High net immigration is putting huge pressure on governments to get more housing built. But do we need to do this at the expense of planning rules that are intended to create housing areas where people might actually enjoy living?

The new NSW government has announced that it will scrap local council and planning panel processes for developments worth more than $75m if they include at least 15% affordable housing. Developers will be able to go straight to the Department of Planning via state significant development rules so that decisions will made more quickly.

Further, these developments will also gain access to a 30% floor space ratio boost, and a height bonus of 30% above local environment plans.

Councils have been assured by the Minister for Planning (Paul Scully) that they will be consulted about the strategic merit of these proposals and council local environment plans will not be overridden.

The reforms are set to take effect later this year and are a part of the government’s commitment to construct 314,000 homes over five years.

Huge growth in population over 2022

It is not hard to see why we need so much new housing. Australia’s population grew by almost half a million during 2022 to reach 26,268,000 people at 31 December 2022. The annual growth was 496,800 people (1.9%). Annual natural increase was 109,800 and net overseas migration was 387,000.