Big Announcements Don’t Build Homes — Builders Do

Two years. Two per cent.

That’s where we are with a $10 billion affordable housing commitment.

Now before we criticise government policy too harshly, let’s acknowledge something important — housing is complicated. Planning approvals, funding rounds, construction delays, procurement models. None of this is simple.

But here is my honest opinion.

Australia doesn’t have a housing policy problem. We have an execution problem.

The HAFF rollout shows us something powerful: targets are easy. Delivery is hard.

When I speak with builders — and I speak with them every week — they are not short of ideas. They are not short of appetite. They are short of capital flexibility and certainty.

Government funding structures are designed to reduce risk. That makes sense politically. But in practice, risk doesn’t disappear — it simply shifts.

We are now seeing concerns about 90% debt structures that become interest-bearing after 25 years. Think about that. If you are a community housing provider and you carry that exposure, your future strategy may involve asset sales. That defeats the long-term purpose.

Policy design matters.

But here’s the bigger point.

Large institutional programs tend to favour scale players. The smaller builder — the one building 6 townhouses or 20 apartments — gets squeezed out. Yet those smaller projects collectively make a meaningful dent in supply.

If we want housing delivered faster, we need to empower execution layers, not just funding pools.

The private sector moves when capital moves.

And capital moves when trust, flexibility and speed align.

I’m not anti-government intervention. I’m pro-results.

We need fewer press releases and more poured slabs.

Housing is not built by announcements. It’s built by builders.