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Push on for levy on vacant houses in Hobart, Glenorchy, Launceston to address Tasmania's rent crisis

The 12 organisations who signed the letter also recommended incentives for putting empty homes on the long-term rental market. (ABC News: Jordan Young)

Tasmanian community service organisations are pushing for a levy on vacant homes, which they say will help ease the state's housing crisis.

Twelve organisations — Anglicare, Community Legal Centres Tasmania, the Council on the Ageing, Hobartians Facing Homelessness, JusTas, Shelter Tasmania, the Tasmanian Council of Social Service, Tasmanian University Student Association, Tenants' Union of Tasmania, Women's Legal Service, Youth Network of Tasmania and the Tasmanian Aboriginal Centre — have written to Premier Jeremy Rockliff asking for more action to address the housing crisis in the short term.

The Tasmanian government has promised to build or acquire 10,000 social and affordable homes by 2032, but Tenants' Union principal solicitor Ben Bartl said that would not solve the crisis for people struggling to pay rent, or who are homeless, now.

"We need to maximise the existing supply because it's the quickest way to get roofs over people's heads … the easiest way to do that is to encourage investors to make their empty properties available to long-term renters now."

A tenants' advocate says a levy on empty homes in Vancouver, Canada, has seen a 36 per cent reduction in the number of empty homes across that jurisdiction. (ABC News: Luke Bowden)

Mr Bartl said TasWater data showed there were 2,700 empty homes in the Hobart, Glenorchy and Launceston council areas in 2021.

These homes were not shacks (holiday homes) or short-stay accommodation.

Mr Bartl said a levy on empty homes was "not a radical idea" that would increase rental supply and put downward pressure on rents.

"Countries like France and Ireland and Scotland have all had empty homes levies for a number of years."

Mr Bartl said some cities — such as Vancouver in Canada and Melbourne in Australia — had also introduced a levy on vacant homes.

"In Vancouver, the empty homes levy has seen a 36 per cent reduction in the number of empty homes across that jurisdiction and more than $100 million raised for affordable housing," he said.

"We're calling on the [Tasmanian] government to include it in its mix of programs to ensure that there are more properties available to people."

The 12 organisations that are signatories to the letter also recommended incentives for investors to encourage them to put empty homes on the long-term rental market.

"Some of the incentives that the government could be offering are things such as a capped, one-off payment to investors to ensure that the properties do meet the minimum standard under the residential tenancy act.

"We also believe that potentially a one-off waiving of land tax could be in the mix."

Mr Bartl said the signatories to the letter were "incredibly disheartened at the slow pace of change" when it came to housing.

"In 2018, the then-premier Will Hodgman called an urgent housing summit: unfortunately, since the housing summit the situation has been getting worse, not better," he said.

"There are more than an extra 1,500 people on the waiting list, rents have gone up by $150 over the last five years and the wait list for social housing has more than doubled."

Levy 'won't solve rent problem: Premier

When asked about the proposal, Tasmanian Premier Jeremy Rockliff said he had "not seen evidence where a tax on homes will solve the problem".

"What we have been focused on is increasing the supply of housing; just in the last few days, our minister has announced a number of initiatives with respect to affordable homes. 

"That's our focus; building, not taxing."

Tasmania's Labor opposition also does not support the proposal because it would be "a new tax".

"This is not the answer to the housing market woes. Labor has proposed the current government could get on with fixing 215 social houses that are vacant at the moment," Labor's Josh Willie said.

"Labor doesn't think that this [vacant home levy] is the right response at the moment in a cost of living crisis.

"We would encourage people who have a vacant house to rent those out to people who need a roof over their head, but there are many other ways the government could alleviate housing stress.

"Whether that's regulating the short-stay market, whether it's getting on with fixing the 215 social and government houses that are currently uninhabited."

Tasmanian Greens leader Cassy O'Connor said a "fairly-set vacant residence levy is demonstrated good policy".

Ms O'Connor said it would return "hundreds" of homes to the rental market.

"Such a levy would be narrowly [targeted] and have zero impact on everyday Tasmanians. It would deliver more homes and ease rental pressure."

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