House debates

Monday, 5 September 2022

Private Members' Business

Housing Affordability

11:53 am

Photo of Helen HainesHelen Haines (Indi, Independent) Share this | | Hansard source

I move:

That this House calls on the Government to:

(1) act urgently to address housing affordability and availability in regional Australia; and

(2) establish a dedicated fund to build critical infrastructure to unlock more housing supply in regional Australia.

Today I'm using my first motion of this parliament to draw attention to the housing crisis in regional Australia. Let me say it simply: there is nowhere to live in the region. A few months ago, I met a woman who applied for 170 rentals in Wodonga before she found a place. Every business I speak to says they're unable to fill their roles because people cannot find anywhere to live in town. The prices tell the story. For renters, the average price to rent a three-bedroom house in towns like Wangaratta, Wodonga, Benalla and Mansfield is now hitting $400 a week. In our region, this is just unheard of. Buying a house is getting harder too, and it has got harder fast. In the last two years, prices are up 33 per cent in Wodonga, 34 per cent in Wangaratta and 25 per cent Benalla. In Bright, it's 55 per cent. This is just out of control.

I've put forward this motion to sound the alarm on the housing crisis and also to make the case that we do not just have an affordability problem; we have an availability problem. Both parties like to put forward policies that simply throw fuel on the fire by subsidising people to purchase houses. What we need is a comprehensive plan to actually better match supply and demand for housing. In the regions, we're simply not building enough houses to accommodate our rapidly rising population, especially since the pandemic with people going regional out of the cities. Right now, Wangaratta can't build any more houses because the main sewer line is at capacity. It will cost hundreds of millions to upgrade that infrastructure, and that's money that a regional council doesn't just have lying around. Benalla has a similar problem. It needs $10 million worth of drainage works done in the west and north-west of the town. Otherwise you just can't build more homes there.

We need to be making strategic investments in infrastructure in our regional towns that would unlock more housing supply. The housing problem is probably the biggest economic handbrake we are facing. Businesses can't fill their jobs because prospective workers cannot move to town. If you solve housing, you go a long way to solving the regional workforce problem. If you solve the workforce problem, our towns can really start to blossom. I've put a proposal to government to set up a dedicated regional housing infrastructure investment fund. The current policy framework set up by the last government, the National Housing Infrastructure Facility, has manifestly failed to meaningfully solve this problem. In the five years since it was set up, it has spent just 40 per cent of its allocated funding and helped build just 1,400 dwellings a year across the entire country. The proof is in the pudding; the problem is just getting worse. Clearly, the former government's policy didn't work.

This new government announced last week that they were releasing $575 million from this fund. That's good and it's a start, but I want to see that money actually get out the door and into the regions—to regions such as mine. I want money urgently targeted to regional Australia. I want to see that it gets to the critical infrastructure priorities holding back new housing supply in the regions. In Indi, we've got people sleeping in tents in numbers we have never seen before. It's frequently below zero degrees in the mornings these days. Many of these people have jobs and they still can't find somewhere to live. And, whether people have a job or not, surely we are decent enough as a country that we should not be letting people fall behind like this. It's a problem that affects us all. The new government needs to offer something more than what's been put on the table thus far. We need to think a bit differently and we need to think contextually. We need to think about rural and regional Australia and what we need there to open up housing stock—and, by that, I mean housing stock that's at all levels. We need something creative. We don't want to create suburbia in our regional towns, but we need medium density housing, we need social housing and we need clever housing.

I will not leave this place—this parliament—without making a lot of effort in this area. It's work I will do every day because we in Indi come from a beautiful part of the world and we have jobs aplenty. We have an enormous desire for people to come and live in our region, and we have a strong desire to look after those people who are sleeping rough and to give them a chance. I want to see this government do something substantial, creative and nation-building on regional infrastructure and on housing in particular.

Photo of Andrew WilkieAndrew Wilkie (Clark, Independent) Share this | | Hansard source

Is the motion seconded?

Photo of Rebekha SharkieRebekha Sharkie (Mayo, Centre Alliance) Share this | | Hansard source

I second the motion, and I reserve my right to speak.

11:58 am

Photo of Brian MitchellBrian Mitchell (Lyons, Australian Labor Party) Share this | | Hansard source

Let me be clear for the benefit of the member for Indi. This government does understand the significance of homelessness, and we do understand that it's not just an issue of housing affordability but also of access. The fact is that we've got far too few homes in this country for people to live in, whether you're working or not. We recognise it. We know it's a major issue, and we will work with state and territory governments and all stakeholders to tackle this massive issue head on.

It is a massive issue. The member for Indi has identified it very well. But I'm proud to be a member of a government led by the Prime Minister who understands, from personal experience, the importance of safe and affordable housing. He has lived experience of this issue. He grew up in social housing in Sydney, and he is leading a government committed to improving housing in Australia. Anybody who's listened to the Prime Minister would know of the importance of safe and secure shelter for people being able to get on with their lives. He recognises this down to his bones, and he's leading a government that takes this issue very seriously. We've elevated the portfolios of housing and homelessness into cabinet. Such is our commitment to ensuring this issue gets the ventilation it requires.

I'm also proud of the work that the Minister for Housing and Minister for Homelessness—my friend and fellow Tasmanian the member for Franklin, Julie Collins—is doing in this area. From day one the minister has jumped right in and worked hard to deal with issues that we as a government and as a nation are facing within the scope of these portfolios. As soon she was sworn in, the minister hosted a meeting of housing ministers from across the country and made strong first steps in addressing the challenges across Australia. This was a significant moment. It was the first time in almost five years that Australia's housing ministers had sat in a room together to discuss the issues facing our country and how governments could work together to deal with them. This will not be the last time they meet either. The housing ministers will meet again in the coming days to continue these discussions.

In my electorate of Lyons, as in most of Tasmania—and, indeed, in the member for Indi's electorate—people are struggling with high rents, unaffordability, inaccessibility, inability to secure finance from banks due to the need for high deposits, and, of course, tradie shortages. We said last week that we were releasing $575 million, but, frankly, there's a shortage of labour. We could release money into the economy right now to build homes, but there's nobody to build them. The critical supplies aren't there, and the supplies that are there have gone up between 40 and 50 per cent in cost. If you talk to any builder or to any tradie who's working in construction, you will find that these are the issues they face. We know we've got a construction boom going on. They can't keep up with the demand, but prices have gone so far out of kilter that, at the same time we have a construction boom, we have construction firms going bust. It's an awful situation that the country's facing, and there's no easy solution. But we are committed to tackling it.

I join with the member for Indi in agreeing that we have not built enough homes in the public sector, in the social housing sector, for decades. I can certainly look at the last nine years, under the previous government, but, frankly, it goes beyond that, and I won't pretend that it doesn't. I think that for decades federal governments and, particularly, state governments of all stripes have dropped the ball big time on housing, particularly affordable housing. They've left it to the charity sector and to the private sector, thinking that's a problem they don't need to deal with, and now it's facing us starkly

Housing is one of the issues in my electorate—cost of living and health being the other two—that keep me awake at night. The once renowned Australian dream of owning your own home is now but a pipedream for many young Tasmanians and many other young Australians. There has been a massive failure by governments of the past to ensure that people can get into the housing market and live in secure and affordable housing.

The Albanese Labor government is fighting to turn this historic neglect around and focusing on providing for Australians. We made it clear during the election that we are serious about tackling the housing crisis—and it is a housing crisis. We brought to the people our housing reform agenda, which included the development of a national housing and homelessness plan. It's something we remain committed to. It's 30,000 homes over five years. Sure, that's not enough—I'm not going to pretend that it is—but it's a start, and it's certainly a lot more than we had under the previous government. It's an indication of how seriously we are taking this issue.

I thank the member for Indi for bringing on this motion. It's an important issue for regional Australia. We need more houses, and I join with her in hoping to get as many as possible built as soon as we can.

12:04 pm

Photo of Rebekha SharkieRebekha Sharkie (Mayo, Centre Alliance) Share this | | Hansard source

It's no surprise to me that Mayo continues to attract a growing number of new residents to live in our beautiful hills and coastal regions. Between 2016 and 2021, our community of Mayo collectively absorbed an extra 33,368 people—more than 10,000 families. During this time, median weekly rental payments in Mayo have increased by far more than people's wages. Medium weekly rental costs now represent close to half of a weekly income—more than half once utilities are considered. The Domain Rental Report in March this year indicated that Mount Barker residents experienced a 25 per cent increase over that time. Even more worryingly, down at Victor Harbour and on the south coast, there was a 62.5 per cent increase over that period. This is in part because we have such an influx of people coming in, and it is also a holiday community. When I look at the fact that there are so many older Australians in my community on the age pension and renting, it is deeply worrying. What this means for my constituents is that affordable properties, particularly for those on a low fixed income, are very few and far between. Like the member for Indi, I am now seeing rough sleeping, couch surfing and people camping in car parks in tents. This never happened in Mayo, but it's happening now.

Mayo is not alone. A recent briefing from the community housing and homelessness sector provided an insight into new Impact Economics analysis exploring the role of housing in critical skills shortages across the regions. In short, there is no surprise that no housing means no worker mobility. In each area examined the Housing critical report, rental costs are up by high margins, severe housing stress is up, job vacancies have climbed and rental vacancies have plummeted. The report found that on the Fleurieu Peninsula rents are, on average, up 48 per cent since March 2020. Job vacancies are off the chart, with an estimated cost of more than $200 million each year to that region alone.

In the context of the jobs summit, we need to keep front of mind the enormous pressures on regional Australia's housing, insufficient supply and exorbitant prices. I warned during the last parliament of an impending tsunami of homelessness due to poor access to affordable housing. At the time I requested the three tiers of government work together to establish a national strategy to increase housing supply and improve affordability. I therefore welcomed the government's commitment to develop a new National Housing and Homelessness Agreement, and the $10 billion Housing Australia Future Fund for social and affordable housing, but I'm also in favour of a new, improved generation scheme, like NRAS. I will just say to the government: we've got thousands of properties still within NRAS that are yet to expire. Please look to extend those properties beyond their date because otherwise we're going to face a valley of death with respect to affordable housing stock that's currently there in the market, but will potentially be gone in a matter of years when NRAS finishes.

As the member for Indi points out, more is needed in the regions. Like Mayo, the member for Indi's electorate has also experienced significant population growth, and so has regional Australia. This growth puts great pressure on regional infrastructure, our water, our drainage and our power, with more users using our road and transport systems. There is increasing demand on housing, local health and community services, and more. The member's proposed $2 billion regional housing infrastructure fund would be used by regional councils to provide for critical infrastructure to strengthen these foundations for the building of new housing. I urge the government to consider this very, very carefully. We need to ensure that regional Australia is not left behind with respect to affordable housing as well as our needs for child care, community centres and other infrastructure. If we want decentralisation and if we want our regions to thrive, we need to invest in them. I urge the government to consider this motion by the member for Indi.

12:08 pm

Photo of Fiona PhillipsFiona Phillips (Gilmore, Australian Labor Party) Share this | | Hansard source

In my electorate on the New South Wales South Coast, we have been facing a regional housing crisis for years. Then came the bushfires, the floods and the pandemic. Make no mistake—this housing crisis is the new disaster. It needs immediate action and more temporary disaster accommodation. Let me explain why.

It is not okay for 50 families to be homeless at the Moruya North Head Campground. I hear stories each day of people coming into my office, pleading for help. Amy from Nowra is a single mother of seven children. She has exhausted all her emergency housing avenues, and now faces living on the streets because there are simply no three-bedroom houses available. My office has successfully gained her a nine-day emergency housing extension, but what then? All of our fabulous support services, like Salt Care community housing providers and the Homeless Hub, are working around the clock to help. Amy says that all she wants is a roof over their head, something we all deserve, and we are doing everything to help her.

There is the pregnant mother of two from Worrigee who has fled from domestic violence. She's applied for 50 private rentals and says that, because she has been honest about her situation, no-one will rent her a home. We've helped her access the Start Safely program and hope this will help.

Jade from Batehaven is in her late 60s. The owner of the house she called home for a decade asked her to leave so they could renovate. She ended up spending winter in her car, with her dog, because she couldn't find anywhere to live.

Anthony from Bomaderry is a young dad, engaged to his partner, and with two kids. He works full time in a supermarket but was on the cusp of homelessness. I wrote to the New South Wales housing minister and helped him secure private accommodation with a subsidy.

These are the heart-wrenching stories I am hearing every day. We are doing everything to help, but sometimes that is not enough. It's a cliche but it's true: there is no silver bullet for a decade of housing neglect.

In such a beautiful area like ours, there are a lot of people with holiday homes, and often they are empty most of the year. In a desperate bid to free up some housing quickly, the mayor of the Eurobodalla Shire wrote to all their non-resident ratepayers, asking if they would rent their houses out to help ease housing pressures. The mayor told the member for Eden-Monaro and me recently about the fantastic response they received. They have had over 150 interested homeowners. Thirty homes have now re-entered the rental market, which is a great response, but it isn't enough.

I recently met with Peter from Salt Care. He has some fabulous ideas about how we can turn a further 500 vacant homes across the Eurobodalla and the Shoalhaven into social and affordable homes for long-term rental. As part of the Collective Home Project, Salt will pay market rent, manage the maintenance and support the tenants, so that everyone can get what they need. Salt wants to work across all levels of government on this project, including incorporating the Eurobodalla mayor's tiny homes idea. It is absolutely incredible to see innovative ideas coming from our community sector. That's what we need: everyone working together.

This week I will be talking with the minister about that and seeing how we can help, but it's going to take time to address the systemic housing issues. We've started developing a National Housing and Homelessness Plan to guide our response. The government took another step last week, freeing up $575 million from the National Housing Infrastructure Facility, an underutilised program, to invest in social and affordable housing.

We want to support crisis and transitional housing options for women and children fleeing domestic violence. That's why I was proud to commit $1.5 million on the South Coast and Southern Highlands for additional crisis accommodation for women and children fleeing violence. We expect this will help as many as 135 women and children to find refuge and fund 13 workers to support 1,040 women. It's really important funding, and I know it will make a difference. We've got our Housing Australia Future Fund to create 30,000 social and affordable homes, including $30 million specifically allocated for housing and specialist support for veterans at risk or experiencing homelessness. All of this will be informed by the new National Housing Supply and Affordability Council. There is so much more work to be done. Housing is an incredibly complex issue, but we have started, we're working together and we will work hard to find solutions that will work for regional Australia.

Photo of Andrew WilkieAndrew Wilkie (Clark, Independent) Share this | | Hansard source

The time allotted for this debate has expired. The debate is adjourned and the resumption of the debate will be made an order of the day for the next sitting.