Fast-Tracking Home Building with Multibillion Dollar Boost
Beneficiaries of a multibillion-dollar cash injection in the federal budget will include women and children fleeing domestic violence, the homeless, and the young. The government plans to invest $11.3 billion (US$7.5 billion) into housing initiatives, with the support of premiers and chief ministers who recently attended a National Cabinet meeting.
Of this amount, $1 billion (US$0.66 billion) will be specifically allocated for crisis and transitional accommodation for women and children escaping domestic violence as well as young people. Additionally, grants provided under the National Housing Infrastructure Facility to construct these homes will increase from $175 million (US$116 million) to $700 million (US$463.6 million).
Furthermore, the government will allocate $1 billion towards the construction of essential infrastructure like roads, sewers, energy, water, and community facilities needed to support new homes and increase social housing supply. Federal funding for homelessness services and social housing will double to $400 million (US$265 million) per year, matched by state and territories, with National Cabinet also agreeing to a $9.3 billion (US$6.2 billion), five-year National Agreement on Social House and Homelessness.
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According to Prime Minister Anthony Albanese, this funding injection will help jumpstart national construction efforts aimed at addressing Australia’s housing crisis. He emphasized that this challenge necessitates action from all levels of government.
Treasurer Jim Chalmers highlighted the importance of boosting housing supply to tackle this challenge, making it a key feature of the upcoming budget on May 14th.
In addition, the federal government commits to collaborating with higher education providers to increase student accommodation for both domestic and international students. This initiative complements the earlier budget announcement of over $90 million (US$59.6 million) to enhance the number of tradespeople and construction workers, including the provision of 20,000 fee-free TAFE places.
Education Minister Jason Clare stressed the significance of the international education sector to the Australian economy, emphasizing the need for more purpose-built student accommodation. This housing investment builds on Labor’s existing commitment of over $25 billion (US$16.5 billion) over the next decade to construct 1.2 million homes by 2030.
