Government commits another $1 billion to secure Greens vote on housing fund

Government commits another $1 billion to secure Greens vote on housing fund

Housing Fund

After months of negotiations, the federal government will pass its Housing Australia Future Fund in the Senate this week after reaching a deal with the Greens.

The government has agreed to provide another $1 billion towards public and community housing this year. The deal does not include the rent freeze which the Greens had been advocating for.

For months, the Greens had not supported the government’s $10 billion housing fund policy, which will create 30,000 social houses over a five-year period.

Four thousand homes built as part of the policy will be dedicated to women and children who are impacted by family violence and older women facing homelessness.

The Greens’ housing spokesperson Max Chandler-Mather has said the policy did not do enough to support renters and did not provide adequate solutions to the housing crisis. He had previously stated the Greens would not support the bill unless the government included a nationwide rent freeze.

“As a result of securing this extra $1 billion for public and community housing the Greens will be passing the Housing Australia Future Fund, but the fight for a rent freeze and cap has only just started,” Chandler-Mather said on Monday.

“Come next election Labor should be prepared to hear from renters loud and clear they are fed up with being treated as second class citizens. Renters – your voice and your vote is powerful. This is your fight and we will only win a freeze on rental increase when enough of us stand up against a system that treats us as second class citizens.”

In June, the government committed an extra $2 billion to social and affordable homes amid negotiations with the Greens.

The Housing Australia Future Fund – which is now set to become law – will see the government place $10 billion placed in an investment fund. It will be used to build social and affordable housing, with the government committing to spend at least $500 million of the fund’s earnings every year. The bill now has support in the Senate form Greens senators, the Jacqui Lambie Network and independent David Pocock.

The Greens have been continuously critical of the fund, saying it was like taking a “gamble on the stock market”.

In a joint statement, Housing Minister Julie Collins and Prime Minister Anthony Albanese said the fund would create a secure, ongoing pipeline of funding for social and affordable rental housing.

“The passage of this legislation, along with the commitments made at last month’s National Cabinet, represents the most significant reforms to housing in a generation” they said.

“Delivering the Housing Australia Future Fund will ensure more Australians have a safe and affordable place to call home.’

Collins and Albanese confirmed that an additional $1 billion will be invested in the fund

“The Government thanks the Crossbench in the House of Representatives and the Senate, including the Greens, for the constructive engagement over a number of months on this critical legislation,” they said. “Returns from the Housing Australia Future Fund will help deliver the Government’s commitment of 30,000 new social and affordable rental homes in the fund’s first five years.”

“This includes 4,000 homes for women and children impacted by family and domestic violence or older women at risk of homelessness.”

Greens leader Adam Bandt said his party would continue to push the government to provide more support to renters, who now make up about one third of Australians.

“I say this to Labor: if you continue to ignore renters, your political pain has just begun,” Bandt said.

“There are several more significant bills on the immediate horizon where the Greens will use our position in the balance of power to push the government to address soaring rents with a freeze and cap on rents.”

On Monday, Community Housing Industry Association NSW (CHIA NSW) has welcomed the announcement of a deal on the Housing Australia Future Fund and urged the parliament to pass it quickly.

“This will come as a huge relief to the 56,000 families on the social housing waitlist in NSW alone,” said Mark Degotardi, CEO, CHIA NSW.

“Not-for-profit community housing providers are ready to start building the homes our state needs. We have housing projects right across the state that are shovel-ready, but just need an injection of funds.

“That’s why I urge the Federal Parliament to pass this bill swiftly and partner with community housing providers to get families off waiting lists and into homes as quickly as possible.”

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