Labor faces Greens’ $12.7bn homelessness push in hung parliament

Labor would be pressured to spend more than $12bn to plug the gap in accommodation for the homeless under a power-sharing agreement with the Greens.

Max Chandler-Mather during a Greens press conference Picture: NewsWire / Martin Ollman

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Labor would be pressured to spend more than $12bn to plug the gap in accommodation for the homeless under a power-sharing agreement with the Greens, in a move the minor party says is required to solve a problem that has become “a ­national disgrace”.

As part of Adam Bandt’s “Robin Hood tax”, which would seek to impose 40 per cent tax on company profits over $100m, the Greens on Thursday will announce a $5.2n plan to provide 50,000 ongoing supportive tenancies over the next four years.

The policy would also double commonwealth funding to states and territories for homelessness services, at a cost of $7.5bn over the first four years, and ensure that those placed in housing were given support for their physical and mental health and were ­connected with employment ­opportunities.

The model copies a similar policy in Finland known as “Housing First”, which does not require someone who is homeless to first get their lives back on track before being given a supported tenancy.

“The Housing First model … has virtually eliminated chronic homelessness in Finland and is working successfully in Australia in projects like Common Ground,” Greens housing spokesman Max Chandler-­Mather said.

“Instead of requiring people to get their lives together to prove they are worthy of a home, the Greens plan to end homelessness says that everyone deserves a secure place to call home, and provides rough sleepers with permanent housing and the wraparound support services they need to actually stay there long-term.”

While the Greens are yet to formally land on a list of top policy priorities should Labor be forced to work with them in a hung parliament next term, The Australian understands more ambitious housing policy is top of mind for the party.

“In a wealthy country like ours, nobody should be forced to sleep in a park because they don’t have a safer option. But that’s where Labor and the Liberals’ housing crisis has led us,” Mr Chandler-Mather said.

“In a minority parliament, the Greens will keep (Peter) Dutton out and push Labor to fund real action on the homelessness and housing crisis.”

The $12.7bn homelessness package follows Mr Chandler-Mather and Greens Treasury spokesman Nick McKim writing to Jim Chalmers this week urging him to overhaul negative gearing and capital gains tax.

“It’s time for your party to make a choice – do you represent the property investor who owns 100 houses or do you stand with the young teacher or nurse who has given up on owning a home because ­negative gearing and capital gains discounts have stacked the deck in favour of the wealthy?” the letter, seen by The Australian, said.