The state government has backed a proposal for rental assistance for low-income Tasmanians to be boosted but remains unconvinced that the methodology behind charging public housing rents should be changed.
The Productivity Commission this year recommended that the federal government increase Commonwealth Rent Assistance payments by about 15 per cent to reflect increased rental asking prices.
It also suggested that the system, whereby a public housing tenant’s rent was worked out based on a proportion of their income, be replaced.
In its response to the draft report on the nation’s human services portfolio, the Tasmania Government said this proposal would require significant changes to the state’s rent-setting structure but appreciated that any chance would come with a grandfathering clause.
It did, however, express support for increased rental assistance payments.