Coalition pursues wrong kind of housing stimulus

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Housing Minister Michael Sukkar told a conference that housing policy will be a key component of the federal government’s 2020 Budget on 6 October. Amongst other things, extending the First Home Loan Deposit Scheme and changes to the National Housing Infrastructure Facility are believed to be under consideration.

However, Sukkar has reportedly ruled out funding for social housing projects on the grounds that it is a state responsibility:

The Commonwealth’s decision against funding social housing will upset welfare groups, the unions and Labor, which have called for such a national initiative to both restore the economy and create a critical supply of housing for the needy.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.