The federal government has offered to index the $500 million cap on disbursements from its signature Housing Australia Future Fund in a significant concession to secure support for the policy in the Senate.
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The government has indicated it will move an amendment to index the cap against inflation from 2029-30, a key demand of crossbench senators in return for their support.
The move was flagged as a government push to have the bill prioritised in the Senate and possibly voted on after less than an hour of debate was blocked by the Coalition and the Greens.
The government's leader in the senate, Senator Katy Gallagher, had put forward a motion to bring on consideration of the $10 billion Housing Australia Future Fund, which has been the subject of weeks of negotiations between the government, the Greens and crossbench senators including ACT independent senator David Pocock.
Under the government's plan, the fund would use earnings to finance the construction of around 30,000 social and affordable homes over five years. Under the proposal, disbursements will be capped at $500 million a year - a limit that has been criticised by Senator Pocock.
Senator Pocock has argued earnings that exceed $500 million in any one year should go to fund extra housing.
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Housing Minister Julie Collins said the government had "worked constructively across Parliament" to negotiate passage of legislation to establish the fund.
"Australia desperately needs the 30,000 new social and affordable rental homes the fund will deliver in its first five years," Ms Collins said.
"This bill can't be delayed any longer. Senators who say they support more social and affordable homes need to stop the delays and pass the bill this week."
The government last week secured the support of Jacquie Lambie Network senator Tammy Tyrrell after striking a deal guaranteeing the construction of at least 1200 homes in each each state and territory.
But it is yet to secure Senator Pocock's vote while the Greens have not budged in their opposition to the fund.
The Greens have criticised the funding model and have instead called on the government to directly invest the money in housing while Senator Pocock has urged the government to make the plan more ambitious, arguing the current proposal is inadequate in addressing the nation's housing problem.