Suspend Commercial and Residential Rents, Mortgage and Credit Card Repayments in Australia

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Pardon the interruption.

‘Rent Freeze’ Petition follows this urgent petition “Keep Parliament Open”

“Keep the Parliament open and listen to the people!

There are numerous petitions starting in response to the crisis but the only legitimate petition through the federal parliament is not available until they resume in August.

Keep the parliament open!”

https://www.change.org/KeepParliamentOpen

 

“Rent Freeze Australia” Petition

It’s time to put people before profits.

Small business and family enterprise in Australia account for almost 98% of businesses and account for 35% of Australia’s gross domestic profit and employ 44% of Australia’s workforce. Of the 877,744 total employing businesses, 823,551 are small businesses (93.8%), and of those businesses, 627,932 are businesses that employ only 1-4 people, known as micro businesses (76.2%). (Source: Small Business Counts, 07/2019. Australian Small Business and Family Enterprises Ombudsman)

These figures suggest that the most prominent and powerful economic voice in Australia would be the self-employed and small businesses. Yet, in reality, over 8 million people involved in small business are the most vulnerable to the prolonged economic downturn and the increasing financial burden due to the bushfire and COVID19. 

Many small businesses have net income well below the average Australian wage with 52% of small business owners earn below $25,000 per annum (ib.) and the current stimulus package focused on larger corporates would not ensure the survival of small businesses. With the imminent recession, the battling mass would fail to pay residential/commercial rents, business/home loans, credit cards and utility bills. Such defaults and bankruptcies would lead to unemployment and loss of homes and further deteriorate Australian economy. Most of the landlords would be happy to stop taking rental payments from their tenants if the banks suspend repayments. As RBA governor Dr Lowe pointed, "The banking system is well capitalised and is in a strong liquidity position" and the banking and financial industry can withstand the suspension of repayments. If they share the pain, everyone can survive this long and deadly battle against the novel COVID-19. 

Unfortunately, the Australian governments stimulus packages would only mitigate the situation temporarily and end up increasing the financial burden of debts of millions of households and businesses while the banks profit from the package. 

We therefore ask the Australian government to suspend commercial and residential rents, mortgage and credit card repayments in Australia immediately. Across Europe and USA, similar measures have already been implemented to protect its citizens. No stimulus package would be more practical and life saving than the suspension of the payments to the banks.