Levelling Up
NSW Pre-Budget Submission 2026-27
CHIA NSW commends the NSW Government on its commitment to creating a stronger, fairer housing system. Its recent historic investment in social and affordable housing, alongside Commonwealth Government commitments, is starting to turn the tide, showing what’s possible when government acts with ambition.
However, the scale of the housing affordability crisis demands sustained action.
As the largest community housing industry in Australia, not-for-profit CHPs in NSW are already demonstrating the capability, partnerships and community connections needed to deliver at scale.
Our Pre-Budget Submission, Levelling Up, outlines how the NSW Government can lay further groundwork for lasting change.
Priority 1: A recurrent funding stream to sustain a generational increase in social and affordable housing supply
- Commit $2.3 billion annually to a long-term program of upfront capital grants and government land contributions. This represents a $9.2 billion commitment over the forward estimates.
- Establish a $6.5 billion NSW Housing Future Fund to bridge operational funding gaps and support the long-term retention of social and affordable housing from 2028.
- Together, these measures will deliver up to 25,000 homes for lower income households in partnership with the not-for-profit community housing industry.
- Support equitable access to social and affordable housing by directing at least 30% of funding to housing projects outside Greater Sydney, where higher subsidy is needed to achieve project viability.
Priority 2: Scale-up investment in home energy performance upgrades for low-income households
- Invest $1 billion over four years to expand the NSW Social Housing Energy Performance Initiative, accelerating upgrades to ageing public and community housing properties.
- Reform the NSW Energy Savings Scheme to better leverage rebates and incentives for large-scale, bundled energy performance upgrades in social housing.
- Establish a Social Housing Retrofit Accelerator to support the coordination of energy upgrades across social housing providers and the rollout of home energy performance disclosure.
Priority 3: Break the cycle of homelessness by funding the support people need to stay housed
- Commit to an ongoing investment of $140 million annually to deliver support packages alongside new social housing for people at risk of, or experiencing, chronic homelessness. This represents a commitment of $560 million over the forward estimates.