NSW Councils Hold $4.2B in Developer Funds, Stalling Homes

0:00It's April 19, I'm Cory with the story. This is Sydney News Today, driven by AI. Local councils in New South Wales are holding on to $4.2 billion in developer cash meant for infrastructure like roads and parks. Cash that could unlock thousands of new homes across greater Sydney, the Ilawara, and Newcastle. Over the past decade, these funds have doubled according to an analysis from the Urban Development Institute of Australia. But strict rules tie the money to specific projects, leaving councils short on extra capital to get them done. Folks in places like Camden are feeling the pinch, where upgrades to the Byron Road corridor near Lepington station could greenlight up to four. Thousand homes, yet piecemeal contributions make it tough to move fast without shifting funds from other areas. A state auditor general report paints a bigger picture, revealing $5.4 billion unspent statewide with just 14 councils, hoarding nearly half,

1:00and 10 of them spending less than 20% last financial year, including spots like Liverpool and the Central Coast. Meanwhile, developers are pushing the state government to launch a self-replenishing $950 million fund to bridge those gaps, calling out the idle billions amid a housing crunch, while ministers urge councils to spend up and deliver for growing communities.