Why does britain owe iran 400 million

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Water companies ordered to lower their bills

Victoria is growing faster than any other state in the country.

There’s expected to be more than 10 million people here in 2051, but there aren’t enough homes being built for them to live in.

The cost of renting or buying a house is the highest it’s been in decades so the state government has released a plan it says will boost housing supply and push prices down.

The plan announced on Wednesday sets out some big ideas to tackle the state’s problem-riddled housing industry — and not all of them are popular across the board.

Reactions to the overhaul have ranged from charity Anglicare welcoming it as a “historic” move that would serve as an important step forward when many are being “pushed out of the bottom of the housing market”, to harsh criticism from groups including the state’s opposition.

Opposition leader John Pesutto described the changes as a “shameless con” and warned it failed to address the fundamental causes of the state’s housing crisis.

Some of the measures that will be taken include a plan to build 800,000 new homes in Victoria over the next 10 years, with reforms to processes for approvals.

A 7.5 per cent tax will be applied to short-stay accommodation, a new dispute resolution body will be set up and the state’s public housing blocks will be rebuilt.

So what exactly might the raft of changes mean for you?

An industry crisis centred on a supply shortfall

Housing remains a hot topic, surrounded by enormous debate on how to make it more affordable.

Largely, discussions have centred around a lack of housing supply .

The demand for housing including rental properties is surging , yet the rate of building approvals and commencements is slumping .

Housing affordability in Victoria is at its lowest in 30 years with interest rate hikes and booming prices making it increasingly harder for Aussies to service a mortgage.

Vacancy rates for rentals are also at a record low and the price to rent is rising at its fastest rate in 15 years.

The collapse of construction companies across the country, caught out by rising prices when they had written fixed price contracts, and a shortage of tradies is also playing a part in slowing down new builds.

Recent natural disasters have also had an impact with local governments now dealing with a range of emergency services to determine whether houses are resilient to fire and flood.

A fresh start for public housing — with a long-term view

The government plans to knock down and rebuild all of Victoria’s 44 public high-rise towers by 2051, with the first five to be replaced by 2031.

“Our 44 high rise towers are old, they are out of date, they are crumbling, they need to go,” Premier Daniel Andrews said.

The towers in Flemington, North Melbourne and Carlton will be the first to go.

The rebuild is expected to triple the number of residents that can live in the state’s public housing towers, from 10,000 to 30,000 by 2051.

The Victorian Council of Social Service (VCOSS) said more social housing is an “unequivocally good thing for Victoria” but there needs to be “genuine ongoing engagement with tower tenants”.

“This process should ensure tenants feel supported, empowered and respected, and given much clarity and certainty as possible,” it said.

But the lack of detail has some worried.

While several public housing groups welcomed the announcement, questions remain about how many units will be social housing and how many will be affordable housing.

Social housing refers to both public and community housing, which is run by or in conjunction with the state government, whereas affordable housing is a broader term that refers to housing suitable for low-to-moderate income households.

The Greens have said there are some “red flags” about privatisation and outsourcing of public housing.

“Labor needs to guarantee this will remain public housing and won’t involve the sale or leasing of the land to a private entity,” spokesperson Max Chandler-Mather said.

The Victorian Public Tenants Association echoed those concerns.

“We urge government to be transparent as to who will ultimately be the manager of these properties, in order for this announcement to be as positive as it seems on the surface,” its CEO Katelyn Butterss said.

“Ensuring these new high rises are public-owned and publicly-managed is absolutely imperative.”

An ambitious goal to build 80,000 new homes a year

Victoria is the fastest-growing state in the country and Melbourne is set to become Australia’s biggest city by the end of the decade.

To ensure the housing problem doesn’t get worse, the government said 1.6 million homes need to be built by 2051.

But to actually ease the pressure, the government said it needs to build 2.24 million by 2051, which equates to about around 80,000 new homes a year.

It’s an ambitious target but the government has promised to do exactly that — build 80,000 homes a year, for the next decade.

To reach this target, the government will transform office buildings in the CBD that aren’t being used into thousands of affordable apartments.

The plan also identifies 10 areas across Melbourne where a target of 60,000 new homes has been set.

These priority areas include Broadmeadows, Epping, Niddrie, North Essendon and Preston in the city’s north, Ringwood and Camberwell Junction in the east and Frankston, Moorabbin and Chadstone in the south-east.

The plan says “clear planning controls” will be introduced to get those homes built but what that will look like remains unclear.

About 45 sites described as “surplus government land” will be sold and developed, which it’s estimated will make room for 9,000 homes.

These sites have not yet been listed but the government said the developments would include at last 10 per cent affordable housing.

A promise to make planning approvals easier

Power will be taken away from local councils and given to the planning minister to fast-track some housing developments.

The premier said there was a backlog of 1,400 planning decisions “sitting on people’s desks”.

“This is not about blame, this is not about having a go at anybody, that’s just an unacceptable backlog and we all need to work together to make sure we clear that backlog,” Mr Andrews said.

“It’s not acceptable for applications to be lagging, gathering dust for years. We need to get on and turn those applications into houses.”

Under the changes, decisions on larger developments that include at least 10 per cent affordable housing will be delivered within four months.

And you’ll no longer need a planning permit to build single story houses and no permits will be required for granny flats if they are less than 60 square metres.

Renters to access ‘portable bond’ and a new dispute resolution service

The government won’t introduce rent freezes or caps as part of the changes, instead, there will be more restrictions on landlords hiking rent.

There will also be what’s called a “portable bond”, meaning you’d be able to transfer your existing bond to a new lease if you move so you don’t have to fork out twice.

And a new dispute resolution service which aims to provide early intervention for common rental problems such as repairs and bonds to minimise escalation to VCAT.

“VCAT should be the last resort not the first,” Mr Andrews said.

There will also be changes to notices for rent increases and the end of a tenancy.

Tenants Victoria said the statement acknowledged that renters are a growing sector and that “their rights need to be strengthened, regularly reviewed and enforced”.

“The rental housing crisis simply won’t disappear overnight, but the combination of these new measures will help address the pain points renters tell us they are facing,” director of community engagement, Farah Farouque, said.

A nation-first tax on short-stay accommodation

The government will introduce what it has called a “modest” 7.5 per cent tax on short-stay accommodation platforms such as Airbnb and Stayz from 2025.

Mr Andrews said income from the levy would go towards Homes Victoria, to fund the construction of social and affordable housing.

The statewide levy on short-stay accommodation is the first in Australia, opening the possibility of other states following suit.

The premier said the single levy would mean the sector would not have to deal with different fees charged by local councils which may differ from area to area.

“We think it’s only fair that those platforms, whether it’s Stayz or AirBnB, have one framework to comply with, not one for every local government area across the state,” he said.

But the tourism industry have criticised the move, saying it “goes too far”.

“If people have to absorb a 7.5 per cent tax, they’ll reconsider how long they’re staying,” Felicia Mariani from Tourism Victoria said.

Some new housing stock will be built in the regions

The housing overhaul is largely focused on Melbourne, but the government is also promising to build more than 400,000 new homes across regional Victoria by 2051.

The $1 billion Regional Housing Fund, which was already announced in July, has set a target of building 1,300 new homes across the regions in a mix of social and affordable housing.

The government has pledged to streamline the approvals process for regional developments worth more than $15 million if they include 10 per cent affordable housing.

It’s also promising that 25 per cent of the short-stay accommodation tax will be invested in regional Victoria.

A Regional Worker Accommodation Fund to provide new housing options for key workers struggling to find a place to live has also been allocated $150 million.

“We will continue to use all our powers to ensure the sector delivers better value.”

Ofwat said is investigating all 11 water and wastewater companies with live enforcement cases for six companies for potential failures on sewage discharges into the environment.

They are also investigating Dwr Cymru and South West Water in relation to the accuracy of leakage reporting and per capita consumption.

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