The Victorian government has been accused of failing to deliver on its promise to provide funding for supported housing for people with severe mental illness. This commitment stemmed from recommendations made by the Royal Commission into Victoria’s Mental Health System, but the housing sector states that the originally promised $40 million in support funding remains unallocated to this day.
The Royal Commission identified chronic shortages in long-term supported housing as a critical gap in Victoria’s mental health system. It recommended the government provide 2,000 social housing units as supported housing under the “Big Housing Build” initiative, enabling residents to access both mental health treatment and community support services. The government subsequently allocated $40 million in the 2021/22 budget, originally intended to be disbursed over four years with a completion target of late 2024. However, years later, despite many housing units under the plan being completed or under construction, the promised support funding remains unpaid.
A Victorian government spokesperson did not directly deny the funding cancellation but stated the government remains committed to advancing the Royal Commission’s vision for mental health supportive housing, adding that eligible residents can access support through other programs.
Furthermore, the Victorian Auditor-General’s 2024 report warned that funding issues may prevent the government from meeting its housing targets for people with mental illness, recommending an increase in supportive housing places.
Commentary:
The Victorian government’s failure to deliver on its long-standing promise of supported housing for people with severe mental illness exposes its dereliction in implementing public policy. The government’s vague response of offering “other support options” is no substitute for the specifically designed supported housing originally promised. This approach not only calls into question the government’s sincerity regarding mental health policy but also reflects policymakers’ disregard for the needs of vulnerable groups. Moreover, the Auditor-General’s Office warned of this issue as early as its 2024 report, yet the government has shown no proactive response, demonstrating a clear lack of accountability and urgency.
Even more concerning is that without implementing supported housing, individuals with mental illness may become trapped in a cycle of homelessness and hospitalization, increasing the burden on society and the healthcare system. The government must move beyond empty promises or substitute measures and immediately release the committed funds to ensure supported housing is genuinely delivered.