A devastating housing crisis is leading more and more individuals to end up on the streets, prompting advocates to once again call for a levy on short-term rentals to support essential services.
The annual street count, released on May 10, revealed a 25 percent increase in the number of people sleeping rough in New South Wales (NSW).
Officials discovered 2037 individuals sleeping on the streets during the February headcount, a significant rise from 1623 the previous year.
Some of the most substantial increases were seen in coastal regions, with a nearly 80 percent surge in rough sleepers in the Coffs Harbour council area.
CEO of Homelessness NSW, Dom Rowe, urged the state government to implement a 7.5 percent levy on short-term rental accommodations, similar to what Victoria enacted in late 2023.
Rowe expressed, “These figures are heart-wrenching, as they represent those unable to keep up with skyrocketing rental costs in the private market, as well as women and children escaping domestic violence.”
“NSW must match Victoria’s level of ambition … the funds generated from this levy must support underfunded frontline services that are having to turn away half of those seeking assistance.”
Byron Shire, a popular tourist destination in northern NSW, had the highest number of rough sleepers among all local government areas in the state.
Several coastal regions, including Sydney’s northern beaches, have seen a significant increase in homeless individuals living in tents due to a severe shortage of affordable housing.
Minister for Homelessness, Rose Jackson, acknowledged that the regional statistics were unprecedented but not surprising.
“We don’t need data alone to understand this—our regional communities are experiencing this crisis on a daily basis,” she stated.
Jackson mentioned that the government is exploring all possible avenues to address the housing crisis, including a review of short-term accommodation regulations and the potential implementation of a levy.
Stricter regulations have been put in place in Byron Shire, where a 60-day limit on non-hosted short-term rentals is enforced annually.
Homelessness NSW is advocating for a yearly expenditure of $1 billion (US$0.66 billion) to construct 5000 social housing units, along with $30 million (US$19.8 million) over three years for additional temporary accommodation.
The state opposition criticized Ms. Jackson for neglecting homelessness service providers.
“As the housing and economic crisis worsens, there is a real risk of more individuals experiencing homelessness for the first time,” remarked Liberal MP Natasha Maclaren-Jones.
“The NSW Labor government must take action immediately and allocate additional funds to support our already strained homelessness services.”
Among the individuals identified in the recent street count, 64 percent were residing in vehicles, 18 percent were in open spaces, and 10 percent were in makeshift shelters.