Master Builders Victoria has welcomed a funding boost of up to $1 billion for additional low-interest loans and government guarantees to support the financing of social and affordable housing.

CEO Michaela Lihou says the implementation of the state government’s Affordable Housing Investment Partnership (AHIP), announced today, signalled another step toward easing the housing crisis.

The partnership is expected to support the financing of up to 6000 new social and affordable homes.

“The ongoing investment from the state government will ensure a strong pipeline of work for the building and construction industry,” Ms Lihou says.

“Not only will it ensure more homes for those in need – it is a boost to the local industry and a signal for a stronger future.”

However, Ms Lihou says existing pressures on the sector and its capability to successfully complete work must remain a consideration for government.  

“MBV believes the industry and government can work together to reduce the cost of building and deliver more homes in a shorter timeframe,” Ms Lihou says.  

“Addressing the barriers to a greater supply of housing will form part of the solution to reduce the pressures on rental and housing affordability in Victoria.

“Investing into skills and innovation will boost supply, and create a pipeline of work for our industry, support our economy and deliver better rental affordability outcomes. 

“This must be a consideration as the state government lays a pathway to housing availability and affordability.”

Ms Lihou says Master Builders Victoria and its members continue to anticipate the release of the state government’s housing statement.

“Solving the issues requires a policy-driven approach with a strengthened workforce as a key pillar,” Ms Lihou says.

“The Victorian Government’s housing policy presents an important opportunity to set the industry on solid ground, ensuring a pipeline of work for builders across the state and a security for consumers.”