Opportunities and Constraints in State Housing Policy: The Example of Tasmania's ‘Affordable Housing Strategy’

The lack of Commonwealth government funds for public housing has encouraged state governments across Australia to develop ‘Affordable Housing Strategies’ to address the problems that result from the shortage of housing available for low-income households. However, to date there has been limited discussion of the implications of these affordable housing strategies and their significance as a form of policy intervention. This article highlights the Tasmanian Government's ‘Affordable Housing Strategy’ as a case study to illustrate the obstacles that confront state housing policy makers. These include difficulties in securing partnerships with the private sector, an inability to influence macro-economic policy settings, fluctuations in the property market cycle and a reliance on small and uncertain budgetary allocations. However, there is limited scope to address some of the problems that have undermined previous state and Territory housing policy initiatives by reaching agreements with local government to ease planning controls for social housing, boosting the capacity of the community housing sector and using additional budgets judiciously.     

Local Innovation And Global Change: ‘Remaking The Welfare State’ In Sweden1

Swedish urban planning and housing policies have been seen as exemplars by many Australian policy makers. The mixture of state activism, strong local government, broad concepts of welfare policy and social housing, coupled with wide community acceptance of these ideals, has enabled major innovations in housing policy. This article describes the historical background and recent changes to these policies within Sweden's changing political framework. It also shows that global fiscal changes, coupled with Sweden's entry into the ‘federalising’ European Union, have changed the context of these policies. Swedish housing and urban policy is changing; Swedish local government has a strong role in the development and implementation of these changing policies. There are many interesting lessons for Australian urban policy in these changes.     

The commodification of land and housing: the case of South Korea

The developmentalist state in South East Asia has played an important role in guiding and promoting economic growth. Although an implicit theme of much of the discourse is the role of the state in controlling the factors of production, this is not located within the decommodification/commodification debate. Proceeding from the premise that underlies much of economic theory, namely that land values at a time reflect the residual (or surplus) of economic activity that requires land as a factor input, the purpose of this paper is to assess the extent to which the Korean state has managed the commodification of urban development and the distributional effects of this process. In spite of private land ownership the state has had a major impact on the processes by which land has become commodified, using extensive land expropriation and land‐use planning powers. The Korean state used different strategies to manage trends to commodification at different times: land readjustment projects were used from the 1950s to the 1970s and Public Management Development projects were the main mechanism of urban development from the 1980s. The urban development system was feasible because of the state's extensive control over access to housing finance (decommodified money). In the mid‐1990s there was a shift towards greater private sector involvement in urban development. The distributional effects of the urban development process have been highly inequitable. Subsidised home ownership for middle‐income families has been favoured over provision of public rental housing for low‐income families, driven in major part by cash flow considerations of the developmentalist state. Further, the basis of selecting beneficiaries has been very arbitrary. The system has promoted significant land concentration and land speculation particularly by private companies, including the large chaebol (corporations).     

Privatising Public Housing in Hong Kong: Its Impact on Equity

Three processes are examined to assess the impact on equity of policies to privatise public housing in Hong Kong. These are changes in the inter-sectoral distribution of subsidies, changes in the quality and quantity of public rental housing, and changes in access to public housing. It is found that housing subsidies have remained concentrated in the public rental sector, and the quantity, quality and amenity of housing in this sector has actually increased. The Hong Kong Government has not sought to reduce eligibility for and access to public housing; the lengthy waiting list to join this tenure reflects increases in demand since the privatisation policy was introduced. Thus, unlike the experiences of many other countries, the Hong Kong Government's policy to privatise public housing has not had a notably adverse impact on housing equity to date.     

Swedish welfare state and housing markets: under economic and political pressure

Economic and financial crises are often connected to crises in the housing market. Some housing systems are, however, more sensitive than others. Traditionally, Sweden’s system aimed to protect households from such volatility, but changes in the welfare state model and increased mortgage indebtedness suggest that Sweden’s housing market might have become more exposed to macro pressures. The starting point for this article is an understanding of the Swedish welfare state model in which housing was traditionally a core value and where the link between income and housing outcome has been weakened. Deregulation and liberalization have fundamentally changed the special features on the Swedish housing market. In particular, the rental sector is decreasing in favor of increased ownership and greater speculation. In this article, we aim to give a picture of the grand restructuring of the Swedish housing sector including its implications for the link between income poverty and housing poverty and an understanding of the contradictory reaction of the welfare state to the global financial crisis (GFC). Our results show that affordability is a problem and that the proportion of households at risk of poverty has been increasing when taking housing costs into consideration. However, a combination of the lessons learned in the 1990s crisis and resultant increases in regulation together with a stronger and more immediate recovery than might have been expected meant that Sweden and its housing system came out of the GFC fundamentally intact. However, there must be concerns that future crises will not be so readily addressed.     

Changing directions in Australian housing policies: The end of muddling through?

From the post‐war period through to the 1980s, Australia's housing system was dominated by tenure‐based policies directed towards home ownership and the provision of public housing. Private tenants were virtually excluded from housing assistance of any form. The 1990s, however, have seen an apparent U‐turn in housing policies with elimination of explicit home ownership policies, the withdrawal from direct involvement in public housing funding and a rapid expansion of rental assistance for private tenants. Australia is about to follow its New Zealand neighbour in undertaking a wholesale shift away from direct intervention in the production of housing and moving towards consumer subsidies which rely on the effective operation of the private sector in meeting housing needs. This paper provides a brief overview of changes in policies towards home ownership, public rental and private rental, a framework for interpreting these and an assessment of the appropriateness of the directions currently being followed in light of current economic trends.     

Tenure type landscapes and housing market change: a geographical perspective on neo-liberalization in Sweden

Abstract

Discussions of tenure mix have received renewed interest as many have suggested that neo-liberalization has made way for gentrification of neighbourhoods and increasing segregation. Yet, few scholars have studied country-wide changes in tenure mix, due to the lack of data and appropriate methods. In this article, we propose to use tenure type landscapes to analyse changes in housing policy. We do so while acknowledging the evolution of housing policies in Sweden since 1990. Using individualized and multi-scalar tenure type landscapes to measure change in neighbourhoods, we analyse housing clusters in 1990 and 2012. We show that the tenure landscape in 1990 at the height of the welfare state was fairly diverse and mixed. During the next 22 years, however, the landscape changed to become more homogenized and dominated by ownership through tenure conversions and new housing. We argue that awareness of these changes is essential to understanding present and future segregation and gentrification processes.     

Opportunities and Constraints in State Housing Policy: The Example of Tasmania's 'Affordable Housing Strategy'

The lack of Commonwealth government funds for public housing has encouraged state governments across Australia to develop 'Affordable Housing Strategies' to address the problems that result from the shortage of housing available for low-income households. However, to date there has been limited discussion of the implications of these affordable housing strategies and their significance as a form of policy intervention. This article highlights the Tasmanian Government's 'Affordable Housing Strategy' as a case study to illustrate the obstacles that confront state housing policy makers. These include difficulties in securing partnerships with the private sector, an inability to influence macro-economic policy settings, fluctuations in the property market cycle and a reliance on small and uncertain budgetary allocations. However, there is limited scope to address some of the problems that have undermined previous state and Territory housing policy initiatives by reaching agreements with local government to ease planning controls for social housing, boosting the capacity of the community housing sector and using additional budgets judiciously.     

Housing Associations in the Republic of Ireland: Can They Respond to the Government's Challenge for Major Expansion?

In the late 1990s, faced with rapid escalation in house prices and rising housing stress, politicians and policy-makers in the Republic of Ireland expressed widespread concern about inadequacies in social housing provision. In one of a series of responses the government has recently announced an ambitious plan to promote and to resource the existing small housing association movement so that its annual output would increase eightfold in the early years of the new century. There is little existing research on the work of housing associations in the Republic of Ireland or about their contribution to housing provision and policy and there is clearly an urgent need for a careful analysis of the capacity of the voluntary sector and of its strengths, weaknesses and potential. Pending such a study, this paper aims to provide an overview of the voluntary sector's development in the context of the evolution of Irish housing policy and considers some of the developmental and policy issues which will arise from the government's decision to promote the voluntary and co-operative sector.     

Common Ground in Australia: An Object Lesson in Evidence Hierarchies and Policy Transfer

Developed in New York City in 1990, the Common Ground model of supportive housing has recently been embraced in Australia as a high-profile solution to chronic homelessness. Combining on-site support services with a congregate housing form accommodating ex-homeless people and low-income adults, Common Ground is presented as an innovative model which permanently ends homelessness, enhances wellbeing, and strengthens communities. This article critically examines the process of transferring the model into Australia's social housing sector, drawing on the perspectives of the high-level stakeholders closely involved. It argues that, despite official commitments to evidence-based policy, the ‘advocacy coalition’ driving this international policy transfer employed a ‘knowledge hierarchy’ wherein professional intuition and personal experience were afforded a higher status than formal evaluative evidence. The article provides an example of the contested nature of what ‘counts as evidence’ in housing and homelessness policy, and considers what role academic research – as well as other knowledge sources – should play in the policy development process.     

Approaches to Tenant Participation in the English Local Authority Sector

This paper examines how approaches to tenant participation evolved in the English local authority housing sector in the 1990s. It does so by examining data gleaned from two national studies of tenant participation activity conducted by teams based at Glasgow and Sheffield Hallam universities, with particular attention focusing on data derived from nine case studies undertaken as part of the latter study. In order to facilitate this analysis, reference is made to Cairncross et al.'s typology of approaches to tenant participation which identified three ideal types of authority: traditional, consumerist and citizenship. The paper notes that the approaches local authorities took to tenant participation changed in the 1990s with more adopting multi-dimensional approaches, which made the neat categorisation of authorities into ideal types impossible. The characteristics of the two most commonly occurring types, traditional and consumerist, appeared to have changed.     

Difficult to Let Housing Association Stock in England: Property,Management and Context

Problems related to unpopular housing are not new in Britain's social rented sector. In the past, however, these have generally been associated with housing provided directly by the state through local authorities. For many, the term 'difficult to let' has become synonymous with large, ageing, poor quality estates managed under a centralised framework and subject to a long period of low investment and indifferent management. There has also been a long-standing assumption that social housing allocations systems tend to channel the most vulnerable tenants into the least desirable housing. In fact, the problem of difficult to let property is now as pervasive in the not-for-profit sector managed by housing associations as it is within council housing. In many cases the developments affected are small in scale and, in a significant proportion of cases, recently constructed. In explaining why property becomes difficult to let, the local and regional context is clearly important. The balance between social, economic and housing demand circumstances and property and estate characteristics varies between regions. There is relatively little evidence that difficult to let housing association properties are occupied by disproportionate numbers of the most severely disadvantaged tenants and this suggests that something has happened to modify the segregating effects of allocations systems observed in earlier studies. Nevertheless, this apparent change must be seen within the context of the general trend towards a residual role for social housing in its entirety. The social class and income range of new social sector tenants now is much diminished by comparison with earlier decades with few distinctions between the occupiers of difficult to let and other housing.     

The long-term effects of housing policy instrumentation: Rio de Janeiro’s case from an actor–network theory perspective

Abstract

This paper explores the long-term effects of Rio de Janeiro’s slum upgrading, a key policy instrument of municipal housing since the 1990s, and an essential reference for housing initiatives worldwide. From a theoretical stance, this paper builds on the Political Sociology of Public Policy Instruments (PPI) and actor–network theory (ANT). The paper argues that Rio’s slum upgrading instrumentation, that is, its constitution and use, has been key to the various housing policy oscillations over the past three decades. It also contends that this instrumentation contributed to the depoliticization of the municipal housing policy through the fostering of a ‘community of practice’ centred on slum upgrading, formed by a wide range of state and non-sate actors, and based on a technical rationality. This community and its practices have weakened the political control over Rio’s housing policy in the past decades.     

POLICY REVIEW The Impact of Housing Policy Changes on Housing Associations: Experiences in the Netherlands

For decades, housing associations in the Netherlands were the country's landlords of social rented housing par excellence. Presently housing associations own and administer over 90 per cent of the social rented stock, which now comprises 37 per cent of the total Dutch housing stock. The changes in Dutch housing policy which were made from 1993 onwards, have also changed the role and position of the housing associations. The financial ties binding the social housing sector and the national government have largely been dissolved. Responsibility for adequate housing was decentralised from the central government to the local authorities. Municipalities and housing associations have developed a new tradition of performance agreements on local housing policy. This paper reviews the response of housing associations to the circumstances created by the new housing policy of the 1990s.     

The Limits and Potentials of the Housing Market Enabling Paradigm: An Evaluation of China's Housing Policies from 1998 to 2011

This paper examines the housing policies in China in the last 14 years in the context of the international debate on the World Bank's housing market enabling strategy to improve low-income housing provision in developing countries. A review of China's urban housing outcomes reveals housing price inflation and shortage of affordable housing in the fast expanding housing market. The paper analyzes policies to increase both demand for and supply of housing and argues that these policies have contributed to worsening affordability. This situation has been exacerbated by problems in the institutional framework managing the housing sector. The paper concludes that market enabling alone is not sufficient to achieve a satisfactory housing outcome for low- and middle-income groups in Chinese cities. It advocates more effective and direct public intervention for enhancing social housing provision and tightening market regulation to address both market and government failures to improve housing conditions for lower income groups.     

Hidden from History? Housing Studies,the Perpetual Present and the Case of Social Housing in Britain

This paper examines the use and abuse of historical method in the field of housing studies, with specific reference to predictions about the future shape of social housing in Britain. It reflects on the debates about council housing in the early 1990s and sets these against subsequent policy developments. The paper suggests that this exercise reveals some shortcomings in dominant paradigms within housing studies, such as the misreading and misrepresentation of tenants' responses and reactions; the over-emphasis on consumption in assessing processes of housing sector change; the neglect of increasing spatial differentiation in housing markets across Britain; and the failure to appreciate the causes behind increasing volatility in some local housing markets. The paper argues for a more nuanced historical sensibility and a more adventurous methodology when forecasting the future direction of housing policies and the future characteristics of housing systems.     

Housing Policy Towards the Rental Sector in Italy: A Distributive Assessment

We study the distributive effects on Italian households of the three most relevant housing subsidies targeted to renters: a national rent supplement scheme introduced in the context of the reform that liberalised the rental market in the late 1990s, a tax credit for renters that has been recently strengthened and the implicit economic support given to tenants in the social housing sector, through below-market rents. The analysis is performed on data from the Eu-Silc survey for Italy and, in the case of the housing allowances, also on register data from 9 out of the 13 largest Italian towns. We consider, in particular, the ability of these schemes to target low-income households and their effects on the overall levels of poverty and inequality. Results from our analysis show a good targeting but very limited effect on social protection, with the partial exception of social housing.     

The Danish housing market: Housing policies for different housing tenure

Since 1987 interest and publication in Norwegian housing policies have increased significantly. This article deepens and widens my earlier published work on Norwegian housing policy, and it responds to some earlier reviews of my work. The central themes of the article are that Norway has used state policy to develop its housing sector over many decades; that since the mid‐1970s policy makers have had to adjust their housing system to national and international macro‐economic change; and that in a comparative perspective, Norway has pursued housing policies which have important anti‐poverty elements, some egalitarianism, and some useful choice and efficiencies. Norway has used balanced state, market, and self‐help roles to develop its housing sector, and the institutional framework in which these roles operate has been reformed since the late‐1970s in the light of changing economic, social, and political conditions. Changes in the international economy have been particularly significant as Norway depends upon the international economy to sustain its living standards, including its housing standards.     

Private Rental Housing in Hong Kong

This paper examines selected aspects of housing policy and its influence on private rental housing in Hong Kong. Its ambitions are modest, in part because so little research has been conducted on the sector, as a consequence of the small size of the sector as well as the concentration of socio-political, economic and policy analyses on the other major housing sectors, namely public renting and home ownership. It is argued that a fundamental function of private renting, to provide a functional substitute and counter-balance to distortions in the market for private home ownership, has been systematically undermined in Hong Kong. In spite of its historical importance in meeting Hong Kong people's housing needs, the sector's decline has been steep and it can now be fairly described as a marginalised tenure, despite incomplete structural adjustment post- Asian Financial Crisis. It is suggested that a fundamental reason for the decline of the private rental sector has been the impact of government policy, which undermined the private rental sector and thus an important element of the market mechanism in housing provision. The government's ideology of home ownership has also functioned to transfer lower middle-income families into the owner occupied sector. Although the Hong Kong government has not been as overtly hostile to this sector as governments have been elsewhere, it nevertheless also seems to envisage no real role for the private rental sector in a housing delivery system molded by policy preference for home ownership, rather than fostering viable economic competition by also facilitating an efficient private rental sector.     

Housing finance for lower income urban households in Zimbabwe

Housing finance systems in developing countries have been the subject of considerable international agency research and lending attention in recent years. The lack of availability of finance for public sector housing programmes and for the purchase of construction of housing by all income groups in urban areas is typically a major constraint on the ability of supply to meet demand. However, national efforts have often not dealt systematically with the housing finance system as a whole. The housing finance system in Zimbabwe is described and critically analysed in this paper, paying particular attention to the provision of funds for local authority housing programmes for low income residents, the place of housing finance institutions in the national finance system, the ability of the building societies to attract savings, and their lending programmes. The results of government measures to transfer responsibility for lending to low‐income households from local authorities to the building societies since the mid‐1980s are evaluated. It is concluded that Zimbabwe has an unusually well‐developed financial sector and housing finance system for a recently independent developing country. Although this evolved to meet the needs of the settler population, the extension of its activities into lending for low‐income aided self‐help housing was successful, within limits. However, events of the early 1990s demonstrate the vulnerability of such a system to the changes accompanying liberalisation. Suggestions are made for further possible reforms and the importance of monitoring the effects of economic liberalisation on the system and its beneficiaries stressed.