Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 

CCC Housing Changes Not All We Were Led To Believe

Christchurch Council Housing Changes Not All We Were Led To Believe.
Did Government Change Terms Or Was Council Wilfully Blind?


The Christchurch City Council (CCC) is the second biggest landlord in NZ (after the State). So, any changes with the city’s publicly-owned housing portfolio are a big deal.

Just such a major change is about to take effect from July. And it is not as benevolent as we have been led to believe.

The decision to become a Community Housing Provider (i.e. transfer the City Council’s social housing to a Trust of which CCC is a 49% shareholder) was sold to the public as a method to increase income and assist tenants in attracting higher subsidies

“Under this new structure, the Council would lease its social housing to the new entity. For each social housing tenant who qualifies for the IRRS, the new company would receive from the Government the difference between the actual market rent and the rent paid by the tenant.

This would be substantial revenue and would be enough to enable us to continue, rebuild and repair our social housing without any charge on rates. It also provides a great base to keep building on the provision of housing for those in need. And at the moment that's a lot.”

Deputy Mayor Vicki Buck, May 30, 2014
The actuality is somewhat different: only new tenants will attract the IRRS (Income Related Rent Subsidy) and only if they have been referred by the Ministry of Social Development to the new trust.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

“The Government confirmed to Council that only new tenants referred to the proposed Community Housing Provider by the Ministry of Social Development will be eligible for an Income Related Rent Subsidy (IRRS).”

Christchurch Housing Accord Monitoring Report, December 2014
In political terms, such a major unpalatable change is called “swallowing a dead rat”.

But this particular dead rat was sold to the people of Christchurch (the owners of this extensive public housing portfolio, built up over generations) as if the Government subsidy would apply to all Council tenants, not just new ones.

As it stands, this is going to bring in a lot less by way of Government subsidies than what the public (and media) have been led to believe.

And, in the process, the City Council is losing 51% ownership of its own housing.

How’s that for a “win win” deal!

So, did the Government – ideologically committed to privatisation, including of State housing – change the terms of the deal or was the Council wilfully blind?

Probably a combination of both. But the Council can’t pretend it didn’t know.

That same December 2014 Christchurch Housing Accord Monitoring Report says, under “Priority Actions”:

“Council to consider how best to proceed with establishing the CHP given current Council tenants will not be eligible for IRRS”

http://www.ccc.govt.nz/assets/Documents/Services/Social-Housing/Christchurch-Housing-Accord-Monitoring-Report-Dec-2014.pdf

So the Council, willingly or otherwise, has swallowed a dead rat. And the people of Christchurch have been sold a pig in a poke.

This does not augur well for any other pending privatisations, such as City Care.

ENDS

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines



Gordon Campbell: On Dune 2, And Images Of Islam


Depictions of Islam in Western popular culture have rarely been positive, even before 9/11. Five years on from the mosque shootings, this is one of the cultural headwinds that the Muslim community has to battle against. Whatever messages of tolerance and inclusion are offered in daylight, much of our culture tends to be hostile to Islam when we’re sitting in the dark, with popcorn.
Any number of movie examples come to mind, beginning with Rudolf Valentino’s role (over a century ago) as the romantic Arab hero in The Sheik...
More


 
 


Government: One-stop Shop Major Projects On The Fast Track

The Coalition Government’s new one-stop-shop fast track consenting regime for regional and national projects of significance will cut red tape and make it easier for New Zealand to build the infrastructure and major projects needed to get the country moving again... More

ALSO:


Government: GPS 2024: Over $20 Billion To Get Transport Back On Track
Transport Minister Simeon Brown has released the draft Government Policy Statement (GPS) on Land Transport, outlining the Coalition Government’s plan to build and maintain a transport system that enables people to get to where they need to go quickly and safely... More

ALSO:

Government: Humanitarian Support For Gaza & West Bank

Winston Peters has announced NZ is providing a further $5M to respond to the extreme humanitarian need in Gaza and the West Bank. “The impact of the Israel-Hamas conflict on civilians is absolutely appalling," he said... More


Government: New High Court Judge Appointed

Judith Collins has announced the appointment of Wellington Barrister Jason Scott McHerron as a High Court Judge. Justice McHerron graduated from the University of Otago with a BA in English Literature in 1994 and an LLB in 1996... More

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels


 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.