How Canberra evolved from bush capital to dynamic and progressive city

By
Andrew Barr
August 4, 2025
Canberra is now home to nearly 500,000 people. Photo: ACT Government

As Allhomes marks its 25th anniversary, it’s a fitting time to reflect on how far Canberra has come over the past quarter century and to look ahead to the future.

In just one generation, Canberra has evolved from a quiet public sector town into one of the world’s more liveable, dynamic and progressive cities.

Our skyline, culture, economy and communities have all changed – in size, shape and spirit.

We are now a city of nearly 500,000 people. Our population has grown by nearly 50 per cent in the past 25 years and is projected to continue growing.

An aerial view over Canberra facing south along Northbourne Avenue towards Parliament House. Photo: ACT Government

We’ve evolved from a place designed primarily around freeways and cars to a city that prioritises neighbourhoods, walkability, cycling, active transport and public transit.  Light rail is now a feature of our city and a symbol of what forward-looking infrastructure can achieve: more people-focused activity, reduced emissions and better-connected neighbourhoods.

We’ve diversified our economy, moving from one that is almost solely reliant on government employment to a knowledge-based economy that thrives in professional services, education, renewable energy, digital innovation, defence, space technology and tourism.  Our university sector is expanding. Our start-ups are flourishing. Canberra has become a place where smart ideas can thrive.

But perhaps the most powerful transformation has been cultural. Canberra has grown in confidence, pride and identity. We’ve embraced diversity, inclusion and sustainability. We’ve backed the arts, invested in our public institutions, and worked to ensure everyone has a fair go – these are values that define us.

So, what comes next?

Kingston Foreshore is known for it's restaurant scene. Photo: Richard Poulton Photography / ACT Government

Over the next 25 years, Canberra will keep growing, but we’re determined to grow with purpose. That means building the homes, schools, hospitals and transport links we need, in a way that protects what makes our city special.

Through the updated Territory Plan and Housing Strategy, we’re focused on delivering more housing options where Canberrans want to live. This means providing opportunities for more housing choice in Canberra’s existing suburbs, known as the “missing middle”.

We are also pursuing additional reform to secure more opportunities to build new homes near jobs, schools, shops and public transport. At the same time, we are working to boost productivity in Canberra’s building industry, with significant subsidies of 90 per cent on offer for training in construction trades, so our local sector has the workforce it needs to build the homes of the future. This will be further supported through tax settings for organisations that deliver more social and affordable housing for our city, including lease variation charge concessions on build-to-rent properties.  

Canberra is adding more housing as it's population expands. Photo: ACT Government

Our National Housing Accord commitments and local planning reforms will help us enable 30,000 new homes by 2030, with many in established suburbs to promote sustainable and accessible living.

We are already leading Australia on climate action, with 100 per cent renewable electricity, strong net-zero targets, and a planning system that encourages density in well-serviced areas to reduce car dependency. We’ve invested in green infrastructure, urban forests and energy-efficient homes, while protecting the bushland that surrounds us.

Our approach is about more than numbers; it’s about community. Density, when done well, supports walkable neighbourhoods, thriving local businesses and strong social connections. It also reduces urban sprawl, protects the environment, and lowers the cost of living through better access to transport and services.

Walkable neighbourhoods and community connection have been key in planning. Photo: ACT Government

Of course, smart growth must be equitable. We’re investing in public housing, schools and local infrastructure across the city, from Gungahlin to Tuggeranong and Woden to Belconnen. Everyone deserves a place to call home and a neighbourhood they’re proud to be part of. 

Canberra is not just growing; it’s growing with intent. With a long-term vision, strong partnerships, and a community that values sustainability, inclusivity and fairness, we’re well-positioned to remain one of the world’s most liveable and future-ready cities in the decades to come.

I’m proud of what Canberra has achieved since Allhomes was founded 25 years ago. As Chief Minister, I remain ambitious for our city and its people. I’m confident that, together, we’ll continue building a city that future generations will be proud to call home.

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