Australia’s population has hit 27 million, growing at a pace that is outstripping new housing supply, according to the Housing Industry Association (HIA).
HIA Chief Economist Tim Reardon said the government has failed to balance migration goals with policies to boost new home building.
“The Government has not balanced the goal of stable and reliable migration pathways with the removal of restrictions on new home building necessary to meet demand,” Mr Reardon said.
The latest ABS data shows Australia’s population grew by 0.6 per cent or 164,635 people in the March quarter 2024.
This puts annual population growth at 2.3 per cent, adding 648,100 people in the year to March 2024.
Net overseas migration accounted for 133,802 of the quarterly increase, while natural increase contributed 30,833.
Western Australia led population growth at 3.1 per cent annually, driven by both interstate and overseas migration.
New South Wales and Victoria attracted the largest shares of overseas migrants.
Reardon said recent government measures to slow migration, particularly overseas student numbers, are starting to take effect.
However, he criticised the systemic underestimation of population growth as a policy failure.
“State governments and local councils need accurate guidance on population to assist with planning for growth,” Mr Reardon said.
“This is not just a short-term problem emerging due to a spike in population after the pandemic.”
He called for stable and reliable migration settings to avoid boom-bust cycles in home building.
The HIA warns that without addressing restrictions on new housing supply, population growth will continue to outpace housing construction, exacerbating affordability challenges.
