Inside Canberra | Markets, Migration and “Abundance”: Andrew Leigh’s Case for Smarter Reform
At a recent Phoenix Society event in Canberra, Assistant Treasurer Andrew Leigh delivered a pointed defence of markets, migration, and targeted reform—framing what he described as an “abundance agenda” for Australia’s economic future.
The conversation, centred on how markets can lower the cost of living, moved well beyond theory. Leigh’s contribution was notable for its pragmatism: not an argument for deregulation at all costs, but for smarter, faster systems that unlock supply without sacrificing safeguards.
Cutting Through the Bottlenecks
Leigh acknowledged a central frustration across housing, energy, and infrastructure: Australia is slow to build.
He pointed to billions of dollars in stalled clean energy projects and approval processes that can stretch over a decade. The solution, he argued, is not sweeping federal takeovers but coordinated reform across federal, state and local levels—with a focus on speeding approvals and reducing duplication.
“We’ve got to work with the states and territories to speed up approvals… getting more projects online faster is better for the economy and for all of us.”
Rather than centralisation, Leigh emphasised competition and benchmarking between councils—highlighting how transparency in approval times can drive performance improvements.
Housing: Supply, Not Slogans
On housing, Leigh was clear: affordability hinges on increasing supply, not simply shifting demand.
The national target—1.2 million homes over five years—will rely heavily on the private sector. The Commonwealth’s role, he suggested, is to use financial incentives and policy levers to encourage better planning and faster construction, rather than dictate outcomes.
He also pointed to overlooked inefficiencies—like supply chain constraints and transport bottlenecks—that quietly add cost and delay to construction.
The broader message: Australia doesn’t just need more housing policy—it needs fewer barriers to building housing.
Migration as an Economic Multiplier
Perhaps the most direct intervention came on migration—a politically charged issue increasingly linked to housing pressures.
Leigh rejected the idea that migration undermines economic “abundance,” arguing instead that it is central to it.
“Migrants aren’t just mouths to feed—they’re muscles to build and minds to inspire.”
He highlighted that:
- A significant share of construction workers are migrants
- Nearly half of doctors are born overseas
- Migrants are overrepresented in startups and innovation
Cutting migration, he warned, would reduce Australia’s capacity to build homes, staff hospitals, and grow the economy.
Regulation: Fix It, Don’t Just Cut It
Leigh pushed back against simplistic “deregulation vs regulation” debates.
Instead, he outlined a principle-driven approach:
- Check if existing rules already work
- Adapt them in a technology-neutral way
- Only introduce new regulation if necessary
This was particularly evident in his comments on AI, where he noted current consumer laws are largely fit for purpose—avoiding the need for rushed, sector-specific rules.
The goal, he argued, is better regulation—not simply less regulation.
Markets Still Matter
A key undercurrent of Leigh’s remarks was a defence of markets at a time when global politics is drifting toward protectionism.
He argued that well-functioning markets remain the most effective way to deliver lower prices and higher living standards, provided governments focus on removing constraints to supply.
This includes:
- Faster approvals
- More housing construction
- Expanded clean energy
- Open trade and migration
In that sense, the “abundance agenda” is less ideological than operational—it’s about making the system work.
The Takeaway
Leigh’s intervention was not a radical rethinking of economic policy—but a disciplined restatement of it.
Australia’s cost-of-living pressures, he suggested, are not primarily a failure of markets—but a failure to let them function efficiently.
The implication for policymakers is clear:
if you want abundance, start by removing the barriers to building it.