PROPERTY COUNCIL: HOUSING AFFORDABILITY & SUPPLY REPORT PRESENTS BREAKTHROUGH OPTIONS

The Property Council of Australia today welcomed the release of the Federal House of Representatives Standing Committee on Tax and Revenue’s report on housing affordability and supply in Australia.

Property Council of Australia Chief Executive Ken Morrison said the report lays out some commonsense solutions to dealing with the complex and wicked problem of housing affordability.

“What’s new in this report is a recognition that the Federal Government, and not just the states or local governments, can have an important role in leading and shaping the state of housing in this country,” Mr Morrison said.

“We warmly welcome the recommendations that suggest the Federal Government could encourage or require better planning systems at the state and local levels, through financial incentives, infrastructure support or cash grants.

“This has been a successful and collaborative model to achieve difficult microeconomic reform outcomes in the past and it makes sense to apply this to the challenges of housing supply and affordability.

“The report also recognises the potential of Build to Rent housing to provide quality rental acommodation and an additional form of housing supply and we support the recommendation to have Treasury conduct a further detailed review into the benefits this could bring.

“It is pleasing the inquiry’s report places such strong focus on making it easier, cheaper and quicker to supply the housing choice Australians want.

“It’s important that older people have the choice to live where their kids are now growing up, giving teachers and nurses the opportunity to live close to work, and that couples have greater scope to buy a home where they can raise their young family.

“The Property Council believes more could be done to encourage non-government sources of capital into the creation of affordable and social housing – an omission from the report – and we urge policy makers to closely consider the recommendations of the National Affordable Housing Alliance,” he said.

The Property Council also supports other recommendations which include more transparency around developer contributions, avoiding experimentation with negative gearing and capital gains tax settings, and continued support for the National Housing Finance and Investment Corporation to monitor crucial industry data including population, housing approvals and completions.

Mr Morrison said while it was disappointing that the Opposition members of the Committee decided not to endorse the report, he noted that Labor members saw a big role for the Federal Government in these solutions.

“We note the strong critique of the planning ‘spaghetti bowl’ that has contributed to housing affordability from the Labor members of the Committee and the importance they attach to Federal leadership and the productivity benefits of reform,” he said.

ENDS

Media contact: Ellie Laing | 0416 007 830 | [email protected]