5. PHIL HEATLEY (National—Whangarei) Link to this
to the Minister of Housing
Is the North Island State household with the highest total net assessable income earning $1,825.73 a week and the South Island State household with the highest total net assessable income earning $1,391.80 a week as at 23 March 2006; if not, what are the highest incomes?
Hon STEVE MAHAREY (Minister of Education) Link to this
Yes, I can confirm that those are the highest net assessable incomes, and that those tenants were housed before the introduction of the social allocation system for State housing by the Labour-led Government in 2000.
How can the Minister let people who earn $70,000, $80,000, and $90,000 a year after tax stay in a State home when 14,000 people are on the waiting list, poor people are on the streets, and struggling young families are living in garages?
Hon STEVE MAHAREY Link to this
I have to point out to the member that the high-income tenants living in State houses are a legacy of National’s failed market rent system. Those people have signed a tenancy agreement and they have rights. However, we are actively managing those tenants to encourage them to either buy a house or move into the private rental market. I tell that member that it is a little rich for National to have sold 13,000 houses and then for him to come in here and complain about a waiting list.
Georgina BeyerHon STEVE MAHAREY Link to this
The Labour-led Government scrapped National’s market rents in 2000, and introduced a new social allocation system that prioritises those on low incomes with the greatest housing need. Prior to that, one could have got the $300,000 annual income that Mr Key was talking about and got into one of those houses under National. Ninety-nine percent of new tenants housed last month, who qualified for an income-related rent, had an average net assessable income of $261.55 per week.
Judy TurnerHas the Department of Building and Housing, in monitoring rates of income for State housing tenants, determined at which point it would be ideal to approach a tenant with an offer for the tenant to purchase the property; if so, what is that income rate, and if the department has not made that calculation, why not?
Hon STEVE MAHAREY Link to this
We would not be approaching the person to purchase a State house. We still have to get back the 13,000 houses that we lost under the National Government. However the trigger for talking to people about moving into an alternative private sector rental property or buying a house comes as they approach a market rent.
How fair is it that a Christchurch household can have a $70,000 income, but not include the income of an adult son who is a chef, and does not include the income of another adult son who works in telecommunications and also lives at home, yet all the while poorer families go without housing?
Hon STEVE MAHAREY Link to this
I reiterate to the member opposite that Labour’s track record over 6 years of housing people who were left in need by National’s policy is simply and utterly outstanding. If the member has a particular complaint about a particular house, he should give it to me and I will have a look.
What is the Government planning to do to make sure people earning nearly $100,000 per annum are not occupying State houses?
Hon STEVE MAHAREY Link to this
The Government has been, of course, extremely active in that area, unlike the previous National Government. For example, the mortgage insurance scheme was designed to get people into houses, and we prioritise people in State houses. The KiwiSaver scheme is designed to get people into houses. The new share equity scheme is designed to get people into houses. We are very active, because we believe that people should be in their own houses—preferably owning them—unlike the National Party.
Does the Minister think it is fair that a Christchurch family on a $70,000-plus income, with its two adult sons, remains in a State house so that—and this is the tenants’ quote—“the boys can save some money for overseas travel”, and “they can pay off loans for some vehicles”, while poor families go without housing?
Hon STEVE MAHAREY Link to this
I would point out that those people pay a market rent, I would point out that we will be encouraging them to take up options like purchase or a shift into the private market, and I would point out that under the National Government it was the policy of that party to put as many high-income people into those houses as it possibly could, and when it sold them it sold them to speculators. It is unreal that this member is raising these questions.
Where is the Minister’s compassion and good sense of what is fair when a family can earn over $70,000 after tax, not declare its adult sons’ incomes, and save for overseas travel, yet all the while thousands of needy families are languishing on the waiting list?
Hon STEVE MAHAREY Link to this
I repeat that 99 percent of people who got a house in the last month were income-related tenants. Under that member’s National Government people routinely had high incomes and got rental properties, and speculators bought a large proportion of those 13,000 houses—which we could use right now.
Rt Hon Winston Peters Link to this
I raise a point of order, Madam Speaker. This is getting to a stage where the treatment of various members of this House is different. The simple fact is that I counted 10 people over on the Opposition benches shouting during that last answer and the answer before that. The fact is that if we are required to keep quiet while questions are being asked, there should be a modicum of silence when questions are being answered. I do not mind there being one or two interjectors, but it makes a leaderless rabble to have 10 people interjecting—not the social welfare spokesperson but everybody. That is what is happening over there. I think it is patently unfair, and I say they should be stopped.
Madam SPEAKERI thank the member. I ask members please to keep the barracking at acceptable levels so all members in the House can hear. That is the right of members.
I seek leave to table a valuation report documenting that that household has a Housing New Zealand ownership in a Housing New Zealand – owned home.