Recent analysis by the Australian Council of Social Service (ACOSS) shows that in 2025 the government spent $3.3 billion more on property tax breaks than social housing, homelessness services and rent assistance combined. 

Social housing in Australia is at a record low, making up less than 2% of dwellings built today – an incredible decline from the 22% built annually in the 1950s. In 2025 social housing comprised 3.6% of dwellings, nearly 3% worse than the average for G7 countries, and 4.4% behind EU countries. 

There is also strain on social housing, as the number of those who are homeless or at risk of homelessness has risen from 26% to 41% of the public housing waitlist over the last decade. 

Data shows the homelessness crisis is getting worse, and as increasing numbers of Australians struggle to meet their basic human right to shelter, criticism of the government’s property tax breaks is growing. 

ACOSS’ recommendations to the Federal Government include significant curbing of the Capital Gains Tax to gradually halve the current discount, and to phase out negative gearing over five years. Alongside this reduction in expenditure, ACOSS calls for national social housing targets to be set and investment to grow the housing supply.  

“This report today shows housing stress and homelessness are getting worse while absurdly generous tax breaks drive up home prices and supercharge inequality in our society,” said ACOSS Acting CEO, Jacqueline Phillips. 

“More people are struggling to afford the private rental market, pushing them into homelessness and onto growing social housing waitlists… Property investor tax breaks come at a staggering cost of more than $12 billion each year, which could be spent on social housing, social services and supports that benefit everyone.”