The Federal Government’s commitment to housing and infrastructure investment has created plenty to contemplate for the built environment, with Treasurer Jim Chalmers indicating that the new Housing Accord aims to build one million new homes over five years from 2024.

The government additionally announced a new tax break for build-to-rent projects, which will see the managed investment trust withholding tax reduced from 30 to 15 percent, which will see a major increase in BTR projects across the country.

Industry estimates show that through increasing the capital works tax deduction rate from 2.5 percent to 4 that an additional 150,000 rental properties could be created within the next decade.

The government also hopes to lend more money to community housing providers through increasing the liability cap of the National Housing Finance and Investment Corporation (NHFIC) by $2 billion. The implementation of the $10 billion Housing Australia Future Fund indicates the government’s desire to increase its output of social and affordable housing.

The creation of the National Net Zero Authority will see the government work closely alongside workers and companies in polluting industries to find new jobs in cleaner, renewable industries, following a $400 million boost to the Powering the Regions funds.

In terms of existing institutions that have been allocated money by the government, $119 million has been afforded to the National Gallery, $76 million for the National Museum of Australia, and $36.5 for the National Archives of Australia.

$240 million of the government’s reserves will be funnelled into the Hobart AFL stadium, with funding for the Macquarie Point precinct being redirected to housing. Still in Tasmania, $65 million has been set aside for the redevelopment of UTAS Launceston stadium, a joint project with the state government similar to the new Hobart facility. Further north, $163.4 million will be utilised to refurbish the Australian Institute of Marine Science in Townsville.

Tourist infrastructure and facilities at an array of national parks will be improved following a $262 million commitment.

For more information on the budget, click here.

Image: https://www.rawsonhomes.com.au/blog-pages/2021/08-aug/cost-of-building-sydney

Jarrod Reedie

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