2 May 2024

Interview with Greg Jennett, Afternoon Briefing, ABC

Note

Subjects: Help to Buy, Housing Australia Future Fund

GREG JENNETT:

The Queensland Government has introduced enabling legislation to what is a single chamber parliament there in Brisbane, introducing the shared equity Help to Buy Scheme. Presumably it does pass because they have the numbers there. But what will that actually enable on Help to Buy?

JULIE COLLINS:

Well, this is, of course, our , which is the shared equity scheme. We want to introduce it right across the country. In Queensland, of course, the Queensland Government have been working with us, as have some of the other state governments, to get this done. The Queensland Government are moving today to introduce the legislation. What that means is that Help to Buy, once it passes the federal parliament will be able to operate in Queensland. We need it to operate right across the country. That is the way that we want it to work. So, we will need each state to do their legislation. What we want to do, of course, is add to what we've already been doing with our Home Guarantee Scheme, where we've already helped now over 110,000 Australians into home ownership sooner than they would otherwise. The shared equity scheme is for people to get into home ownership sooner than they otherwise would and specifically targeted at people that otherwise wouldn't get into home ownership. So, the income thresholds are really targeted, the purchase caps are really targeted, and this is about supporting 40,000 Australians into home ownership who otherwise wouldn't be able to get into it. So, it's tightly targeted, but it will support those Australians that need it most.

JENNETT:

All right, I'll come back to where you're up to in the federal parliament or specifically with the Senate. But just looking across the nation, how many other states or territories are in a similar position to Queensland, having introduced, or at least even prepared their enabling laws?

COLLINS:

Well, Queensland, of course, is the first state to do it, but all of the states agreed at the National Cabinet with the Prime Minister last August that they would all do this and they would have it operating in every state. So, this is a great step forward and it's terrific that Queensland has introduced this legislation. We want this scheme up and operating in Queensland, as I said, and right across the country. What we know is it will support additional Australians into home ownership that otherwise wouldn't be able to get into home ownership or help people into home ownership sooner.

JENNETT:

And, Julie, can you just clarify the intended or targeted start date for the government? Is it still meant to be, are you aiming for it to be the 1 July? If so, you'd have to put it to the test in the Senate, wouldn't you?

COLLINS:

Yeah. Well, we obviously want this program up and running as quickly as we can. We'll be talking to senators, particularly Liberal senators. They can't just say that they support home ownership and then go and vote against it or not consider such an important program, because this is what this program actually does. It is targeted at Australians into home ownership. We're talking about 40,000 Australians that will be going into home ownership that wouldn't otherwise be able to because of this program. So, the Liberal senators need to be supporting it, as should the National senators and the Green senators when it comes before the Senate. We want it dealt with as quickly as we can. But what I would say to those senators is they should be supporting this legislation.

JENNETT:

Well, we were speaking to one in Andrew Bragg only yesterday and he continued to sound deeply sceptical and that could be an understatement. Can I also ask you, Minister, about eligibility? You will have seen widely reported the ever increasing median house prices in our big cities. Those figures were updated only in the last week. Will you raise or review the house price caps for property eligibility under the scheme in light of this ever ratcheting median house price?

COLLINS:

Well, we've currently got the programs details that includes property price caps out for consultation. What we want to do is make sure that we set it in a way that doesn't add to house prices and is targeted for people on the income levels that we're trying to assist into home ownership. Because, as I've said, this program is specifically targeted at low‑ and middle‑ income Australians deliberately. And it's targeted in numbers deliberately, and it's targeted with purchase caps deliberately so that we don't add to the cost of house prices with the program, but that we actually assist around 40,000 Australians into home ownership with the program. That's what it's designed to do and that's why it's so tightly targeted.

JENNETT:

Can I ask you, in the context of the ongoing national attention to the scourge of domestic violence, you allocated under the Housing Australia Future Fund, a quota or a proportion of $100 million for homes specifically for women fleeing violent situations? Would you, or are you open to allocating a similar portion under Help to Buy, roughly 10,000 homes a year?

COLLINS:

Well, we obviously want to support, as I said, those Australians that wouldn't otherwise get into home ownership through the program. That's what it's designed to do, or to bring home ownership forward for people that will include women, like our Home Guarantee Scheme does, particularly women who have fallen out of home ownership due to difficult circumstances. So, I would expect that we will see a large proportion of women, particularly single women, with children, taking up this program because of the way that it designed.

JENNETT:

But no portion actually reserved or allocated for them?

COLLINS:

Not at this point but we expect that many women will be taking it up because of the way that the program is designed. What we found with our Home Guarantee Scheme is that a large proportion of women have taken up that scheme because what it does is helping people into home ownership who would be otherwise locked out or bringing forward home ownership. And we expect this program will do the same. With the Housing Australia Future Fund, not only have we allocated just the $100 million in terms of the emergency and transitional accommodation, but we've also said that over 30,000 new homes, 4,000 of them will be for women and children fleeing family and domestic violence and older women at risk of homelessness. So, we are targeting the programs around people that need it most. And again, that's what the Help to Buy Scheme will do.

JENNETT:

And can you update us since we are talking about the Housing Australia Future Fund? Several months have passed since it was created by the parliament. Where would you be up to in planning the delivery of any homes, but particularly those, since we're talking about domestic violence for women escaping those circumstances?

COLLINS:

Well, unfortunately, as you would know, Greg, this got delayed by the Greens and the Liberals in the Senate coming together and delaying this legislation. We finally got it through in October. We established the Housing Australia Future Fund in November and in January we went out for tenders for the first round. Those tenders have just recently closed. I think the Prime Minister has said that we have had a huge response to those tenders. What we have now is Housing Australia going through an independent process with those tenders to allocate the first round of funding for homes. So, you know, I look forward to being able to make some announcements in coming months around those tenders. But what I would say is we're working as quickly as we can to get homes on the ground as quickly as we can. And when I talk to the states and territories, when I talk to community housing providers, they all reiterate to me how important the Housing Australia Future Fund is for housing going forward in this country, particularly social and affordable housing. And so I would say to those that were sceptical, you shouldn't have delayed it. You shouldn't delay this bill either. And you should learn from your mistakes.

JENNETT:

All right. Well, you're right the need isn't disappearing anytime soon. We'll keep an eye on progress, both with the HAFF and also with Help to Buy when parliament resumes on the latter. Julie Collins, always appreciate it.

COLLINS:

Thanks for having me, Greg.