Homelessness Surge on the Peninsula: Sharp Rise Prompts Urgent Call for Action

Homelessness is rising fast on the Mornington Peninsula, with more than 80 people now sleeping rough — up 45% since June. Council says local services are at breaking point and is calling on the Victorian Government to urgently invest in crisis housing and long-term solutions.

Behind the Mornington Peninsula’s postcard-perfect scenery lies a deepening homelessness crisis — and new figures suggest it’s worsening fast.

Known for its beaches, vineyards and holiday homes, the region now ranks second only to Melbourne for the number of people sleeping rough, with many slipping through the cracks of an overwhelmed support system.

Recent research commissioned by Mornington Peninsula Shire estimates up to 689 people are experiencing homelessness across the region, including around 100 sleeping rough in cars, tents, or on the foreshore. Homelessness has risen 37% in just five years, with a 33% spike in demand for support in the past 12 months alone.

At the same time, more than 3,800 people remain on the public housing waitlist — nearly half with priority access needs.

Adding to the pressure is the short-stay rental market. Over 4,500 properties are listed on Airbnb, while 35% of local renters are in rental stress — spending more than a third of their income just to keep a roof over their head.

In late 2024, the shire joined Melbourne Zero, a campaign by Launch Housing aiming to end rough sleeping by achieving what’s known as Functional Zero — where the number of people entering homelessness each month is lower than the number being housed.

A key tool is the By Name List, a live register of individuals sleeping rough, used by local support services to provide targeted case management. Partners include The Salvation Army, Peninsula Health, Fusion, Bolton Clarke, Southern Peninsula Community Support, and others.

But since June 2025, the number of people sleeping rough has spiked — from 55 to more than 80 in just six weeks — prompting alarm among frontline workers.

Council has invested $70,000 to support the Functional Zero rollout and contributes nearly $1 million annually to homelessness support services. But it says this is not enough.

A 13-room crisis accommodation site in Capel Sound — donated by a developer — is full and set to close soon. There are no government-funded emergency accommodation options currently operating on the Peninsula.

Community organisations report record demand. In Mornington, emergency relief requests rose from 274 in July 2019 to 413 in July 2024. In Hastings, the Western Port centre saw a jump from 199 to 608 requests during the same period.

The southern Peninsula is particularly hard-hit, with limited support services and higher numbers of people sleeping rough.

Women make up 60% of those seeking crisis help in the south, including many aged 50–85 and mothers fleeing family violence. Alarmingly, about one in five people experiencing homelessness in the region is under 18.

The shire’s Triple A Housing Plan 2020–2030 outlines a roadmap to address the crisis — including rezoning land, building affordable rentals, and advocating for state investment.

In 2024, council floated a 3.3% developer levy to fund up to 1,000 new social housing dwellings — but scrapped the plan after 85% of public submissions opposed it.

A new women-only housing project in Rosebud has been proposed and recently completed community consultation.

Some local leaders warn that the Mornington Peninsula’s image as a tourist haven or “millionaire’s playground” continues to mask the growing hardship faced by residents.

There’s a hidden crisis unfolding,” said one community advocate. “And unless the state steps in soon, we risk letting more people fall through the cracks.”

Without immediate investment in crisis accommodation and affordable housing, the region’s homelessness rate is expected to keep rising — fast.

One comment

  1. The Allan Labor Government is delivering more than 1,000 new social homes across the state thanks to a partnership with community housing providers – providing more Victorians with safe and secure housing.
    These homes form part of the 1,043 new social homes that will be built right across Victoria, including 256 homes in Greater Dandenong, 169 homes in Greater Geelong, 90 homes in Bayside, 68 homes in Port Phillip, 67 homes in Hobsons Bay, and 65 homes in Ballarat.
    This program forms part of the Labor Government’s record investment in housing – including the $6.3 billion Big Housing Build and Regional Housing Fund, which are delivering more than 13,300 social and affordable homes across the state, with more than 10,800 already complete or underway.
    Where are the new homes on the Mornington Peninsula?
    http://www.premier.vic.gov.au/thousand-new-homes-victorians-who-need-them-most

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