Homelessness services will get a funding boost as demand continues to soar.
The Albanese government will give $67.5 million to states and territories in the next year to fund the crucial services, after census data released earlier this week showed nearly 123,000 people were homeless in 2021.
That's a 5.2 per cent increase since 2016, with the majority of newly homeless people women and one-third of them aged less than 24.
The one-off funding is an extension of the existing National Housing and Homelessness Agreement as the government develops a new National Housing and Homelessness Plan to begin in 2024/25.
It also comes as the government looks to pass legislation for its Housing Australia Future Fund, which could be beaten in the Senate if it fails to appease crossbench demands.
Labor needs the Greens and two crossbenchers to pass the bill, which would result in 30,000 new social housing dwellings being built in the first five years, with up to $500m spent each year.
The government says the fund will create a "secure, ongoing pipeline of funding for social and affordable housing", adding it will deliver 30,000 new homes in its first five years.
Housing Minister Julie Collins said the homelessness funding boost was a crucial intervention as the rates continue to increase.
"Too many Australians were experiencing homelessness on Census night ... this plan will be the first of its kind in our nation's history and deliver lasting change for Australians facing housing challenges," she said.
"I will continue working with the states and territories as we bring together all levels of government together to address Australia's housing challenges."
The National Housing and Homelessness Plan will set out a 10-year strategy to provide more safe and affordable housing.