Increase In State Subsidy On New Pensioners’ Flats

Press, Volume XCI, Issue 27688, 18 June 1955, Page 8

Increase In State Subsidy On New Pensioners’ Flats

CONFERENCE ON AGED

(New Zealand Press Association)

WELLINGTON, June 17. The Government subsidy to local authorities for ]the erection of pensioners’ flats is to be increased from one-third to one-half of the total cost. The maximum amount for a two-person flat will be raised from £7OO to £B5O, and for a oneperson flat from £5OO to £7OO. In addition, the rest of the money will be available on loan from the State Advances Corporation at 4 per cent. This will enable local authorities to avoid going on the loan market for funds for this purpose. An announcement of the increase, made today by the Minister of Health (Mr J. R. Hanan), was greeted with applause at the national conference on the care of the aged. “This is dramatic evidence of the speed with which the Government has responded to the sentiments of this conference,” said Dr. R. G. McElroy (Auckland Old People’s Welfare Committee), after the Minister had made the announcement. The new subsidy rate should enable comfortable but modest accommodation to be provided with little or no burden on the ratepayers, said Mr Hanan. “Local authorities will be able to go ahead with vigour and determination,” he said. “Erection of more pensioners’ flats could v play a major part in the solution of many of the problems of today. “Because of the discussions at this conference, it seems clear that for most local authorities the building of pensioners’ flats on present-day building costs results in some expense being borne by local ratepayers,” said the Minister. “It follows that, although the local authorities receive the subsidy of 33 1-3 per cent, from the Government and the maximum amount of rent that the old people can reasonably pay, there is not the extensive building of flats that this conference would think desirable. “Because of the evidence adduced at this conference, I have conferred during the week with the Minister of Finance (Mr J. T. Watts), the Minister of Housing (Mr W. Sullivan), and other Cabinet colleagues,” Mr Hanan said. He then announced the increase in the Government subsidy. “On this new basis, I feel that the local authorities can do much to relieve the housing situation for the old oeople of this country.” Mr Hanan said Conference Recommendations The conference agreed that not less than 5 per cent, of the national housing construction programme should comprise pensioners’ houses and flats. This target had been advocated by Dr. McElroy. « With 18,000 houses a year being built at present, 5 per cent, of the total was 900 units, said Dr. McElroy.

The conference recommended that a survey be made-to find out in detail the housing needs of elderly people. Extension of charitable institution buildings was classified by the conference as being of top priority among the means of providing accommodation for old people. Second priority was given to the erection of pensioners’ flats, and the conference agreed that local authorities be asked to expedite the erection of such buildings. In selecting the tenants for these flats, the conference recommended that priority be given to persons who are occupying hospital beds, but who coul(i be discharged if they had other accommodation available. A promise to consider a recommendation for a greater income concession for age beneficiaries employed in hospitals was made by the Minister c Social Security (Mr E. H. Halstead). Mr Halstead said he believed that, if any further monetary benefits were to be paid, they should go to those most in need, and should not be paid to all. The case made at the conference for more generous treatment for single pensioners would be reopened, and he would take it to the Cabinet. Next year, a measure consolidating the existing social security legislation would be introduced in Parliament, said Mr Halstead, and he hoped any plans for changes would be presented and anomalies pointed out before it was brought down. Exemption from income tax of donations made for the care of the aged, subject to the approval of the Minister of Finance, was advocated by the conference. Physiotherapy Service The conference agreed to ask the Health Department to institute a system of physiotherapy and home visiting of the partly or wholly disabled aged not already receiving specific courses of treatment either in their homes or institutions. This, the conference suggested would prevent the onset of deformities and assist mobility and handling of the patients. It was also decided to appeal to non-practising and retired physiotherapists to assist. To increase the number of trained occupational therapists, the conference agreed that the Government should consider enlarging the Occupational Therapy Training School. “Every recommendation you have made will receive the Government’s earnest and sympathetic consideration,” Mr Hanan told delegates before the conference ended. Mr Watts, addressing the conference said: “In the Cabinet, you have 15 Ministers wanting to spend money—your money—and one Minister trying to stop them. But I will admit that I will receive your recommendations with a less jaundiced eye than I have received those of others—and that’s a very handsome promise from me.”