The state government has released draft targets for housing growth across the state which identify specific targets for local government areas as a basis for negotiation with individual local councils.
Victoria has the largest annual population growth of all Australian states. Projections in Victoria’s Housing Statement (2023) indicate that 2.24 million additional homes will be required by 2051. Of these, 425,600 will be required in regional Victoria.
The announcement comes as Hepburn Shire is in the final stages of community feedback about draft structure plans which include planning for new housing developments. More homes are needed in established suburbs which are closer to jobs, transport, education, and services. The draft council housing targets reflect these factors.
The draft target for Hepburn Shire is for 3000 new dwellings to be built by 2051. As of the 2021 census there were 6,800 occupied dwellings in the Shire and another 2000 unoccupied dwellings. Achieving the target would require an increase of about 45% in occupied housing stock across the Shire.
By comparison, Bendigo is expected to increase by 37,500 dwellings, an increase 68% and Ballarat is expected to increase by 46,900 dwellings, an increase of 88%.
The targets for Hepburn Shire are consistent with projections by SGS Economics and Planning as part of the consultancy work which underpins the Draft Township and Rural Strategy Plans. Based on recent trends, SGS predicted a need for 2,700 new dwellings in the Shire by 2041.
This work is based on research taking into account local conditions, the local land market and historical growth patterns in the Shire. It is this work that is informing Council’s draft Future Hepburn Settlement Strategy.
In the Daylesford Hepburn area, the SGS report predicted 680 new dwellings would be require by 2041 to accommodate an anticipated population increase of 1,500 people. This represents an increase of 40% on current occupied housing stock. There are implications for infrastructure and services to accommodate the increased population. How this might be accomplished is a large part of the Draft Structure Plan for the township.
To compare the state and shire plans on an annual basis, the Victorian Government plan aims for Hepburn Shire to allow for 115 new homes per year, on average, across the Shire for the next 26 years. Hepburn Shire Council research shows a need for 136 homes per year on average, across the Shire for the next 17 years (to 2041).
A Hepburn Shire Council spokesperson said, “Whilst the housing supply rate that Council is planning for is slightly higher than that of the State Government, this supports Council’s intention to implement stronger policies and controls that better protect our farmland, neighbourhood character, heritage and biodiversity.”
Victoria’s councils have powers to unlock space for more homes through changes to local planning rules. The Government will consult closely with councils to acknowledge their local knowledge, with councils to report back on the draft target and the local changes they propose.
While the targets are open to negotiation with individual LGAs, the state government has indicated that it may remove planning powers from Councils which fail to achieve targets.
Victoria’s Housing Statement, released in 2023, blames much of the slow growth in housing on delays in local council approvals for planning permits. The problems which have been identified in Hepburn Shire are not unique.
The Victorian Premier, Jacinta Allen said, “To give industry the confidence they need to get on and build, we need Government and all councils working towards the same goal: more homes for Victorians – in the right places.”
“Council will continue to engage with the State Government on the draft housing target,” said a spokesperson for Council. “Victoria’s Housing Statement is Victoria’s formal approach to implementing the Commonwealth Government’s National Housing Accord, which includes a target of 1,000,000 new homes across Australia by 2029. The Accord and the Housing Statement both enable State and Commonwealth funding for new infrastructure where new housing is delivered.”
The draft targets for each local government area can be found at .
Council has extended the period for community feedback on the Draft Township Structure Plans and the Rural Hepburn Strategy to Wednesday, June 26th. Submissions can be made through the Future Hepburn page on the Council website.
Related Stories:
Local Residents Voice Concerns Over Proposed Boundary Changes
