The Albanese Government today announces the ³Ô¹ÏÍøÕ¾ Housing Accord, a landmark agreement to address one of our nation’s biggest economic challenges: the supply and affordability of housing.
It will align for the first time the efforts of all levels of government, institutional investors and the construction sector to help tackle the nation’s housing problem.
Our shared ambition is to build one million new well-located homes over five years from 2024.
The Accord recognises most of this supply needs to come from the market with government playing a key role in enabling and kick-starting investment.
We want more Australians to know the security of decent housing and more Australians realising the aspiration of home ownership.
It’s more important than ever that we work together to ensure there is an adequate supply of affordable housing where it is needed – close to jobs, transport and other services.
The Budget delivers $350 million in additional Federal funding to deliver 10,000 affordable homes over five years from 2024, on top of our existing election commitments. This funding will incentivise superannuation funds and other institutional investors to make investments in social and affordable housing by covering the gap between market rents and subsidised rents.
State and territory governments have agreed to build on our additional commitment with up to 10,000 new homes as well, delivering up to 20,000 new affordable dwellings in total.
The Accord also covers a range of immediate actions and areas for further work to support a sustainable, long-term pipeline of additional housing supply and help take pressure off affordability:
- States and territories to expedite zoning, planning and land release for social and affordable housing
- The Commonwealth to provide financing options through the Housing Australia Future Fund to facilitate institutional investment in social and affordable housing
- Working with local governments to deliver planning reforms and free up landholdings
- Institutional investors to leverage investment that delivers for their members’ interests and for the national interest
- Construction sector peak bodies to support high energy efficiency rating construction, the training of more apprentices under an extended Australian Skills Guarantee and work to make housing more responsive to demand.
These commitments are tailored and timed to current conditions faced by the industry. They recognise and help manage current capacity constraints and support greater stability in the housing supply pipeline.
The Treasurer’s Investor Roundtable, a newly established forum, will explore further areas of work to promote investment in housing next month.
The Roundtable will bring together leaders from the investment community including from some of Australia’s largest superannuation funds, the major banks and global asset managers.
The Albanese Government’s ambitious housing reform agenda aims to support more people into home ownership and improve the supply and quality of social and affordable housing.
The Accord is the next step in our efforts to improve housing outcomes for the benefit of all Australians, our communities and our economy.
