Swings against Labor in growth suburbs are a wake-up call

Big swings against Labor in its heartland growth suburbs need to serve as a wake-up call, a key infrastructure body warns.

Labor went backwards in many of its traditional heartland suburbs. Picture: Ian Currie

Big swings against the Andrews government in outer suburban areas are a wake-up call to ensure infrastructure keeps up with rapidly growing communities, a leading industry body says.

Labor held on to its traditional stronghold seats in Melbourne’s growth areas but suffered significant reversals in Greenvale (15 per cent swing), Sunbury (8.2 per cent), Tarneit (5.5 per cent) and Yan Yean (11.5 per cent).

It is also at risk of losing Pakenham, in the outer southeast, which recorded a 2.4 per cent swing against the government.

Congestion is a key gripe for votes in growth suburbs. Picture: David Caird

Urban Development Institute of Australia executive director Matthew Kandelaars said the results in Melbourne’s north and west showed locals were making it clear they are not happy to be left behind.

Mr Kandelaars said the growth areas infrastructure fund set up in 2010 had landowners paying contributions of about $110,000 per ha, with the fund to be used to pay for services such as new train stations, bus lines and land for schools and community centres.

“Despite these contributions, more than $350m remains unallocated,” he said.

“The development industry is already contributing $6.5bn annually through direct infrastructure contributions at various tiers of government, but the state and councils need to ensure that works are delivered much earlier.”

The UDIA wants a review of the infrastructure fund to ensure projects are prioritised and delivered efficiently.

The call comes as greenfields data firm Research4 reveals the median land price on Melbourne’s fringe has jumped to $390,00.

Access to health services is another key voter gripe.

In Geelong’s growth areas it now stands at $407,000.

Mr Kandelaars said the market was faced with two big challenges — falling demand due to rising interest rates, and constrained production capacity amid high cost of labour and materials.

“We are not focused on land supply holistically,” he said.

“What we’re seeing is that population growth is returning to Victoria, and ultimately you can get people on a plane or on a train into the state far quicker than you can release land or build homes.

“If we take the foot off the accelerator when it comes to appropriate and adequate land supply, prices will skyrocket again in coming years, and we’re going to be at absolute crisis point yet again wondering why we didn’t act sooner.”

Mr Kandelaars said medium to high density development along middle suburban transport corridors was good planning policy, but political decision makers across all levels of governments and parties were “allergic” to density.