The latest increase in the Age Pension, Carer Payment and Commonwealth Rental Assistance (CRA) kicks in on 20 September.
CRA will increase by $23 per fortnight for a single person, bringing the maximum fortnightly payment to $211.20, and an increase of $21.80 per member of a couple, creating a $199.00 maximum fortnightly payment.
Many who live in retirement living and over-55s rental and land lease communities can use Commonwealth Rental Assistance (CRA) to reduce or pay for their rent.
Aspen Group, for example, charges rent 21% underneath the level of CRA and Eureka Group states 95% of its residents receive the Aged Pension and CRA to support their payments.
“This increase comes at a critical time, with rental costs skyrocketing nationwide. Nearly one million households, including many older Australians grappling with housing affordability, will receive much-needed support,” COTA Australia CEO Patricia Sparrow (pictured) said.
“The budgeted increase to Rent Assistance, along with indexation, provide some welcome relief, but it’s crucial to look beyond short-term fixes.
“We need sustainable solutions that address the root causes of financial insecurity among older Australians, particularly for older women who are disproportionately affected by housing stress and homelessness.
“While any increase to Rent Assistance is welcome, it’s still too low because historically it hasn’t kept pace with the rate of rental increases. A comprehensive review of how Rent Assistance should be undertaken to inform the design of a Government payment that’s fit for purpose in the modern rental landscape.”