Politics Now Does Labor have a chance to be ambitious about housing?
Jul 15, 2025
The government faces scrutiny over its ambitious goal of constructing 1.2 million homes in five years, raising questions about housing reform. As leaks from Treasury heighten concerns, discussions turn to the complexities of collaboration between state and federal entities. Meanwhile, the political ramifications of anti-Semitism and donations to right-wing groups complicate Labor’s stance. Balancing public sentiment with expert advice proves challenging in navigating these controversial issues amid a polarized society.
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Federal Role Limited in Housing
- The federal government alone cannot solve the housing crisis; state, territory, and local governments hold significant power over housing policy.
- Labor may need to incentivize states with grants tied to measurable outcomes like planning law changes to boost housing supply.
Tie Grants to Housing Outcomes
- Use federal housing grant money more strategically by linking payments to specific, incremental reforms such as planning law changes.
- This approach encourages accountability and accelerated progress toward housing targets.
Boost Construction Productivity
- Productivity in Australia's construction sector has been declining, impeding housing supply growth.
- Innovations like prefabricated homes and building townhouses in the 'missing middle' can boost productivity and housing affordability.