Cbus welcomes ALP support to unlock investment for affordable housing
21 April 2017
New measures announced today by the ALP to facilitate investment by superannuation funds into social and affordable housing have been welcomed by Cbus.
David Atkin, Chief Executive Officer of Cbus, the industry super fund for the construction and building industry said there was now broad consensus behind adopting the bond aggregator model that has been so successful in the UK.
“Today’s announcement will add further weight to our call for the Commonwealth Government to establish the scheme,” Mr Atkin said.
“Action by the Commonwealth Government is a key ingredient we need to unlock superannuation investment in affordable and social housing.
“Cbus is actively looking to invest in this area but to do so prudently we need the right policy settings. A scheme backed by the Commonwealth Government at least initially is a good place to start.
“The investments we are considering will be in the areas of most need while still being a sound investment for Cbus members.
“With Government unable to meet the growing demand for social and affordable housing, superannuation can play an important role as a private investor helping to boost supply.
“Cbus is ready to step in but we need government leadership to get the policy settings and the risk/return profile right.
“We welcome bipartisan support for this essential measure as it is vital for long term investment.
“Cbus members build our nation so there is a natural symmetry with their superannuation being invested into their industry to build a better future for Australia.”
Mr Atkin reiterated his opposition to allowing superannuation funds to be used for housing deposits as a short sighted and flawed proposal.