8000 more public houses to be delivered
The Government will deliver an extra 8,000 new public and transitional homes through Budget 2020, in a move that will stimulate the residential construction sector, create jobs and reduce the housing shortage.
The additional housing places will be delivered by Kāinga Ora, Community Housing Providers and transitional housing providers. Kāinga Ora will finance its proportion of the additional 8000 places by increasing its borrowing over the next 4-5 years, anticipated to be approximately $5 billion. Budget 2020 delivers $570m of Income Related Rent Subsidy funding to support this build programme.
This investment is in addition to the 6,400 public housing homes currently being built, in the pipeline or otherwise delivered, and the 1,000 transitional homes announced in February as part of the Homelessness Action Plan. We are also providing $100m of income related rent subsidy funding to deliver 1,650 extra places ahead of schedule over the last two and a half years.