Labor says Greens blocking housing will be a ‘betrayal’

The battle between the Albanese government and the Greens over a $10 billion housing fund will resume in the Senate this week, with Labor drawing a red line through the demand for a rent freeze and warning that blocking the bill would be a “betrayal of Australians”.

The government is seeking to pass legislation to establish the Housing Australia Future Fund with returns from earnings from a $10 billion investment to be used to build social and affordable housing.

Housing Minister Julie Collins has warned the Greens not to betray Australians who need affordable housing.Credit: Alex Ellinghausen

It has been in a stand-off with the Greens who have demanded Labor commit to $2.5 billion on social and affordable housing per year, and $1 billion for a rent freeze in return for its support of the housing bill.

The Greens last week halved their demands in dollar terms, but it is still a long way from Labor’s position, in which a maximum of $500 million in annual earnings would be used to build 30,000 homes.

The government has ruled out moving on the demand for a rent freeze, which would have to be enacted by states and territories, and it hasn’t met the Greens’ demand of an additional $3.5 billion a year for social and affordable housing.

The government has given ground to the Greens in negotiations in recent days ahead of listing the housing bill as the first matter for debate in the Senate this week.

And it will highlight budget figures on Sunday showing it will spend more than $8 billion on housing and homelessness in 2023-24 in an attempt to hit back at the Greens who have demanded Labor significantly increase its spending on social housing.

Housing Minister Julie Collins said opposing the construction of 30,000 new homes would be a “betrayal of Australians who need a safe and affordable place to call home”.

“This week senators from the Coalition and the Greens will have another chance to support more homes for Australians who desperately need them,” she said.

“If senators genuinely support more housing for these Australians they will vote for the Housing Australia Future Fund.”

Collins said last month’s federal budget included more than $8 billion for housing and homelessness including more than $5.5 billion for Commonwealth Rent Assistance and $1.7 billion for the National Housing and Homelessness Agreement.

“This includes the biggest increase to Commonwealth Rent Assistance in more than thirty years,” she said.

In addition to this year’s funding, the National Housing Accord, which begins in 2024, will deliver $350 million to build 10,000 more affordable rental homes across Australia.

The Greens party room will meet on Tuesday in Canberra, where their position on the housing bill will be discussed.

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.

The party’s housing spokesman Max Chandler-Mather said the Greens wanted to negotiate, but Labor was refusing to shift on the two key demands that his party wanted of immediate guaranteed additional money for public housing and a rent freeze.

“We’re in a rental and housing crisis right now and a proposal that won’t spend money for over 12 months, does nothing for renters, and won’t build a single home until after the next election isn’t a housing plan, it’s a disaster,” he said.

“Labor needs to shift this week or risk its bill remaining stuck.”

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