Tenants Queensland (TQ) notes statements regarding rental bonds from the Leader of the Opposition during his Budget reply speech yesterday.
The Queensland Opposition Leader, Steven Miles MP, provided support for a portable bonds scheme in Queensland. A portable bonds scheme was part of the rental reform package passed before the change of government in 2024, but has not yet been implemented.
TQ strongly supports the idea of a portable bonds scheme as a mechanism to reduce cost of living pressures on renters, particularly during the expensive process of moving house.
TQ CEO, Penny Carr said, “We call on the government and the Opposition to support the introduction of a portable bond scheme. This is a low risk, practical way of improving rental affordability and reducing the stress on renters when moving house”.
A portable bonds scheme allows a tenant to transfer a bond to a new property even when the bond is in dispute, something not available to renters at the moment.
“A portable bonds scheme would protect renters from having their money tied up in two separate bonds (both of which are likely to be in the thousands of dollars) during the time it takes to settle the dispute”, Ms Carr continued.
The Leader of the Opposition also said a Labor Government will pay interest generated on bonds back to Queensland renters. TQ has a long-held position that the benefits from the interest generated on renters’ bonds should provide direct benefits to renters. This includes being used for specialist independent advisory services for Queensland renters.
At the current time following changes made under Labor in 2022, it is unclear how much interest is being made on rental bonds. The starting point is to improve transparency in this regard.
TQ CEO said, “We need greater transparency on how much interest is generated on renters’ bonds; we need to invest that interest generated effectively and ensure that all of that interest is directed to programs that directly and solely benefit renters. For example, specialised tenant advisory services and or return the interest to renters.”