Labor’s Housing Affordability Plans Criticised For Not Addressing The Immediate Crisis

By JUSTIN COOPER

 The NSW Government’s new solution to address the ongoing housing crisis has been criticised by the Greens Party for failing “to not address the root of the problem,” in not providing an increased percentage of affordable housing amongst new developments.

On Thursday 15th June, the NSW Minns Government announced an investment of over $75 million to new housing developments which will allocate 15% of the total gross floor area towards affordable housing.

The NSW government along with the non-profit organisation Urban Taskforce is expected to expedite development processes through the State Significant Development (SSD) pathways, and is driven by pre-election promises from the Government to provide a minimum of 30 percent of surplus public land towards affordable housing.

These new residences will also extend 30% in floor space and height comparison to other local environmental plans, to provide more available living spaces.

Additional reforms to the existing Building Act and Building Commission are expected in modernising and strengthening construction industry standards.

Premier Chris Minns said this plan was an “important step” in addressing housing affordability. Minns continued by saying, “​​these reforms will provide more homes and more affordable housing in places where people want to live.”

Minister of Planning and Public Spaces, Paul Scully, accepted the “responsibility” of the government in the state’s evolving housing crisis saying, “These changes provide incentives to build more affordable housing with the new pathway providing greater certainty and delivering the government more control.”

This is the first major plan from the Minns Government in addressing the housing crisis, with additional help anticipated from many waiting on affordable and social housing.

Greens call out new plan

Following the announcement, NSW Greens members detested the plan for incentivising private development, misusing the SSD pathways, and not properly addressing affordability for renters.

Greens MP and Spokesperson for Planning and the Environment, Sue Higginson, said this was “taking more power away from councils and local communities” in neglecting existing local communities measures and driving private development.

Higginson continued saying, “Failed planning regulation that has been consistently weakened over the last two decades… Chris Minns needs to break free from the failed corporate model.”

Newtown MP and spokesperson for Housing and Homelessness, Jenny Leong, continued to express that the current plan was inadequate suggesting a 30% prerequisite for affordable housing within private developments.

“A target of 15% affordable housing doesn’t even touch the sides of the housing affordability crisis… supply alone will not fix the crisis unless we mandate affordability,” Leong explained. “This means setting rents for affordable housing relative to income and guaranteeing affordable housing in perpetuity.”

Labor’s Housing Bill Struggles To Pass Senate

Difficulties in addressing the housing crisis also arose in Federal parliament this week, with the Labor Government’s plan around the Housing Australia Future Fund needing to be amended to convince the Senate crossbench.

On Saturday 17th June, Anthony Albanese announced a $2 billion fund directly towards social housing for states and territories. This follows many appeals throughout the week to appeal to the Greens on the crossbench who have halted Labor’s Bill.

With the new direct investment, Greens spokesperson for housing Max Chandler-Mather has expressed the party’s delight for the changes at a press conference following Albanese’s announcement.

“Labor told us there was no more money in the budget… Today Labor has caved into pressure from the Greens and admitted they were wrong,” said Chandler-Mather. “Now the Greens will keep pushing for a freeze and caps on rent increases.”

With amendments and changes to the bill, The Greens have continued to hold a strong stance in pushing for a national rental freeze and a minimum of $5 billion in funding for social and affordable housing every year.