The Urban Developer
AdvertiseEventsWebinars
Urbanity
Awards
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Untitled design (8)
2 WEEKS UNTIL OUR UNMISSABLE FLAGSHIP CONFERENCE MORE THAN 550 ALREADY ATTENDING
2 WEEKS UNTIL OUR FLAGSHIP CONFERENCE 550+ ALREADY ATTENDING
REGISTER NOWDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
print
Print
InfrastructureStaff WriterMon 09 Mar 15

IGR4 Brings Seniors' Home Equity Into Policy Spotlight

1

The release of the Federal Government's latest Intergenerational Report (IGR4) has highlighted the need for changes to pension rules that would help seniors unlock the equity in their own home, according to the Property Council of Australia (PCA)IGR4 predicted that by 2055 Australia will have a population of 40 million, up from 23.7 million today. An estimated 40,000 of those will be over 100, and 7 million will be over 70, representing a major shift in Australia’s demographic landscape.

The PCA's Retirement Living Council believes IGR4's findings underscore the urgent need for taxation and planning reform to help ensure the supply of new housing, investment in new infrastructure and better management of Australia’s cities are tackled in order to meet the demands of a growing population.

The ageing of the population puts particular emphasis on the need to bring on supply of additional retirement living, which will also relieve government budgetary pressures.

A new analysis by Grant Thornton for the Retirement Living Council found that the 184,000 older Australians currently living in retirement villages save the Federal budget $2.16 billion through delayed entry to aged care and reduced public health care expenditure. By 2025 this figure will likely double to 382,000 and continue to rise year by year.

In response to the demographic and budgetary challenges this will present for the government, the Retirement Living Council is advocating a tightly targeted change to aged pension rules to remove the existing penalty for pensioners wanting to downsize.

The Retirement Living Council has developed the 'unlocking home equity for seniors' proposal which would, on indicative estimates calculated by PwC, save the government $86 million per annum where those people choose to move to a retirement community.

Executive Director – Retirement, Mary Wood said: “This is a very simple, easily implementable policy solution to one of the biggest problems facing government.

“It affords older Australians a real choice about where they want to live during their retirement and allows them to be far more self-sufficient.

“The benefits of this policy will also be felt in Australia’s property market – particularly in hot spots such as Sydney – where more large, family homes will become available for families and first home buyers as older Australians take up the opportunity to downsize.”

Read more on the Retirement Living Council’s proposal and download a copy of the report here

ResidentialAustraliaSector
AUTHOR
Staff Writer
"TheUrbanDeveloper.com is committed to delivering the latest news, reviews, opinions and insights into the best of urban development from Australia and around the world. "
More articles by this author
ADVERTISEMENT
TOP STORIES
The Port of Brisbane has released its Vision 2060 which details the need for inland rail connectivity
Infrastructure

Brisbane Port’s $15bn Future Faces One Big Obstacle

Renee McKeown
5 Min
Freecity Rouse Hill triple towers 2 Tempus Street
Exclusive

Freecity Takes Covers Off $330m Triple Towers in Sydney’s North-West

Leon Della Bosca
5 Min
Parallel Workshops Stockdale Housing PBSA project
Exclusive

Suburban Success Story Turns PBSA Thinking on its Head

Leon Della Bosca
7 Min
Exclusive

Interstate Developers Find Lots to Love in ‘Progressive, Affordable’ SA

Taryn Paris
5 Min
Bates Smart Richmond Sportslink HERO
Exclusive

BtR Focus Drives Bates Smart’s Richmond Sportslink Concept

Leon Della Bosca
6 Min
View All >
Logan Wastewater Funding hero
Infrastructure

Flush of Funding to Deliver 20,000 New SEQ Homes

Phil Bartsch
Residential

Home Affordability Gap Widens Across Asia-Pacific

Lindsay Saunders
Stockland's Triniti HERO
Build-to-Rent

Stockland $400m North Ryde BtR Approved on Appeal

Leon Della Bosca
The 510-apartment Triniti Lighthouse development has received conditional planning approval despite community objections…
LATEST
Logan Wastewater Funding hero
Infrastructure

Flush of Funding to Deliver 20,000 New SEQ Homes

Phil Bartsch
3 Min
Residential

Home Affordability Gap Widens Across Asia-Pacific

Lindsay Saunders
3 Min
Stockland's Triniti HERO
Build-to-Rent

Stockland $400m North Ryde BtR Approved on Appeal

Leon Della Bosca
3 Min
Industrial

Inland Rail: Site at Rural Hub Comes to Market in Victoria

Lindsay Saunders
2 Min
View All >
ADVERTISEMENT
Article originally posted at: https://theurbandeveloper.com/articles/igr4-brings-seniors-home-equity-policy-spotlight