Melbourne’s West Records Highest Homelessness Demand in Australia

Media Release - 10 August 2026

Melbourne’s west is facing a homelessness crisis that has outpaced the traditional service system, with new data showing more people in the region seek assistance from homelessness services than anywhere else in Australia.

Analysis commissioned by LeadWest shows 15,025 people sought homelessness assistance in Melbourne’s west in 2024-25. The region also has a homelessness rate that is 50 per cent higher than the national average.

The figures highlight the growing pressures facing Australia's fastest-growing region, where rapid population growth, low levels of social housing and worsening housing affordability are driving increasing demand for homelessness support. Additionally, high living costs and mortgage – among the highest in Melbourne’s west – are placing further pressure on households and raising concerns about future increases in homelessness.

LeadWest said the data paints a concerning picture of a region experiencing the national housing crisis in its most acute form, with homelessness rising as housing supply struggles to keep pace with population growth.

LeadWest's analysis found Melbourne's west lacks sufficient safe, secure and appropriate housing options to provide sustainable pathways out of homelessness. At the same time, homelessness, housing, health and other support services are increasingly fragmented and overstretched, limiting access to coordinated support and early intervention.

The findings also highlight the growing role of local government in responding to homelessness.

Across Melbourne's west, councils are increasingly managing visible homelessness in public places and community facilities despite having no formal mandate or dedicated funding as part of the homelessness response system.

LeadWest is calling for State Government support for communities and councils in Melbourne’s west through:

• Increased investment in public and community housing appropriate to local needs to boost housing supply and create sustainable pathways out of homelessness.

• Funding assertive outreach services across all municipalities in Melbourne's west to better support people experiencing or at risk of homelessness.

• Supporting integrated local service coordination across housing, health, mental health, alcohol and other drug, and family violence systems.

• Investing in improved local homelessness data to better understand need, inform planning and support evidence-based responses.

  
  

LeadWest Chair, Cr Susan Yengi said:

"Melbourne's west is now recording the highest demand for homelessness services in Australia. That should be a wake-up call for governments at every level.

"The data is clear. Of every 10,000 people in Melbourne’s west, 157 are experiencing homelessness. This is one-and-a-half times the rate across Australia and higher than other parts of Victoria.

“In 2024-25 more than 15,000 people sought homelessness assistance in our region, yet we continue to have disproportionately low levels of social and community housing compared to the scale of need.

"This is not simply a homelessness issue. It is the result of a structural housing shortage that is being intensified by rapid population growth across Melbourne's west.

"Councils are increasingly becoming frontline responders, helping people experiencing homelessness in parks, libraries, community centres and public spaces, despite not being funded or formally recognised for this role.

"Melbourne's west needs targeted investment to ensure people have access to safe, secure and affordable housing close to jobs, services and community.

"By increasing investment in social and supported housing, funding local outreach and coordination, and supporting place-based responses, governments can make a real difference for people experiencing homelessness while relieving pressure on communities and services."