9. CHARLES CHAUVEL (Labour) Link to this
to the Minister of Housing
What assistance is the Government providing to Wellington City Council to upgrade its social housing stock?
Hon CHRIS CARTER (Minister of Housing) Link to this
Today, with the Mayor of Wellington, Kerry Prendergast, and my colleagues Annette King, Mahara Okeroa, Marian Hobbs, and Charles Chauvel, I announced a $220 million partnership with Wellington City Council to substantially upgrade its 2,354 social housing units. In return, the council has agreed to stay in social housing for 30 years, to reinvest rental income back into the maintenance of its homes, and to improve tenancy management.
Wellington City Council is the second-largest landlord in the region, housing approximately 4,000 elderly, low-income, or disadvantaged tenants—more than 11 percent of all rental housing in this city. Ensuring the supply of affordable, quality housing is a priority issue the Government is progressing through its “families—young and old” theme. This contrasts sharply with the “hollow men” opposite who started selling State houses again—a policy Mr Key is so embarrassed about he runs for cover every time it comes up.
Why have State and council housing waiting lists mushroomed year on year across the country since 2001, even though more houses have been provided; is it because Kiwis are poorer, there is a growing underclass in New Zealand, and fewer people can afford their own home?
Would members on the Government benches please keep their interventions down, otherwise people will be leaving the Chamber.
There are two simple and logical explanations. Firstly, people can now afford State house rents because they pay income-related rents. Previously under the National Government they paid market rents. Secondly, and just as important, National sold off 13,000 houses—not to tenants mostly, but to speculators. If we still had those 13,000 houses, we would not have a waiting list.
Tēnā koe, Madam Speaker. Does the support given by Government to the Wellington City Council allow for that council to implement a rent-to-buy scheme of its housing stock; if not, why not?
Housing remains a need in all parts of New Zealand. This Government is committed to keeping social housing as part of that opportunity to provide affordable housing for people who still need to rent houses. Wellington City Council is following the same programme, and I applaud it for that.
Has the Government given assistance to any other councils around New Zealand to upgrade, improve, or build new social housing stock?
In 2003 the Government established the Housing Innovation Fund to support social housing projects through partnerships with local authorities and not-for-profit organisations. As of 31 January 2007 loans and grants worth more than $38 million had been made, with a further $14.5 million expected for this year. A very good example of that is the $5.2 million loaned to the Horowhenua District Council, championed by that member, that enabled the council to build 40 new pensioner flats and modernise 70 existing units in Levin, Shannon, and Foxton. I seek leave to table a document taken from The Hollow Men that states National would renew its 1990s programme of selling State houses to provide homeownership, by the former leader Mr Brash.