Taiwan Debates Success of Rental Subsidy Program

NGO's and officials are at odds over how well a government rental subsidy program — now extended to 2026 — is working.

Transcript

00:00As he works to complete his master's degree,

00:02Wu Shidao calls this home of less than 13 square meters home.

00:06By Taipei standards, his monthly rent of $140 U.S. dollars is a bargain.

00:11And thanks to a government rental subsidy program expanded last July

00:14and now set to continue through 2026, he pays less than $30.

00:19The government doesn't think we need to write a rent subsidy.

00:22Maybe the contract is more detailed,

00:23so they'll be willing to help us write some more detailed contracts.

00:26But Wu is one of the lucky ones.

00:28Housing justice advocates say they see landlords using subsidies

00:32as an excuse to raise rents.

00:34They're especially concerned about tenants who unknowingly rent on the black market.

00:38According to estimates from recent years,

00:40about 80% of rental units are unregistered,

00:43meaning their landlords don't pay tax on rental income.

00:46That means most renters in Taiwan

00:47would accidentally out their landlords to the tax office

00:50if they ask for subsidies,

00:52leaving them open to retaliation.

00:54The government has no way of dealing with this issue.

00:57Because of the rents on the black market,

00:58the government doesn't know which places have increased their rents.

01:02So it's hard to come up with a better housing policy.

01:06But officials from the Interior Ministry see things differently.

01:09The expansion of the subsidy program last year

01:12was meant to help up to 500,000 people.

01:14That goal has already been broken.

01:17We've already exceeded 600,000.

01:19What does that mean?

01:20The people are very willing to help.

01:24But Taiwan's cost of living continues to rise.

01:26This year, the consumer price index is expected to go up by over 2%.

01:31When average incomes are factored in,

01:33Taiwan is one of the world's most expensive housing markets,

01:36meaning rental prices continue to be a political issue.

01:39Joseph Wu and John Van Triest for Taiwan Plus.