Government creates housing super portfolio to tackle supply crisis

The Federal Government has consolidated all key housing policy functions under a single ministerial portfolio in a move welcomed by the building industry as a critical step towards addressing Australia’s housing shortage.

The Housing Industry Association (HIA) praised the decision to bring housing, infrastructure, planning, industry policy and building codes under Treasury’s oversight.

“This is a significant and long overdue step forward to deliver a nationally coordinated approach to housing,” Jocelyn Martin, HIA Managing Director, said.

The administrative reorganisation, announced as part of Prime Minister Albanese’s cabinet reshuffle, relocates housing responsibilities previously spread across multiple departments.

Housing, rental and homelessness policy will transfer from Social Services, while land and planning policy moves from Infrastructure, and construction industry regulation from Industry, Science and Resources.

Ms Martin said the consolidated portfolio would help streamline housing delivery processes.

“It’s HIA’s strong belief this action will help cut red tape, lift productivity and ultimately improve housing outcomes for Australians by removing the current siloed and disjointed approach to addressing the major impediments to greater housing supply,” she said.

The reorganisation also relocates the Australian Building Codes Board (ABCB) to Treasury, placing it alongside other key national housing policy instruments.

“This reform enables government to take a genuinely integrated view across planning, financing, infrastructure and building regulation,” Ms Martin said.

With Australia facing significant housing supply challenges, the HIA stressed the urgency of implementing productivity improvements.

“With one million homes needing to be delivered in the next five years, we don’t have time to waste. Creating the correct policy machinery is the first step and HIA also calls for housing productivity to be a first-order priority for the strengthened housing super portfolio,” she said.

The industry body urged the government to act on the Productivity Commission’s recent recommendations to boost housing supply.

“We urge the government to act swiftly on the recommendations of the Productivity Commission’s ‘Can we fix it?’ report. It provides a clear roadmap to boost productivity and reduce delays in the delivery of new homes,” Ms Martin said.

The HIA indicated it looks forward to working with Treasury and the ministerial team to address Australia’s housing shortages.