Greens halve their demands for backing Labor’s $10b housing bill

The standoff over the Albanese government’s $10 billion housing fund is a step closer to being resolved after the Greens halved their demands for supporting the legislation.

Greens leader Adam Bandt and housing spokesman Max Chandler-Mather will on Sunday announce a new set of conditions that would be required for the Greens to support the bill, which will return to the Senate for debate later this month.

The government and the Greens have to date been unable to reach an agreement on the housing package.Credit: Alex Ellinghausen

“The Greens have shifted, and it is time for Labor to do the same,” Bandt said. “If Labor backs a rent freeze and guarantees real money for more housing, the Greens will pass Labor’s bill.”

The Greens originally demanded the government commit to spending $5 billion on social and affordable housing every year and $1.6 billion a year for an incentive scheme for states and territories to implement a two-year rent freeze.

The Greens now say they will support the bill if the government commits $2.5 billion to social and affordable housing per year, and $1 billion for the rent freeze.

It is still a long way from Labor’s position, in which $10 billion is invested in the Future Fund with a maximum of $500 million in annual earnings used for building social and affordable housing.

The housing fund would build 10,000 affordable homes and 20,000 social homes over five years.

The Albanese government unsuccessfully attempted to pass the housing bill in March, and was blocked from bringing on another vote by the Greens and the Coalition in May.

Labor hasn’t committed to seeking a countrywide rent freeze and some states have ruled it out, but Prime Minister Anthony Albanese and state and territory leaders have agreed to harmonise protections for renters across the nation including with rental caps.

Chandler-Mather said the Greens were ready to negotiate and had already halved its initial demand.

“But our message remains crystal clear: Labor is leaving renters behind. Renters need action now, not after the next election, and we need real cash on the table for public housing,” he said.

“If Labor can spend over $30 billion a year on stage three tax cuts for the wealthy, they can find $3.5 billion a year to fund a rent freeze and more public and affordable housing.

“From day one we have sought to reach a compromise with Labor to pass a bill that will actually start to tackle the scale of the housing crisis, yet Labor has yet to offer a single extra dollar of ongoing funding for public housing, or take action to progress a freeze on rent increases.”

Federal Housing Minister Julie Collins said the government had continued to add to its commitments during the negotiation with crossbench senators.

She said the bill can’t be delayed any longer and senators who want to see more social and affordable homes “need to stop the delays and pass the bill”.

“We have addressed every single concern raised jointly by the Senate crossbench,” she said.

“We will continue to work constructively across the parliament because we know how critical it is that the $10 billion Housing Australia Future Fund is passed,” Collins said.

“Australia desperately needs the 30,000 new social and affordable rental homes the fund will deliver in its first five years.”

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