New Local Infrastructure Fund a win for RCV advocacy

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MEDIA RELEASE

13 May 2026

Regional Cities Victoria (RCV) has welcomed the Albanese Government’s new $2 billion Local Infrastructure Fund – announced in the 2026-27 Federal Budget.

The fund, which includes $500 million dedicated to regional Australia, is a major win for RCV’s sustained advocacy to unlock more housing in the regions – securing investment in the essentials needed to deliver new homes including roads, lights, footpaths, sewerage, drainage, water and power.

RCV Chair Cr Ben Blain said the fund was recognition that regional Victoria cannot solve the housing crisis without serious infrastructure investment.

“Governments just can’t continue to focus on housing targets while ignoring the infrastructure we need to actually unlock housing supply.”

Cr Blain said RCV had consistently pushed for greater Commonwealth investment in enabling infrastructure through its federal budget advocacy and during the alliance’s Canberra delegation earlier this year.

“In March we took a clear message to Canberra, and we were obviously heard – regional Victoria is ready to help solve the housing crisis, but councils cannot keep footing the bill for growth alone,” Cr Blain said.

“Regional Victoria has the land and the ambition. What’s been missing is infrastructure investment that keeps pace with growth.”

Cr Blain said while the regional allocation was a positive start, he anticipated demand would far exceed available funding.

“Half a billion dollars across regional Australia over four years sounds significant until every growing regional council in the country lines up for a share of it. This will be a highly competitive national program.”

Budget investment initiatives – including new funding rounds for the Growing Regions and Stronger Communities programs – reflected growing recognition that regional cities can play a critical role in delivering the homes Australia needs, while supporting economic growth and easing pressure on capital cities.

“Housing affordability isn’t just about building homes faster – it’s about making sure regional communities have the infrastructure needed to grow sustainably and remain great places to live,” Cr Blain said.