2025-11-24
The Victorian Greens say that rent controls are needed to address the rental affordability crisis as new national data released today shows that the rental crisis is growing in Victoria, while the only place across the country where rental affordability is improving is the ACT - which is the only jurisdiction with rent controls.
The Victorian Greens say this is yet more proof that rent controls work, and that Victoria should join the ACT and multiple countries across Europe, the US and Asia that are already using rent controls to urgently address the “dire” state of the rental market.
The Rental Affordability Index shows regional Victoria has become even less affordable over the past year, while Melbourne remains at record-low levels of affordability. Thousands of Victorian renters are being pushed to breaking point by relentless rent hikes.
Meanwhile, the ACT - whose Greens-Labor Government introduced rent-increase caps in 2019 - recorded a 4 per cent improvement in affordability, the strongest in the country. Victoria currently has no limits on rent increases, allowing landlords to push rents up year on year as much as they like.
Today’s data is consistent with the Department’s latest rental data that also shows the rental crisis deepening across Victoria with Melbourne’s median rent increase by $25 in the last reported quarter to $585 per week and regional Victoria’s median rent rising $10 to $460 per week and inner Melbourne recording the largest quarterly jump of 9.8%.
As well as recent research from the Consumer Policy Research Centre (CPRC) and Tenants Victoria finding that 4 in 5 renters had a rent increase in the past 2 years of an average of 17% - meaning the average renter is paying nearly $100 more every week.
Quotes attributable to the Victorian Greens spokesperson for Renters’ Rights, Gabrielle de Vietri:
“It’s no surprise that the ACT is the only place in the country where rental affordability is improving when it’s the only place with rent controls. If the Allan Labor Government were serious about supporting renters, they should be taking notes.
“Renters in every corner of the state are being smashed by soaring rents while the Allan Labor Government refuses to put any limit whatsoever on rent hikes.
“Rent controls are a proven tool for stabilising rents and giving people certainty, and right now we’re in a dire affordability crisis in Victoria - they work, there’s no reason Labor can’t do this here.”