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Western Sydney Housing Supply, Infrastructure Levies and the $2 Billion Local Infrastructure Fund

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Status: Answered, finished
Asked by: Senator the Hon. James McGrath
Committee: Economics
Portfolio: Treasury
Agency: Department of the Treasury
Round: 2026-27 Budget estimates
Question No: BET187
Asked: 11 June 2026
Answer due: 23 July 2026

Question

1. Has the Department modelled whether the Local Infrastructure Fund will lower the final purchase price of homes in growth areas? a. If so, provide the modelling. 2. Where and when will the 65,000 homes be constructed? 3. The Planning Institute of Australia has said thousands of approved homes are stalled because enabling infrastructure has not been delivered. Has the Department identified how many approved dwellings are currently delayed due to infrastructure constraints? a. If so, how many? 4. Can the Department identify whether any currently stalled or abandoned Western Sydney developments will potentially qualify for assistance under the new Local Infrastructure Fund? 5. What specific reforms has the Commonwealth requested from State Governments in exchange for access to this funding? 6. Has the Department assessed whether the scale of the fund is proportionate to infrastructure deficits in major growth corridors such as Western Sydney? 7. Has the Department assessed whether the Local Infrastructure Fund will be sufficient to meet the Commonwealth's National Housing Accord targets?

Answer

See attached response.

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