A review of private rental support programmes and their effectiveness in assisting tenants on low incomes

Summary

Private Rental Support Programs (PRSP) is the term used to describe the broad range of services provided by State and Territory housing authorities to assist low-income tenants at the start of their tenancy. The programs are ‘one-off’ forms of support and are additional but distinct from Commonwealth Rental Assistance. The support provided is different in each State and Territory but can entail bond loans, rental grants, reimbursement of relocation expenses and other ‘one-off’ grants.

Project Number: 40194
Research Theme: Housing Policies and Programs
Project Leader: Jacobs, Keith
Funding Year: 2003
Research Centre: Southern

Description

This project aimed to assist in the development of this important area of housing provision by presenting a review of each State's 'one-off' private rental support programmes and an exploration of appropriate policy options for the future. Private Rental Support Programmes (PRSP) are an additional but separate supplement to Commonwealth Rental Assistance (CRA). The support programmes are intended to be a one-off form of support for households on low incomes who are seeking private rented accommodation. This support is provided in the form of bond assistance, advocacy and transport costs.

Each State operates its specific variation but the objectives of the schemes are the same: that is to enable low-income households to access secure and long-term successful tenancies. In addition, each State contributes some of their own resources to the programmes. Current data also reveals that as many as 11.2% of private renters are in receipt of these forms of private rental assistance. A large proportion of households who access PRSP are single people.

While there had been considerable research undertaken on Commonwealth Rental Assistance (CRA), there had not yet been a study that examined each State's delivery of PRSP or research that collated overall information on the experiences of clients in receipt of PRSP. Given the considerable resources that are spent on PRSP a review of the different schemes in operation was timely and pertinent and this research project was designed to assist state housing departments to achieve significant benefits in terms of service delivery, efficiency and cost savings.

Following secondary data collection from the State housing authorities and a pilot study in Tasmania, a series of studies evaluated each State's assistance scheme. Interviews were undertaken with key stakeholders, clients and landlords to explore the strengths and weaknesses of the programmes. The research also reviewed the modes of delivery that each State deploys (including advertising, administration and loan collection methods). The final report provides an assessment of PRSPs. It aims to be directly relevant to policy makers seeking to devise measures to target resources on those households most in need of support. In particular, the report highlights good practice, identifies problem areas (where there are gaps or duplication) and makes recommendations as appropriate.

 

More Information

Positioning Paper: No. 077: A review of private rental support programs
2.4 MB PDF Document

Research and Policy Bulletin: Issue 080: How effective are private rental support programs?
174 KB PDF Document

Final Report: No. 086: A review of private rental support programs
1.23 MB PDF Document

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