up of negative gearing, the 50 per cent capital gains tax discount, and superannuation tax concessions, shows the combined revenue loss - or tax expenditure - will amount to some $50 billion annually within three years, although under 7 per cent of that benefit will flow to the under 30s.

The data-crunching has been undertaken by the National Centre for Social and Economic Modelling using its own database of Australian households as well as the latest information released by the Australian Tax Office.

It was commissioned by the progressive think tank, The Australia Institute.

Executive Director Ben Oquist said the findings showed conclusively that keeping the current concession regime in place is neither in the national interest nor fair.

"In total, these concessions are worth more than $37 billion, yet the young receive only $2.4 billion of their value," he said.

"The capital gains tax discount and negative gearing are particularly unfair for the young, with the under 30s taking approximately 1 per cent of the benefit of tax breaks worth $7.7 billion a year and climbing.

The NATSEM research also shows that 73 per cent of the benefits of the capital gains tax discount, flows to the top 10 per cent of income earners.

All up, it says the under 30s share of the three concessions combined is just 6.4 per cent, whereas those over 50 years of age receive 53 per cent of the benefits. That works out to $2.4 billion versus $19 billion for those over 50 - many of whom are already well-off......

ABC The Drum, 24 September 2014:

When I crunched the numbers, over 60,000 people with investment properties whose taxable income was $80,000 or less had total incomes above that $80,000 threshold ...

The very reason that many housing investors fall below the $80,000 threshold is because they have used negative gearing to slash their tax bill...

Graphs found at  

http://www.abc.net.au/news/2014-09-24/janda-the-myth-of-mum-and-dad-negative-gearers/5766724

NSW Rental Tenancy Law Review community consultation closes 26 January 2016

NSW Fair Trading website:

The NSW Government is reviewing the Residential Tenancies Act 2010 (the Act). The Act establishes a comprehensive set of rights and obligations for:   
  *landlords 

 * tenants

 * social housing providers

 * real estate agents who act for landlords.    
     

As part of this review, you are now invited to view a Discussion Paper to help you consider improvements to the current laws. This consultation closes on 29 January 2016. Read more about how you can have your say below.  

What are we doing?

Have your say

Next steps

Some rental horror stories are being recorded by The Greens Jenny Leong at https://www.facebook.com/events/1513744868919794/.

Community Housing Limited just won't take no for an answer so it's off to court again for Clarence Valley Council

Community Housing Limited is an international public benevolent institution which in 2014 had a surplus of over $11.1 million, total rental income of over $36.6 million and paid no income tax.

In Australia its combined grant and incentive income in that same year was over $17.7 million.

It has 5,600 properties under management in this country according to Managing Director Steve Bevington [Macleay Argus, 12 April 2015, Leonard's light bulb woes]

In the Coffs Harbour area the company appears to have taken possession of 180 Coffs Harbour public housing properties (a mix of one & two bedroom units) in 2011, with the state government contributing a one-off payment of around $1.5 million and the company making a contribution of around $1 million to required property upgrades.

In the Clarence Valley it has fourteen housing properties (a mix of units, townhouses and houses) in Grafton funded by federal, state and local government in the form of land contribution, discounted land sale, capital grants and National Rental Affordability Scheme (NRAS) as well as a loan taken out by the housing company.

In December 2014 this comfortably cashed-up company lost a NSW Land & Environment Court bid for rates exemption on its 1,368 properties in this state.

Now it is back for a second round. This time in the NSW Supreme Court, where on 20 May 2015 it will have a directions hearing (notice of appeal) in Community Housing Limited v Clarence Valley Council 2015/00014853.

Australian Immigration Minister Peter Dutton: a photo study in lifestyle contrasts

This is 109 Jefferson Lane, Palm Beach, Queensland. It is what is described as an investment property owned by the Australian Minister for Immigration and Border Protection, Peter Craig Dutton.

He reportedly purchased it for $2.32 million. In September 2014 the real estate agent described it as a lifestyle address that is simply unrivalled.

This is where many of the asylum seekers in his care live. None of this accommodation can be described as ‘a lifestyle address’.

All detention centre images were found at Google Images

Every Australian Counts launches the DIY Disability Housing Plan

Media release 20 March 2015:

DIY Disability Housing Plan

“While the National Disability Insurance Scheme has been talking about making a plan to start building accessible housing for people with disability, TV’s ‘The Block’ has built 18 units”.

The NDIS at full scheme will have a budget of up to $700 million a year to invest in accessible housing for people with disability. This week we learned that after two years of discussion the housing options paper prepared by the National Disability Insurance Agency has been binned! Instead they are going to discuss the issue again at the next national meeting of disability ministers in April.

John Della Bosca continued “By 2020, there will be 122,000 people with disability eligible for the NDIS without accessible housing. This problem is not going away. It’s time the Ministers took disability housing out of the too hard basket”.

It is taking too long for the governments to come up with a plan and so we are making our own. Today the Every Australian Counts launched the DIY Disability Housing Plan. While our politicians are talking about making a plan, people with disability and their families are going to write a plan ourselves.

John Della Bosca concluded: “We are calling on our 160,000 supporters to send in ideas on how the NDIA should invest $700 million each year to provide accessible housing to people with disability. What they have taken two years to do, we will do in one month.

Contributions to the paper are being made at http://www.everyaustraliancounts.com.au/take-action/

Before you start to cry copious tears for Community Housing Limited on the NSW North Coast......

Mainstream media on the NSW North Coast reported that Community Housing Limited had lost its NSW Land & Environment Court bid for rates exemption on its 1,368 properties in this state.

On its website the company asserts it is a registered charity. However, the Australian Securities and Investment Commission lists it as a public benevolent institution and the court decided that the company failed to prove it was a charity in its presented arguments.

In its Concise Annual Report 2014 Community Housing Limited stated:

At 30 June 2014 CHL had a portfolio of 4,309 properties under rental management in Australia across six States including Victoria, New South Wales, Western Australia, South Australia, Queensland and Tasmania. Internationally in Timor Leste, Chile, and India….

Results for year

Total revenue and other income of the Economic Entity is $70,842,035 (2013: $88,406,634).

Total Members Funds are $315,033,844 (2013: $303,983,086). Net surplus for the year amounted to $11,050,758 (2013:$39,630,760)….

In 2014 the company had a surplus of over $11.1 million, total rental income of over $36.6 million and paid no income tax.

In Australia its combined grant and incentive income in 2014 was over $17.7 million.

In the Coffs Harbour area the company appears to have taken possession of 180 Coffs Harbour public housing properties (a mix of one & two bedroom units) in 2011, with the state government contributing a one-off payment of around $1.5 million and the company making a contribution of around $1 million to required property upgrades.

In the Clarence Valley it has fourteen housing properties (a mix of units, townhouses and houses) in Grafton funded by federal, state and local government in the form of land contribution, discounted land sale, capital grants and National Rental Affordability Scheme (NRAS) as well as a loan taken out by the housing company.

These appear to be typical profiles of how this company funds its affordable housing expansion.

So the bottom line in all this is that a comfortably cashed-up international housing company (which already gets considerable assistance from all three tiers of Australian government) wanted more and didn’t get it.

Forgive me, if I cannot see why it shouldn’t pay its council rates, particularly in regional New South Wales where net surpluses running into many millions are rarely found in in local government coffers.

OVERCOMING INDIGENOUS DISADVANTAGE 2014 report released 19 November 2014

M e d i a R e l e a s e

Wednesday 19 November 2014

Steering Committee for the Review of Government Service Provision

OVERCOMING INDIGENOUS DISADVANTAGE 2014

The 2014 Overcoming Indigenous Disadvantage (OID) report released today shows some positive trends in the wellbeing of Aboriginal and Torres Strait Islander Australians, with improvements in health, education

and economic outcomes. However, results in areas such as justice and mental health continue to cause concern.

The report shows that, nationally, for Aboriginal and Torres Strait Islander Australians:

• economic outcomes have improved over the longer term, with higher incomes, lower reliance on income support, increased home ownership, and higher rates of full time and professional employment.

However, improvements have slowed in recent years

• several health outcomes have improved, including increased life expectancy and lower child mortality.

However, rates of disability and chronic disease remain high, mental health outcomes have not improved, and hospitalisation rates for self-harm have increased

• post-secondary education outcomes have improved, but there has been virtually no change in literacy and numeracy results at school, which are particularly poor in remote areas

• justice outcomes continue to decline, with adult imprisonment rates worsening and no change in high rates of juvenile detention and family and community violence.

“It has been almost three years since the last OID report. For this report we made a concerted effort to increase the involvement of Aboriginal and Torres Strait Islander Australians. Their input contributed to significant developments, including broadening the focus from overcoming disadvantage to improving wellbeing, and the inclusion of new indicators, such as Indigenous language revitalisation and maintenance, valuing Indigenous cultures (including experiences of racism and discrimination) and participation in decision making” said Peter Harris, chairman of the Productivity Commission and of the Steering Committee.

The OID report is the most comprehensive report on Indigenous wellbeing produced in Australia. It contains accessible data for an extensive range of wellbeing measures as well as case studies of programs that have led to improved outcomes. “This report should be compulsory reading for anyone interested in outcomes for Aboriginal and Torres Strait Islander Australians or working in service delivery or program design,” said Commissioner Patricia Scott, who convenes the expert working group that advises on the report.

The report is a product of the Review of Government Service Provision. It is overseen by a Steering Committee comprising senior officials from the Australian, State and Territory governments, and supported by a secretariat from the Productivity Commission. This report is the sixth in the series, which traces its origins to the final report of the Council for Aboriginal Reconciliation in 2000.

The full report can be found here.

On the same day the Productivity Commission report was released the Abbott Government walked away from another one of its 2013 election promises, according to The Australian, 20 November 2014:

THE national peak body for Aboriginal and Torres Strait Islander Legal Services NATSILS is angry at the Abbott government for “back flipping” on a pledge to consider introducing justice targets as part of the Closing the Gap policy agenda, a move which NATSILS along with many other Aboriginal and Torres Strait Islander leaders and organisations have long called for.

It comes after this week’s Productivity Commission Overcoming indigenous Disadvantage report revealed a shocking increase of nearly 60 per cent in Aboriginal and Torres Strait Islander incarceration rates over the last decade.

NATSILS Chairperson, Shane Duffy, said that confirmation from the Minister for indigenous Affairs, Nigel Scullion, during question time in the Senate on Wednesday that the government would not be progressing with introducing a justice target, despite publicly supporting such in the lead up to the 2013 election, was a troubling development…..

Mr Duffy said that the development of Closing the Gap justice targets was not just about throwing more money at the issue, as the Minister had described it, but was rather about getting the policy settings right to affect real change and to make sure resources in the justice space are used most effectively.

“The high cost of incarceration combined with the fact that prisons actually offer little in terms of effective rehabilitation, means that addressing incarceration rates should be an economic priority for the Government and its budget bottom line,” Mr Duffy said.

“It is costing Australian taxpayers more than $795 million per annum just to maintain the current level of Aboriginal and Torres Strait Islander over-imprisonment, so to reiterate the sentiments of the Minister in recent days, we shouldn’t just keep throwing money down the drain.”

The Abbott Code Explained - Part One

The Abbott Code

Interim Report of the Reference Group on Welfare Reform to the Minister for Social Services, June 2014:

Effective Rent Assistance

Rent Assistance should be reviewed to determine appropriate levels of assistance and the best mechanism for adjusting assistance levels over time. Rent Assistance for parents should recognise their role in supporting young people beyond school to independence.

Consideration could be given to moving away from the current system of income based rents towards the use of Rent Assistance as the preferred rent subsidy scheme across both private and public tenures.

Decoded Message

It is our intention to allow the states to charge full market rent for public/social housing stock and, the only welfare subsidy available will be a maximum of $61.50 per week off that market rent for age pensioners, independent retirees, disability support pensioners without children, unemployed singles/couples and low income childless couples or between $73.78-$83.65 a week off full market rent if you have dependent children/recent school leavers who have not yet started work.

BACKGROUND

Rents for the March Quarter 2014 according to Housing NSW:

NSW North Coast

Tweed Valley 2-3 bedroom flat/unit/house - median rent* $290-$380 per week

Richmond Valley Coast 2 bedroom flat/unit/house - median rent $300-$428

Richmond Valley Hinterland 2-3 bedroom flat/unit/house - median rent $215-$300

Clarence Valley 2-3 bedroom flat/unit/house - median rent $225-$290

Coffs Harbour 2-3 bedroom flat/unit/house - median rent $260-$365

Some metropolitan/local government areas in New South Wales

Port Stephens 1-3 bedroom flat/unit/house - median rent $200-$350

Newcastle 1-3 bedroom flat/unit/house - median rent $220-$420 

Woolongong 1-3 bedroom flat/unit/house - median rent $230-$430

Greater Sydney 1-3 bedroom flat/unit/house - median rent $450-$500 including:

Parramatta 1-3 bedroom flat/unit/house - median rent $333-$480

Liverpool 1-3 bedroom flat/unit/house - median rent $260-$440

Campbelltown 1-3 bedroom flat/unit/house - median rent $298-$380

Blacktown 1-3 bedroom flat/unit/house - median rent $250-$400

Auburn 1-3 bedroom flat/unit/house - median rent $410-$520

Bankstown 1-3 bedroom flat/unit/house - median rent $260$480

Blue Mountains 1-3 bedroom flat/unit/house - median rent $240-$380.

* Median Rent is the weekly rent amount that falls exactly in the middle of the full range of rents charged.

UPDATE

Northern Rivers Echo 4 August 2013:

Table derived from Australian Property Monitors 2014 June Quarter data

So just how much is the O'Farrell Government taking from the wallets of public housing tenants when it takes one quarter of their Commonwealth Clean Energy Supplement?

In April 2013 the NSW Coalition Government began to calculate public housing rent to include the Commonwealth Clean Energy Supplement. It also allowed community housing associations/corporations to similarly adjust their rent calculations.

Premier O’Farrell said revenue needs to be raised by increasing public housing rents because NSW won’t be compensated for the carbon tax “hit” to electricity generators.

According to the NSW Auditor-General in 2012; New South Wales has the largest social housing portfolio in Australia, comprising over 150,000 dwellings. LAHC owns the bulk of these with about 134,000 dwellings valued at around $32 billion.

If one nominally allocates one Clean Energy Supplement payment of $13.50 per fortnight^[1] to each of the 134,000 dwelling owned by the NSW Land and Housing Corporation (LAHC) and totals the 25% of this supplement that the NSW O’Farrell Government takes from the renters of this public housing – then Liberal Party Premier O’Farrell and Nationals Deputy Leader Stoner now extract an estimated $11.7 million annually out of the pockets of predominately old aged and disability pensioners, widows (including war widows), single parents and carers.

In March 2013 the NSW Liberal Party stated that the cost to the State Budget of the carbon tax is expected to be $237 million. So 134,000 low income households will be paying an estimated 4.96%^[2] of the O’Farrell Government’s total expected carbon tax bill for 2013-14.

Or to put it another way, about 5.42% of all 2.4 million NSW households (ABS National Regional Profile: New South Wales 2013) pay almost 5% of the NSW Government's total expected carbon tax bill.

 

If one also nominates one Clean Energy Supplement payment per fortnight to each of the 16,000 dwelling held by community housing – then the not-for-profit housing sector takes another $1.4 million annually. As this sector is unlikely to find that it is directly liable for the carbon tax, one wonders what excuse it will give its low income tenants for so blatantly gouging.

One particular Northern Rivers community housing company collects around $74,000 per annum from its tenants’ fortnightly federal energy supplements.


[1] The $13.50 is a single person's fortnightly payment if they are receiving the aged, disability, widow's or wife's pension or receiving carers payment.

[2] A thank you to Clarrie Rivers for confirming the estimated percentage of public housing renters paying part of the state's expected carbon tax bill.

Ballina affordable housing stock grows by 120

THE HON MARK BUTLER MP

Minister for Mental Health and Ageing

Minister for Housing and Homelessness

Minister for Social Inclusion

Minister Assisting the Prime Minister on Mental Health Reform

JANELLE SAFFIN MP

Member for Page

JOINT MEDIA RELEASE

120 MORE AFFORDABLE HOMES FOR BALLINA

26 April 2013

North Coast residents will soon have access to 120 more affordable homes in Ballina, thanks to a $5 million investment by the Labor Government under its Building Better Regional Cities program.

Minister for Housing and Homelessness Mark Butler, Federal Member for Page Janelle Saffin, and Ballina Mayor, Cr David Wright, said the funding would help reduce the cost of building local infrastructure needed for a new housing development in Ballina.

“We know that housing shortages are creating challenges on the North Coast and The Ballina Heights Estate will deliver much needed affordable housing for the region.

“I gave strong support to Ballina Shire Council's submission, given the community need for affordable housing and the Council's great work and planning.  Mayor Cr. David Wright and his team of Councillors and General Manager Paul Hickey and his team are to be commended," Ms Saffin said.

“This funding will help reduce the cost of the development by delivering essential infrastructure such as stormwater drainage and street lighting in the estate, and these savings will be passed on to home buyers with a $25,000 rebate from the purchase price of land in the Estate.”

Cr Wright said the funding would help more low income earners in Ballina gain access to affordable housing.

“I know how challenging it can be for people on low incomes to get a start in the property market and tohis project will increase the supply of affordable homes for sale and rent and help alleviate housing supply pressures in our community,” Cr Wright said.

“The Ballina Heights development is about more than just housing. It’s about creating a community, with a new school, shops, and public parks, all at the residents’ doorsteps.”

Mr Butler said the Building Better Regional Cities program is part of the government’s record $26 billion investment in housing programs to help address housing affordability around the nation.

“We’re investing in regional centers like Ballina, where rapid population growth is forcing up house prices and rents,” Mr. Butler said.

“This funding is in addition to the $4.5 million we provided Ballina Council under Building Better Regional Cities for the development of sports fields in Wollongbar.”

He said the funding is part of the Labor Government’s $114 million investment over three years to support local infrastructure projects for new housing developments in 16 regional communities across Australia.

“We believe all Australians deserve a safe, secure home, and we will continue to work to provide affordable housing for Australia’s most vulnerable people.”

Media contacts:

Tim O’Halloran (Butler) – 0409 059 617

Lee Duncan (Saffin)      – 0448 158 150

Are Clarence Coast homeowners becoming too greedy?

National Australia Bank (NAB) Quarterly Australian Residential Property Survey: June 2012:
"According to the survey, national house prices fell -2% in the June quarter, from -1.3% in Q1’12, with all states reporting price falls in the 3 months to June.
House price declines were most pronounced in Victoria, down -2.9% (-1.8% in Q1’12). Heavier falls were also seen in NSW (-2.3%), compared with -0.4% fall in Q1’12. Capital values held up best in WA, although they also fell -0.6% (-0.1% in Q1’12). Marginally slower price declines were recorded in Queensland (-1.7%) and SA/NT (-1.6%).
The housing sector is expected to remain under pressure in the next year, with property professionals expecting national prices to fall by -0.7% (-0.2% forecast in Q1’12). There is, however, wide variance between the states.
Prices are expected to continue falling in Victoria (-2.1%), NSW (-1.5%) and SA/NT (-0.5%), but grow in WA (1.6%) and Queensland (0.5%)."
ANZ Research is slightly more optimistic; "prices, capital values and property market confidence in NSW should edge gradually higher through the second half of 2012 in the absence of further deterioration in the global economy."
These reports might explain why First National Real Estate Yamba in its July 2012 property update flyer is stating “some vendors pricing does not reflect the current market” as contributing to the fact that only forty-five homes have been recorded as sold in Yamba in the last six months.
Apparently many of those million dollar plus waterfront ‘mansions’ are only worth a million dollars plus in the eyes of their owners at the moment. Which might explain why they have been very publicly languishing in online property listings representing around three hundred and twenty Yamba properties currently for sale.

Barry O'Farrell robs around 1,400 pensioners living in the Page electorate

Saffin calls on O’Farrell Government to stop slugging pensioners

Page MP Janelle Saffin has slammed the O’Farrell Government for taking part of the Federal Government’s recent pension increase away from public housing tenants.

Premier O’Farrell has announced a hike in public housing rents from March next year.

Ms Saffin said the NSW Government is using Labor’s pension increase as an excuse to hit public housing tenants.

“This cash grab will affect about 1400 public housing tenants in Page.

“The Federal Labor Government is delivering a boost for pensioners to help them make ends meet, but Barry O’Farrell wants to take a slice of it for himself.

“Local pensioners are sick and tired of seeing the NSW Government hit pensioners every time the Federal Labor Government gives them a bit of extra support.

“All pensioners in Page have received a lump sum payment from the Federal Government in recent weeks of $250 for singles and $380 for couples. From next March they will get a permanent boost to their regular payments.

“But Barry O’Farrell’s decision means a maximum rate single pensioner in public housing will be paying an extra $84.50 in rent a year.

“Federal Labor is delivering the pension increase as a separate, stand-alone supplement. The accepted practise is to leave pension supplements alone when public housing rents are calculated.

“In 2009 when the Australian Labor Government brought in the biggest ever increase to the pension, I lobbied the then State government to quarantine the increase from public housing rent rises,” Ms Saffin said.

“Barry O’Farrell has betrayed local pensioners.”

June 15, 2012

Media contact:  Lee Duncan 0448 158 150

Uncle Joe puckers up and blows the first dog whistle of the season

On the 3^rd January 2012 @JoeHockey tweeted that “I warned of this a year ago!!!”

I clicked on the link wondering what financial horror the federal shadow treasurer had uncovered.

The article merely confirmed the bleeding obvious; “Among banks trading in Australia, the major lenders account for 86.7 per cent of the home loan market.
Well, knock me down with a roo’s tail feather!

Now mortgage holders can switch between banks with no financial penalty for doing so, they are still sticking with the big banks.

I wonder why?

Could it possibly be that these aspirational borrowers believe that solid reputations built up over decades or centuries by the banks really matter in periods of global financial uncertainty?

Or did many of them approve of the big banks following the November 2011 example of the Reserve Bank rate cut? After all there was a surge in mortgage lending to first home buyers and investors right after that – mostly within the banking sector.

Were they cheered by the fact that in December all four of the big banks had passed on another rate cut to their borrowers?

Now Uncle Joe likes to blow his dog whistle loudly over Twitter, this time crying out that Teh Big Four are still big!
A few street mutts might even scamper his way. This old mongrel won't be one of them.
I may hail from a long gone time where you actually knew your bank manager and it was the price of our schooners which concerned us all, but for the life of me I can’t see that consumers exercising choice is a problem for the country. Specially those consumers taking out a new mortgage.

Why should they go and pay higher borrowing rates in the non-banking sector just to please Hockey’s notion of how the world should turn?

Running dogs from http://www.halhigdon.com/
Dog cartoon from http://www.webweaver.nu/

A question of housing priorities.....

With social housing being scarce as hens teeth in the Clarence Valley Maud Up the Street and her mate are a bit hot under the collar over the goings on at North Coast Community Housing Company.

Apparently this government funded company is indefinitely holding a one bedroom unit in the Lower Clarence for a tenant who isn't even halfway through serving a two-year gaol sentence after pleading guilty to multiple charges.

Even I had to mutter a WTF after hearing that one. Bit hard to live in two places at once isn’t it?

Pic from Google Images

O'Farrell Government to rob 68,000 NSW pensioners of millions every year

In 2009 the Rudd Labor Government increased the base rate of Australian pensions.

Since then those NSW pensioners renting social housing (who comprised less than 5 per cent of all public/community housing tenants in the state in 2010) have been fighting a rapacious state government which immediately saw this increase as a jam pot which it could dip into in order to improve its fiscal bottom line.

It would do this by taking 25% of the payment increase from the approximately 68,000 pensioners in NSW public housing, nearly one-third of whom are probably 65 years of age or older.

The windfall would come to an estimated $13.2 to $16.5 million annually for the NSW Government – depending on how many lone person households there are in this group.

In September 2011 the O’Farrell Coalition Government announced in the budget papers that it intends to commence stealing these millions from elderly, disabled and widowed pensioners.

NSW Nationals MPs who dominate North Coast electorates are remarkably silent concerning this theft. Why should they care - after all they are sitting quite comfortably on a salary package of over $140,000 per year plus an electoral allowance.

Northern Rivers Housing Forum 10am-2.30pm 14 September 2011 Lismore

Northern Rivers Housing Forum

The theme for this month’s Northern Rivers Housing Forum will be ‘New Approaches to Connecting People and Services’.

The forum is free for participants and will be held on Wednesday, 14 September, from 10.00am – 2.30pm at Goonellabah Community Centre, Oliver Avenue, Lismore.

Lunch will be provided and places are limited so people will need to register early.

Please register to attend the forum with Julie Dukes at North Coast Community Housing Company on 66 275315