Labor’s pivotal housing legislation is set to become law following a negotiated agreement with the Green Party. The deal does not include the rent freeze and caps on rent increases that the Greens had previously insisted upon.
Months of discussions regarding the Housing Australia Future Fund (HAFF) have concluded with Labor agreeing to allocate an additional $1 billion towards public and community housing this year.
The Greens had initially opposed the $10 billion HAFF, contending that it did not address renters’ concerns and fell short of alleviating Australia’s housing shortage.
However, the Green Party has confirmed its acceptance of Labor’s latest proposal, ending a sometimes acrimonious political standoff.
This agreement does not incorporate freezes or limits on rent increases. Max Chandler-Mather, the Greens’ housing spokesman, acknowledged that the HAFF alone would not completely resolve Australia’s housing crisis.
Chandler-Mather stated that Labor had declined to collaborate on a national freeze on rent increases, while Labor argued that it lacked the authority to implement such measures. He asserted that the Greens would continue their efforts to impose rent caps and freezes.
The development on Monday ensures that the bill, a significant election commitment, will pass both houses of parliament. Labor had already secured sufficient support from other crossbenchers.
Prime Minister Anthony Albanese expressed his satisfaction with this development during Question Time on Monday. He acknowledged the constructive discussions with the leader of the Greens and considered this the last of the commitments made in budget replies to be legislated.
In June, Labor announced the one-off housing accelerator, immediately allocating $2 billion for social and affordable housing. Labor denied any connection between this announcement and the HAFF negotiations.
Green Party leader Adam Bandt credited his party’s resolute stance for compelling the government to offer more funding, stating that they had secured an additional $3 billion compared to the initial offer.
National Shelter’s chief executive, Emma Greenhalgh, emphasized the importance of the crossbench’s role in bolstering the government’s housing plans during this crisis. She emphasized the need to develop a coordinated National Housing and Homelessness Plan to address the housing crisis effectively.
Kate Colvin, the CEO of Homelessness Australia, welcomed the additional homes and their potential to make a significant difference.
Furthermore, the imminent passage of the bill eliminates the possibility of a double dissolution election over housing. To trigger a double dissolution election, the government must have one of its bills rejected twice by the Upper House, with a three-month interval between rejections. Albanese argued that the Greens’ delay in voting on the HAFF in June constituted the first rejection, and a second rejection in October would have provided him with a double dissolution trigger.