A Coalition government plans to limit Net Overseas Migration (NOM) to the number of new homes completed each year. Liberal leader Angus Taylor will outline this measure in his budget reply on Thursday, building on the opposition’s initial migration policy that emphasizes alignment with Australian values through enforceable statements for migrants.
Migration-Housing Link
The policy responds to demands for clearer migration targets. Each year, the housing minister will report to parliament on completed homes, establishing the cap for NOM in the following year. This approach links migration directly to housing supply, though critics may argue it lacks precision or imposes undue restrictions.
Addressing Housing Shortages
Taylor highlights how migration under the current Labor government outpaces infrastructure. “Migration has run miles ahead of housing and that puts pressure on rents, house prices and on every young Australian trying to get ahead,” he states. “This is about mass migration running ahead of the homes, roads, hospitals, schools and services Australia can provide.”
Since the Albanese government took office, Australia’s population has increased by 1.8 million, including 1.4 million migrants. However, new homes accommodate only 1.4 million people, creating a shortfall of around 400,000 dwellings.
Key Policy Components
Taylor’s announcement includes several initiatives:
- A $5 billion Housing Infrastructure Fund to enable up to 400,000 new homes by funding utilities, roads, and related infrastructure.
- Reforms to the National Construction Code to reduce new home costs by up to $70,000 per dwelling.
- Elimination of Labor programs such as the Housing Australia Future Fund, Help to Buy, Build to Rent tax incentives, and the New Homes Bonus, generating billions in savings.
The opposition also pledges tighter controls on temporary migration, including international students, and a shift toward higher-quality skilled migration.
Construction Code Overhaul
The National Construction Code has expanded from 209 pages in the 1980s to about 2,350 pages today. The Coalition prioritizes reversing 2022 updates, including 7-star energy efficiency and accessibility requirements. “Unwinding these changes alone is estimated to save around $70,000 on the cost of a new home,” the opposition notes. This could boost supply by 120,000 homes over the next decade.
“Australians who want to build to higher environmental or accessibility standards should be free to do so,” the policy adds. “But governments should not be forcing every young family to pay tens of thousands of dollars more before they can get a foot in the door.”
