‘Strain’ On Welfare Groups

Press, Volume CX, Issue 32349, 15 July 1970, Page 1

‘Strain ’ On Welfare Groups

(N.Z. Press Association) WELLINGTON, July 14. The provision of old people’s homes by religious and welfare organisations could be jeopardised unless the Government altered its policy on subsidising the capital cost of such homes, the Commission of Inquiry into Housing was told today. The Government looked

primarily to these organisations to provide accommodation for the aged, said Mr B. M. Kemp, chairman of the Board of Health’s committee on care of the aged. For this it provided a 100 per cent subsidy of up to $4BOO a bed, but the subsidy had remained the same since April, 1960, and because of increased building costs was in reality about 60 per cent. “Religious and welfare agencies are likely to find themselves increasingly unable to meet the financial strain of coping with this burden,” he said. The agencies also had the burden of meeting jrunning costs, for which there (was no Government assistlance. I

Some form of maintenance subsidy was needed, particularly as it was Government policy for hospital boards to disengage from providing accommodation for the frail aged. By 1985 it was expected that the number of people aged 65 and over would increase by 30 per cent to 311,300. The committee felt the provision of suitable accommodation for the elderly in association with family dwellings was one of the best solutions to the problems of accommodation and care of the elderly. This would require the liberalisation of by-laws relating to the erection of detached living units.