Homelessness crisis: 2 in 5 low-income renters at risk of homelessness, and 50K people are unable to access homelessness services.
Mission Australia has responded to the 2025 Report on Government Services, highlighting the deepening housing and homelessness crisis in Australia. The report reveals that 41.8% of low-income renters experienced rental stress in 2023-24, despite receiving Commonwealth Rent Assistance (CRA), placing them at risk of homelessness. Furthermore, over 50,000 people seeking crisis or long-term accommodation were turned away due to a lack of available services.
“This report confirms what we’ve been warning: rising rental stress, a dysfunctional housing system, and the ongoing cost-of-living crisis are driving more people across Australia into homelessness, including those in paid work, with many being pushed into homelessness for the first time,” said Sharon Callister, CEO of Mission Australia. “The staggering lack of affordable housing options is overwhelming the system, leaving more people without a safe, secure place to call home.”
The report also shows a 3% increase in households on social housing waiting lists, reaching 223,959, with 109,462 classified as being in greatest need. Mission Australia is calling for immediate government action to address these critical issues.
“We urgently need the Federal Government to raise the maximum threshold for Commonwealth Rent Assistance by 60% and review rental subsidies to help stop people and families being pushed into homelessness,” Ms. Callister urged. “Increasing JobSeeker and other income support payments to at least $82 a day will also help those struggling to stay housed to avoid homelessness.”
Demand for homelessness and housing services is escalating rapidly. Mission Australia has reported a 26% increase in demand over the past three years.
“The demand for homelessness and housing services is rising rapidly — Mission Australia’s services saw a 26% increase in demand over three years,” Ms. Callister explained. “We want to end homelessness in Australia, but our staff are facing unprecedented challenges securing accommodation for people and families in need because there simply isn’t enough housing that is affordable to go around.”
Looking ahead to the March Federal Budget, Mission Australia is advocating for a comprehensive National Housing and Homelessness Plan. Key recommendations include a $500 million Homelessness Prevention Transformation Fund and a commitment to building one million new social and affordable homes over the next two decades.
“As we approach the March Federal Budget, we call on the government to deliver a National Housing and Homelessness Plan that prioritises prevention and long-term solutions,” Ms. Callister stated. “We need a $500 million Homelessness Prevention Transformation Fund to help people before they reach crisis point, and a commitment to building one million new social and affordable homes over the next 20 years.”
While acknowledging current government social housing commitments, Mission Australia argues that these are insufficient. They estimate that around 640,000 households are currently in need of affordable housing but cannot access it, a figure that could rise to a million within 20 years without significant intervention.
“Current government social housing commitments are welcome, but fall short,” Ms. Callister warned. “Right now, about 640,000 households are in need of affordable housing but can’t access it. If we don’t build significantly more social and affordable homes, that number could rise to around a million in 20 years. We need far more investment to address the critical shortage of social and affordable housing, tackle long social housing waiting lists, and end homelessness.”
Mission Australia emphasises the urgent need for collaborative action, driven by targeted investment and strong leadership, to address the housing and homelessness emergency. “Australia is in the grips of a housing and homelessness emergency,” Ms. Callister concluded. “Immediate, collaborative action is needed, driven by targeted investment and bold leadership.”
Also read: Australian initiative wins UN-backed award to end homelessness
Milton writes as both an occupation and a hazard. He also works on the newsletters you see on Tuesday and Thursday with articles you should find interesting.
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