Housing supply and planning

Increase the supply of housing through faster planning

As our population grows, we need to make sure our housing supply continues to grow too. Even more, these new homes need to be connected to jobs, education and public transport.

We also can't afford to be held back by planning delays.

With Victoria’s population is growing at more than 100,000 people a year, we need more houses being built to keep up. Housing approvals are currently running at record levels and this strategy aims to keep them at an average of more than 50,000 new homes a year.

But planning uncertainty, as well as the time and costs of obtaining planning approval, limit the supply of available new homes and, in doing so, drive up prices. Unnecessarily slow approvals by councils and utilities delay developers and also drive up costs.

To address this issue, the Government will make a number of changes including speeding up development approvals in the inner and middle suburbs, zoning more growth corridor land for future development, speeding up planning approvals for new subdivisions, and addressing current planning backlogs.

Smarter planning and faster approval is a win-win for developers and home buyers alike, and ensures more competitive pressure on prices.

The Government will also introduce inclusionary housing requirements through a pilot program, involving the sale of surplus government sites with a requirement that a certain proportion of social housing is delivered as part of the new development.

Find out more information at Housing Strategy Planning Initiatives

Fact sheet - Increasing housing supply through planning Fact sheet - Increasing housing supply through planningDOC (1.48 MB)

Ensure housing accommodates population growth by facilitating more than 50,000 extra new homes being built each year


Increase development opportunities in the inner and middle suburbs


Add zoned land for another 100,000 lots in the growth corridors to maintain a 15-year supply of land for new developments


Introduce inclusionary housing obligations on surplus government land through a pilot


Develop new planning tools to increase the supply of affordable housing


Streamline planning approvals to reduce costs and uncertainty for developers and target around a four month supply of lots on the market