NSW government urges support to end housing crisis

NSW Treasurer Daniel Mookhey sees a way out of the state’s housing crisis, but his solution relies on a little help from his friends.

NSW will need to build more houses to deal with the crisis. Picture: NewsWire

The NSW Treasurer has used his first major speech since the Australian federal election to call for help to tackle the “punishing” housing market.

Ahead of the June 24 NSW budget, Daniel Mookhey used his speech at the McKell Institute to address the state’s housing concern and how his government could “eagerly” work with the federal government to get more people into a home.

NSW will need to build more houses to deal with the crisis. Picture: NewsWire

“We will use the next budget to take the next steps forward in building the homes we need to make sure we can house the people we cannot do without to keep our economy humming,” he said.

Mr Mookhey welcomed the re-election of federal Labor Prime Minister Anthony Albanese and said his Help to Buy housing scheme would open new paths to home ownership for working families.

Under the scheme, the federal government will spend $6.3bn to help 40,000 low to middle income households buy a property by going guarantor for up to 18 per cent of buyers’ home loans.

Mr Mookhey flagged the high price of rent, saying the stress is not sustainable for individuals, families and the broader economy.

“Housing is shelter, it is security. It is where people make a home and a life. It is where people find connection. It also makes a big difference to economic mobility,” he said.

“The home you live in determines the job you can reach, the school your child attends, and the support network around you.

“But right now, housing insecurity is acting as a drag on productivity and a barrier to belonging.”

The NSW government applauded the federal government’s Help to Buy scheme. Picture: NewsWire / Andrew Henshaw

He said part of the solution was delivering zoning reforms so more houses could be built near existing infrastructure projects.

“We’re continuing that push through our low and mid-rise housing policy – and we are standing firm against efforts by councils and others to delay or dilute supply where demand is strong,” Mr Mookhey said.

“We are tackling this from every angle: the largest investment in social housing since World War II, stronger protections for renters, record increases to homelessness services.”

Mr Mookhey called on the federal Albanese government to use its landslide victory to help fund major infrastructure projects in order to boost NSW productivity while ultimately saving in the long term.

“Construction costs are rising, planning delays are slowing delivery, and the construction workers we need to literally build our brighter future are increasingly scarce,” Mr Mookhey said.

“Which means … the time to build is now. To boost investment, we need to get projects built faster.”

According to Mr Mookhey, businesses are delaying investing in NSW because of major project delays, which are stopping more private sector investment from unlocking the “next great era of Australian economic growth”.

“Getting major projects – the projects that drive productivity – getting them done in NSW is taking too long,” Mr Mookhey said.

“The task begs us all to support investment in infrastructure and technology so our workers have the very best tools of trade (and) to encourage regulatory experimentation to boost efficiency and innovation so we have a smart state instead of a slow state.”

Originally published as NSW government urges support to end housing crisis