ABSTRACT

As already indicated in the discussion of subsidies within Chapter 4, there is a widespread acceptance of the need for subsidies. This does not simply reflect political ideology, nor is it only a popularist response by politicians in need of votes. The willingness of governments to consider housing subsidies reflects the significance of shelter and a home to citizens, the recognized importance of this to society, and the importance of residential construction for the economy. More specifically, a number of reasons can be identified to explain the prevalence for state subsidies for shelter (which explicitly includes services and the dwelling):2