Addressing affordable housing in Newcastle

An affordable housing needs assessment was recently undertaken which identified a significant shortfall in affordable housing. To address this, we have prepared a draft Affordable Housing Contributions Scheme (the scheme). The scheme satisfies commitments to increase the supply of affordable housing under City of Newcastle (CN)'s Housing Policy 2022 and Local Housing Strategy 2021 and Local Strategic Planning Statement 2021.

Affordable housing is important social infrastructure that supports community liveability and wellbeing, and helps to enable a strong and diverse local economy.

A planning proposal is the first step to introduce the scheme. Both the planning proposal and draft scheme are on public exhibition.

The planning proposal is consistent with the objectives of the Newcastle 2040 Community Strategic Plan and our community's vision for a liveable, sustainable, inclusive city.


What's being proposed?

The planning proposal introduces two new clauses and a map layer to the Newcastle Local Environmental Plan 2012 (NLEP 2012). Once finalised, these will allow CN to impose conditions of consent on new development for contributions for affordable housing.

Our draft scheme is consistent with the NSW Government’s Guideline for Developing an Affordable Housing Contribution Scheme. It sets out how contributions for affordable housing will be levied on new development and provides worked examples.

  • Provide for the delivery of affordable housing through the planning system, recognising its role as social infrastructure.
  • Provide a transparent statutory framework for levying affordable housing contributions.
  • Contribute towards achieving CN and state government objectives in relation to affordable housing.
  • Implement viable affordable housing contribution rates that reflect development feasibility.
  • Provide clarity to the community and development industry on CN's expectations for affordable housing contributions.

The draft scheme identifies the following areas where affordable housing contributions apply:

  • Broadmeadow Part A (residential)
  • Broadmeadow Part B (non-residential)
  • Stockton North
  • Western Corridor.

  • These areas are mapped in Part 4 of the planning proposal. Alternatively, you can explore them using the map on this page.

    The draft scheme identifies the following contribution rates for identified affordable housing contribution areas:

    Refer to Part 2 of the planning proposal for further details.


    The draft scheme's applicability in these areas is subject to future amendments to the NLEP 2012 allowing for uplift.

    The draft scheme applies to development with an additional dwelling (or potential dwelling), and more than 540sqm residential gross floor area (GFA) on the site.

    The following contribution rate applies:


    The 1% contribution rate applies in the identified areas where development does not meet the relevant floor space ratio threshold for a larger contribution rate to apply.

    Refer to the draft scheme for how it will apply and worked examples.


    Ways to have your say

    The draft scheme and planning proposal are on public exhibition from Friday 22 November 2024 to Sunday 2 February 2025.

    Comments on the draft scheme and planning proposal are to be provided in a written submission to CN.

    Submissions are to be made using the online form below. Alternatively, they can be emailed to planning@ncc.nsw.gov.au. Please ensure ‘Affordable Housing Contributions Scheme’ is in the title of the submission.

    Submissions can be made until 5pm on 2 February 2025.