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Peri Urban Councils urge state government to invest in infrastructure and support housing growth across regions

Peri Urban Councils Victoria is urging government investment in infrastructure after a new report recommended 40% of new homes be built in regional Australia, highlighting housing demand, high costs, and infrastructure pressures.

By news@gippsland - 25th September 2025 - Back to News

Peri Urban Councils Victoria (PUCV) has renewed calls for government investment in infrastructure as a new report recommends two in five new homes built in Australia be located in the regions. The Regional Australia Institute's (RAI) Answering the Call for Regional Housing report has recommended the Federal Government's National Housing Accord incorporate a target for regional Australia of 40 percent of the national goal, or 480,000 homes. The accord aims to construct 1.2 million dwellings nationally over five years to 2029.

Peri Urban Councils Victoria Chair Cr Moira Berry says peri urban municipalities want to help solve the housing crisis, but need government assistance to open more land for development

Addressing growth pressures

PUCV Chair Cr Moira Berry has welcomed the RAI report as it stepped out the complexity of building homes outside metropolitan areas, particularly the cost of developing land for future liveable communities.

"The report recommends the federal and state governments increase funding for enabling infrastructure to open more land for housing developments, with specific funding programs for the regions in recognition of significant need and to address specific challenges including high building costs and worker shortages."

"Just like in regional areas, more and more people are choosing to make their home in peri urban areas, attracted by the relaxed lifestyle and more affordable housing within easy reach of the city. The growing popularity of our municipalities is putting more pressure on our infrastructure and services, and fuelling demand for housing," Cr Berry said.

Backing growth sustainably

Cr Berry said a PUCV delegation would go to Canberra next month to meet with federal government decision makers, including Minister for Infrastructure, Transport, Regional Development and Local Government Catherine King. "Peri urban municipalities want to be part of the solution to the housing crisis. We can help to meet the demand for more affordable homes by opening more land for development," Cr Berry said.

"We do need government investment in infrastructure so we can meet this demand in a timely manner and ensure the growth of our communities is sustainable and protects valuable agricultural land and the unique character of our towns. We also want to provide the facilities and services - such as community hubs and sports grounds, transport and telecommunications - that growing communities need and expect," Cr Berry said.

Boosting Peri-Urban

PUCV has two key tasks of state and federal governments to help its councils meet housing targets. They are:

• $230 million Capital Grants Fund to support liveability and amenity projects in peri urban communities
• $90 million Future Fund with a loan capacity for peri urban councils to borrow against Developer Contribution Plan agreements to pay for enabling infrastructure, such as roads and essential services (including water and power)

Cr Berry said member municipalities also wanted to work with the federal and state governments to agree on a definition of the term 'peri urban'. "Peri urban areas that bridge the divide between metro and regional areas are often classified as regional Australia - and that's the case in the RAI report."

Defining Peri Urban

Cr Berry added, "While public debate has focused on regional and metropolitan areas, periurban areas are expanding more quickly than regional areas. Their needs risk getting lost or overlooked in the policy debate, despite their position on the frontline of the housing crisis."

"We want to ensure the unique needs of peri urban municipalities and the challenges they face are recognised and reflected in government policy. That's how we can ensure our communities are supported as they undergo this period of rapid development. Population growth is welcome, but it can't be sustained and our communities won't remain desirable and liveable without government support," Cr Berry concluded.

Pictures from Peri Urban Councils Victoria website.

Source: http://gippsland.com/

Published by: news@gippsland.com

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