‘Depressing’: Economist on Why Australians Should Not Expect the Housing Situation to Change

An Australian economist has described the country’s federal housing budget as “depressing.” Handed down by Treasurer Jim Chalmers on May 14 evening, the 2024 budget promises big spending on housing, with the treasurer touting an “ambitious” plan for 1.2 million new home builds in five years. But Matt Grudnoff, a senior economist with the Australia Institute, says this week’s budget is like any other handed down by governments “tinkering around the edges.” Changes to the nation’s housing situation, he says, are likely to remain the same, or with only very small levels of improvement. Of the $32 billion (US$21 billion) promised for housing in the budget, just $1.4 billion is fresh funding, according to Mr. Grudnoff....