Beneficiaries of the multibillion-dollar cash injection in the federal budget for housing initiatives include women and children fleeing domestic violence, the homeless, and the young. The government will allocate $11.3 billion (US$7.5 billion) towards building more homes quickly, with the support of premiers and chief ministers who participated in a National Cabinet meeting on May 10.
Of this funding, around $1 billion (US$0.66 billion) will be specifically allocated for crisis and transitional accommodation for women, children, and young people escaping domestic violence. 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).
In addition, the government will invest $1 billion in building roads, sewers, energy, water, and community infrastructure necessary for new homes and increased social housing supply. Federal funding for homelessness services and social housing will double to $400 million (US$265 million) annually, matched by state and territories. The National Cabinet has also endorsed a $9.3 billion (US$6.2 billion) five-year National Agreement on Social House and Homelessness.
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Prime Minister Anthony Albanese emphasized that the funds allocated will facilitate construction on a national scale to address Australia’s housing crisis. “This isn’t a localized issue; it requires coordinated action at every level of government,” stated Mr. Albanese.
Treasurer Jim Chalmers highlighted that boosting housing supply is crucial in tackling the housing challenge. This substantial investment in housing will be a prominent feature of the upcoming budget on May 14th.
Furthermore, the government’s commitment extends to collaborating with higher education institutions to enhance student accommodation for both domestic and international students. This initiative follows a previous budget announcement allocating over $90 million (US$59.6 million) to support tradespeople and construction workers, including providing 20,000 additional fee-free TAFE places.
Education Minister Jason Clare reiterated the significance of the international education sector to the Australian economy and stressed the need for purpose-built student accommodation to ensure its sustainability.
Overall, this investment builds upon Labor’s existing plan to allocate more than $25 billion (US$16.5 billion) over the next decade to construct 1.2 million homes by 2030.
