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Parliamentary Questions


Question Without Notice No. 748 asked in the Legislative Council on 12 August 2020 by Hon Tim Clifford

Parliament: 40 Session: 1

CORONAVIRUS — RESIDENTIAL TENANCIES

748. Hon TIM CLIFFORD to the minister representing the Minister for Commerce:

I refer to the response provided to yesterday's question without notice 735.

(1) Is the McGowan government concerned that the mandatory conciliation service has resulted in a high rate, 87 per cent, of rent deferrals and a low rate, 20 per cent, of rent reductions or waivers?

(2) What is the average rent reduction agreed to in the mandatory conciliation process?

(3) What is the average amount of rent deferred under the mandatory conciliation process?

(4) What further support has or will be given to renters who were unable to reach an agreement through the mandatory conciliation service but are still unable to pay the required rent due to financial hardship?

(5) What are some of the reasons why applications to the residential rent relief grant scheme were rejected?

Hon ALANNAH MacTIERNAN replied:

I thank the member for the question. The following information has been provided by the Minister for Commerce.

(1) The government is satisfied that the mandatory conciliation service is achieving the purpose of assisting landlords and tenants to develop solutions that work for them both, taking into account the financial circumstances of each party. This is demonstrated by the high rate of agreement achieved by parties in conciliations. In this process, tenants have the opportunity to put forward their proposals that best reflect their interests. In many cases, tenants are not requesting waivers.

(2) From the analysis of the first 50 orders mentioned in question without notice 735, of those agreements where waiver of rent was agreed, the average amount of rent waived was $645. In some cases, both rent waiver and rent deferral is provided.

(3) From the analysis of the first 50 orders mentioned in question without notice 735, of those agreements where deferral of rent was agreed, the average amount deferred was $1 885, and in some cases both rent waiver and deferral is provided.

(4)–(5) Tenants who are unable to reach an agreement through mandatory conciliation services are still able to apply to the residential rent relief grant scheme to assist in the payment of four weeks' rent. Some of the reasons that applications were not eligible for the residential rent relief scheme were that the applicant had not lost their job due to COVID-19; the applicant was not a tenant or subtenant in a private residential property, a boarder or a lodger, or a tenant in a residential park; and the applicant paid less than 25 per cent of their income on rent.