PSM slams proposed Selangor PPR rent hike, urges wealth-based taxation instead

 

PARTI Sosialis Malaysia (PSM) has slammed the Selangor state government over recent reports that it is considering a revision of rental rates for the People’s Housing Programme (PPR) at Lembah Subang 1 in Petaling Jaya.

The party’s Central Committee member Gandipan Nantha Gopalan argued that increasing rental rates would undermine the original purpose of the programme, which is to ensure access to affordable housing for those priced out of the private property market.

“The PPR programme exists for one reason: to give the poorest Malaysians, the B40, access to decent housing at a price they can actually afford. The 3,000 residents of Lembah Subang 1 are not living there by choice of luxury,” he stressed.

“They are there because the housing market has completely failed them. Even homes classified as affordable are piling up unsold, out of reach for low and middle-income earners alike. Against this backdrop, raising PPR rents is kicking people when they are already down.”

On Monday (May 18) State Housing and Culture Committee chairman Datuk Borhan Aman Shah said the move followed the takeover of PPR management by Perumahan dan Hartanah Selangor Sdn Bhd (PHSSB) under an agreement between the Housing and Local Government Ministry (KPKT) and the state government.

Borhan said the RM124 rental rate would be increased, but the amount has yet to be determined pending the completion of engagement sessions with residents.

Wage stagnation

According to Gandipan, wage stagnation has further worsened the situation. He cited previous remarks by former Bank Negara Malaysia governor Tan Sri Muhammad Ibrahim, who noted that real wages in Malaysia have declined significantly over the past four decades.

He also pointed to Bank Negara Malaysia’s earlier assessment that a single adult in Kuala Lumpur requires approximately RM2,700 per month to meet basic living costs, while the national minimum wage currently stands at RM1,700.

He said these figures reflect the economic pressures faced by PPR residents on a daily basis.

Gandipan further criticised the policy direction of both the Selangor and federal governments, noting that Pakatan Harapan currently leads administrations at both levels.

He argued that instead of increasing costs for low-income groups, the government should consider broader fiscal reforms, including wealth taxes, inheritance taxes, and capital gains taxes on listed shares.

“For years, we have asked why corporate taxation has not kept pace with public needs. It appears easier to impose additional costs on PPR residents than to tax those with greater ability to pay,” he stated.

“PSM demands that the Selangor government immediately drop any plans to raise PPR rents.

“If maintenance and upgrading are genuinely needed, and we accept that they are, fund it properly through public allocation, including the RM2.3 mil already received from KPKT. Tax the wealthy. Stop making the poor pay for a crisis they did not create.” ‒  Focus Malaysia