Victorian Treasurer Tim Pallas warns Melburnians to expect higher inner-city housing density

Melburnians have been warned they’ll have to squeeze in more people amid rapid population growth. And these are the suburbs that’ll be hit the hardest.

Melburnians in established suburbs have been warned to expect more densified housing to absorb rapid population growth.

In a strong defence of high growth, Victorian Treasurer Tim Pallas said the annual immigration cap of 190,000 should stay as he hinted the federal government was “dog whistling” over race and population issues.

Mr Pallas said a recent population conference called by federal Treasurer Josh Frydenberg was unsatisfactory.

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“I want to know where this is going,” he told a recent Urban Development Institute of Australia event. “If essentially it’s about winding back our population, let me tell you that is a formula for economic calamity.”

State policy is for 70 per cent of Melbourne’s population growth to be housed in the CBD and in inner and middle-ring suburbs.

The migrant intake came in at about 160,000 last year, and the Morrison Government has hinted it may fall even further this year. Recent opinion polls consistently show that a majority of Australians want ­migration cuts amid growing concern over urban congestion and stretched services.

But Mr Pallas said it was perverse “that a nation of ­immigrants has become so ­intolerant to the concept of ­immigration”.

The Treasurer said that population growth was good for the economy and jobs, but it was not fair to push most of the growth on to the urban fringe where people were now feeling the pressure.

State policy was for 70 per cent of the growth to be housed in the CBD and in inner and middle-ring suburbs.

Victorian Treasurer Tim Pallas says it is not fair to push most of the growth on to the urban fringe where people were now feeling the pressure. Picture: AAP Image

“It’s clearly an indication there will have to be a greater level of urban intensification of development ... recognising we should utilise those areas that have access to high-capacity public transport alignments,” he said.

UDIA Victoria chief executive Danni Hunter said that more accurate population forecasting was needed to ensure governments could properly plan.

“If we know how many people are coming and where they want to go, the government can invest in the vital infrastructure early,” she said.

“Early infrastructure is so important to our growing and evolving communities — it makes or breaks a suburb.”

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