Federal government abolishes National Housing Supply Council
The abolishment of the National Housing Supply Council will affect crucial data used to formulate housing policies, says Real Estate Institute of Australia Peter Bushby.
The National Housing Supply Council was established in 2008 to monitor housing demand, supply and affordability in Australia and to identify gaps between housing supply and demand.
Bushby says the availability of affordable housing data will impact the functioning of the economy as well as the wellbeing of individuals and the cohesiveness of communities and society.
“With housing affordability recognised as a policy priority, it is imperative that the information contained in the Council’s State of Supply Report continues to be available.
“The document provided valuable information, not only to Government policy makers but also to industry,” says Bushby.
An undersupply of stock is what contributes to house price increases.
The REIA has called on the federal government to development a coordinated and strategic approach to the provision of housing and that complementary policies are in place.
Bushby says the data provided by the council is crucial in formulating appropriate policies and to monitor their effectiveness.
The Urban Development Industry has also criticised the government’s decision on abolishing the council.
“The NHSC provides essential data and research to government and industry on housing supply, demand and affordability,” says UDIA national president Julie Katz.
“It provides information that is absolutely crucial to informing the Government’s approach to addressing Australia’s ongoing housing supply crisis.
“The NHSC’s annual State of Supply report was the first publication to comprehensively outline and quantify the extent of Australia’s housing supply problem, and remains one of the best bodies of research available for informing housing supply and affordability policy.
“Prior to the establishment of the NHSC there was a severe lack of data and research on housing supply and affordability issues in Australia, and the information it has provided since has proven extremely valuable to policy makers at all levels of government, as well as community and industry groups,” says Katz.
Where as the Housing Industry of Australia says the decision to abolish the coucil provides an opportunity to take a fresh look at Australia's housing supply challenge.
“Reporting on the supply of housing in Australia, identifying the extent of housing undersupply and making recommendations to address Australia’s housing supply needs are essential tasks,” says HIA chief executive industry policy and media Graham Wolfe.
"Actual and projected housing supply is vital to all levels of government to inform their planning decisions for future service delivery for the community, infrastructure investment and addressing housing shortfalls.
“What the current state of supply is, what will be needed in the future, where it will be located, what household formation will look like and what type of housing is needed - these are all important questions that need answers,” says Wolfe.
Wolfe says in its earlier day, the National Housing Supply Council validated Australia's housing under supply problems and identified supply side impediments that inhibited the delivery of new homes, but in recent times has shifted away from its core housing supply role.
"Today’s announcement should provide the catalyst to once again focus on housing supply outcomes and we look forward to working with government and Treasury in these endeavours," says Wolfe.