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There have been many reports recently predicting substantial population growth across Australia. However, in order to provide accommodation for the increasing number of residents in the country, many areas will need to see a significant boost in housing supply.
Information from the Australian Bureau of Statistics (ABS) predicts the country's population will rise to 46 million people by the year 2075. Melbourne and Sydney are expected to become the two most populated state capitals in the country after the population grows to 7.9 million each.
A December 18 statement from the Urban Taskforce highlights one of the biggest issues the country will face during the population growth phase: Housing.
The Urban Taskforce stated an even higher level of housing will be needed than previously assumed in order to accommodate a larger population.
"Every few months we seem to see even higher projections for Australia’s population growth announced by the ABS," said Chris Johnson, chief executive of the Urban Taskforce.
"While there has been some uplift in housing production over the last year it is clear that significantly higher numbers of new houses and apartments are urgently needed."
Mr Johnson noted over the last 12 months, New South Wales saw a rise of 102,000 new residents. However, he said there is still not enough housing available to meet demand.
Over the month of October, the number of residential dwelling approvals increased nationwide by 1.9 per cent in trend terms. This figure has risen for 22 consecutive months. In New South Wales, the trend estimate for dwelling units grew by 1.3 per cent after rising for 21 months.
However, Mr Johnson said there is still a shortage issue in Sydney as there are 10,000 less homes built than needed every year.
Mr Johnson's comments were echoed by the Housing Industry Association (HIA), with Economist Geordan Murray stating there needs to be a boost to the supply of new housing.
"The figures show Australia’s population reached 23.13 million in mid-2013, having added over 407,000 people in the year to June 2013. This is equivalent to a growth rate of 1.8 per cent over the year which is well above the long term average," Mr Murray explained.
"To date there has not been any commensurate boost to the supply of new housing. It is time for policy makers to acknowledge the imminent policy challenge that this situation poses."
