National has designed a streamlined mechanism for allocating the Government’s $3.8 billion fund for housing infrastructure, National’s Infrastructure spokesperson Andrew Bayly says.

A Member’s Bill drafted by Leader of the Opposition Judith Collins, which will go into the ballot this week, will provide councils with a simple $50,000 grant for every new house they consent over and above their five-year historical average.

The Government says its $3.8b Housing Acceleration Fund will deliver 80,000 to 130,000 houses over 20 years. But this only equates to between $29,000 and $48,000 per house.

“We’re saying to councils that for every extra house they build, the Government will provide $50,000 for infrastructure – no ifs, no buts, and no complex hurdles,” Mr Bayly says.

“This sensible move can be done right now to address the housing shortage and help first-home buyers.”

To date, the Government has only provided vague details about how it plans to allocate the $3.8b Housing Acceleration Fund,” Mr Bayly says.

“The vagueness of the Government’s plans will be bureaucratic hurdle for councils.

“Councils and developers will be forced into a drawn-out negotiation with Wellington bureaucrats to get funding, showing how each new development meets whatever criteria this Government finally announces.

“Just like the so-called shovel ready projects, where a year later only a quarter have shovels in the ground, this looks set to be another example of Labour’s inability to deliver.”

A copy of the Housing Emergency Response (Urgent Measures) Bill can be found here.

You can also read a Q&A on the Housing Emergency Response (Urgent Measures) Bill here.