Labor’s housing crisis of lies

Advertisement

The Albanese government continues to lie and gaslight its way out of the housing crisis.

Check out the below spin from Labor MP Julian Hill claiming “action on multiple front” is needed “to accelerate supply”:

Advertisement

As usual, there is no acknowledgement from Hill that the primary reason why Australia is suffering from a housing shortage is because Labor deliberately flooded Australia with record numbers of migrants who need housing:

Overseas arrivals and departures

Labor went to the last federal election promising to run a lower immigration policy:

Advertisement
Albo immigration lies 1 Albo immigration lies 2

However, shortly after being elected, Labor convened the Jobs & Skills Summit as a Trojan Horse to ramp immigration to unprecedented levels via:

  1. Increasing the permanent migrant intake by 30,000.
  2. Increasing the humanitarian intake by 7,000.
  3. Spending $42 million to hire 500 additional staff at the Department of Home Affairs to rubber stamp visas and clear the contrived “one million visa backlog”.
  4. Increasing the number of hours that international students can work in Australia to 24 hours a week, from 20 hours pre-pandemic.
  5. Increasing the number of years that international students graduates can work in Australia post-study (revoked this year).
  6. Introducing easier pathways to citizenship for Kiwis.
  7. Increasing permanent visas for low-skilled workers in agriculture and aged care.
  8. Signing two migration pacts with India to make it easier for Indians to study and work in Australia.
Advertisement

The result was record permanent migration:

Record temporary migration:

And overall record net overseas migration:

Advertisement
Australian NOM

In only two calendar years, Australia received just under one million net overseas migrants.

As a result, Australia’s housing shortage climbed back past 200,000 dwellings after nearly being eradicated when migration ceased over the pandemic:

Advertisement

Rental vacancy rates likewise collapsed:

Rental vacancy rates

And rental inflation soared:

Asking rents

So, for Labor to claim that it is a “supply issue” is pure gaslighting.

Advertisement

The Albanese government lit a match under the rental market by contravening its election promises and running an absurdly high immigration program.

Those one million net overseas migrants need to live somewhere!

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.
Advertisement