The national cabinet has agreed to a new target of 1.2 million new homes over five years, with a 'new home bonus' of up to $3 billion for states and territories that exceed the previous target of one million homes. Prime Minister Anthony Albanese announced the incentive on Wednesday, offering $15,000 per home delivered above the old target from July 2024.
The federal government will also provide $500 million in competitive funding for local and state governments to support new housing supply by connecting essential services and amenities, or building planning capability. Albanese stressed that 'supply is the key to putting downward pressure on rent and assisting renters'.
National cabinet agreed to uniform national standards on renters' rights, limiting rent increases to once a year and requiring 'genuine reasonable grounds for eviction' for mid-lease terminations. These measures will improve rights in Western Australia and the Northern Territory, but the Greens have warned they do nothing to prevent 'unlimited rent increases'.
The ongoing dispute over rent caps means Labor's $10 billion Housing Australia Future Fund, which would provide at least $500 million annually for social and affordable housing, remains unpassed in the Senate. Albanese called on the Greens, Coalition, and One Nation to support the fund, noting that 'no jurisdiction' believed a rental freeze would make a positive difference.
National cabinet also agreed to a planning reform blueprint promoting medium and high-density housing near public transport and streamlining approvals. The next meeting on health reform is scheduled for November.
