$1 Billion to support housing growth
The NSW Government’s Environmental Planning and Assessment (Housing and Productivity) Contributions Bill has today passed the NSW Legislative Assembly.
The Bill is one step closer to delivering $1 billion worth of support to housing growth across the state, despite hypocritical opposition from the Liberal, National Parties.
The Bill’s passage in the Legislative Council would secure $1 billion over the forward estimates, and up to $700 million per year beyond that to support investment in vital community infrastructure such as roads, hospitals, parks, and schools.
Minister for Planning and Public Spaces Paul Scully said the Government’s Bill will go a long way to address housing shortages across NSW.
“The former Government left us with the biggest housing crisis this state has ever seen, so we’re taking action to get new home builds moving with funds for community infrastructure.
“This legislation will lock in infrastructure contributions of up to $700 million each year, helping to create great places around new housing.
“Our Bill creates a genuine measure to support housing supply and connect growing communities with their infrastructure needs.
“It includes a $1 billion over 10 years for grants to local councils for regionally significant facilities like sporting complexes and open spaces “.
The Bill passed the Lower House prevailing against resistance from the Liberal and National Parties’ the legislation, despite the Opposition taking a similar plan to the last election.
“After 12 years of inaction on housing and effectively creating our current housing crisis, the Liberals have voted against this vital Bill”, said Minister Scully.
“They voted against it despite taking a very similar plan to the election only ten weeks ago”.
“Just like their previous plan, our Bill is based Productivity Commission recommendations, has the same contribution rates and covers the same regions and yet they voted against it.”
“This funding will go a deliver community infrastructure so desperately needed by growing communities.
This also demonstrates the NSW Opposition’s economic recklessness after leaving our government the biggest debt in NSW history.
After 12 years, the former Liberal-National Government left a financial position where debt would have soared to $187.5 billion by 2026. Our State needs this Bill to fund vital infrastructure without more debt.
The new Bill replaces the ad-hoc Special Infrastructure Contribution system with a new broad-based charge, called the Housing and Productivity Contribution. The new scheme will not affect the local infrastructure contributions currently paid to councils.
It is intended that the new system will come into effect from 1 October 2023.
The Minister thanked Members of Parliament who supported the Bill.
“I want to acknowledge the contributions of Members who, unlike the Opposition, supported reforms to better connect housing, jobs and supporting infrastructure”, said Minister Scully.
“For example, the Members for Wollondilly and Wakehurst identified critical infrastructure needs in their electorates. These are exactly the types of infrastructure that the revenue generated through these contributions can fund. I thank them for understanding so well that this new fund is the best hope for their communities and the needs of greater Sydney.”
More information can be found on Department of Planning and Environment's.