Pensioners Skipping Meals: A growing crisis in Australia’s rental market is forcing thousands of pensioners to skip meals and cut back on essential expenses just to afford rent. With the rising cost of living, senior advocacy groups are urging the federal government to boost Centrelink Rent Assistance (CRA) by $2 billion to help struggling retirees stay housed.
New reports reveal that two-thirds of retired renters live below the poverty line, leading to increased food insecurity and financial distress. While the 2024-25 budget included a 10% increase in rent assistance, experts argue that this is far from enough to keep up with skyrocketing housing costs.
Pensioners Skipping Meals
| Feature | Details |
|---|---|
| Current Rent Assistance | Increased by 10% in 2024-25 Budget |
| Proposed Increase | Additional $2 billion needed |
| Percentage of Pensioners Affected | 66% of retired renters in poverty |
| Primary Issue | Rent increases outpacing Centrelink support |
| Who is at Risk? | Low-income retirees, particularly single women |
| Official Website | Services Australia |
The rental crisis in Australia is hitting pensioners harder than ever before, with many forced to skip meals, cut back on medicine, or face homelessness. Despite a 10% increase in rent assistance, thousands of retirees remain in poverty due to rent increases far outpacing government support.
The proposed $2 billion boost to Centrelink Rent Assistance could help seniors afford safe, stable housing while reducing financial stress. As demand for affordable rental options grows, policymakers must take action to ensure older Australians are not left behind.
Why Are Pensioners Struggling to Afford Rent?
1. Rising Rental Costs
The Australian rental market has become increasingly unaffordable, particularly for those on fixed incomes. Reports indicate that the cost of renting has increased by 1.5 times the rate of CRA payments over the past decade.
For example:
- The median rent in Sydney for a one-bedroom apartment is now $2,200 per month.
- In Brisbane, pensioners can afford only 13% of rental properties.
- In Melbourne, less than 14% of rental homes fall within pensioners’ budget.
2. Centrelink Support is Not Keeping Up
While the government raised CRA by 10% in 2024, this amounted to only $12 to $19 extra per fortnight for recipients. With rents rising by over $50 per week in major cities, pensioners are struggling to bridge the gap.
3. Women Over 65 Are the Most Vulnerable
Recent studies show that women over 65 are the fastest-growing group of homeless Australians. Many have little to no superannuation, making them highly dependent on Centrelink payments for survival.
What is Commonwealth Rent Assistance (CRA)?
Commonwealth Rent Assistance (CRA) is a non-taxable government payment designed to help low-income individuals cover rent. It is available to pensioners, job seekers, and families receiving government benefits.
Eligibility for CRA
- Must be paying rent in private housing, community housing, or a caravan park.
- Must be receiving Centrelink payments such as the Age Pension.
- Must meet income and asset tests set by Services Australia.
How Much Can Pensioners Receive?
| Household Type | Max Fortnightly Payment |
|---|---|
| Single (renting alone) | $188.20 |
| Couple (combined rent) | $177.20 |
| Single (sharing rental costs) | $125.47 |
While these amounts provide some relief, they fall significantly short of covering today’s rental prices.
Why Experts Are Calling for a $2 Billion Boost
1. More Seniors Are Renting Than Ever Before
The number of Australians over 65 who rent has doubled since 2001. By 2030, it’s estimated that one in three retirees will be renting, making a stronger CRA program essential.
2. The Current System Leaves Many in Poverty
A report by the Grattan Institute found that even after receiving CRA, many pensioners still cannot afford adequate housing. Increasing rent assistance by $2 billion could provide meaningful relief to at least 250,000 households.
3. Preventing Homelessness Costs Less Than Fixing It
Without a substantial CRA boost, homelessness rates among retirees will continue to rise. Studies show that the cost of emergency housing and support services is significantly higher than simply providing adequate rental assistance.
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Pensioners Skipping Meals Apply for Centrelink Rent Assistance
If you’re a pensioner struggling with rent, applying for CRA could help ease financial stress.
Steps to Apply:
- Log into MyGov
- Go to MyGov.
- Link your Centrelink account.
- Complete the Online Application
- Navigate to the Rent Assistance section.
- Fill in details about your rental property, lease, and payments.
- Submit Required Documents
- Rental agreement or lease.
- Recent rental receipts or bank statements.
- Wait for Approval: Processing usually takes 14-21 days.
FAQs On Pensioners Skipping Meals
1. Who is eligible for rent assistance?
Anyone receiving Centrelink payments and paying rent in private or community housing is eligible.
2. How often are CRA payments made?
CRA is paid fortnightly with your pension or Centrelink payment.
3. Does rent assistance increase with inflation?
No, CRA payments are not automatically linked to rental price increases, which is why experts argue for urgent reforms.
4. Will the government approve the $2 billion boost?
While there is increasing pressure for higher CRA payments, the government has not yet confirmed an increase beyond the 2024-25 budget adjustments.
5. Can I get CRA if I live in public housing?
No, CRA is only available to private renters, community housing tenants, or those in residential parks.
