The federal government has given the go-ahead for a scheme in which the private sector would be given access to cheap capital in return for building more community housing.

The bond aggregation scheme, as revealed by The Australian Financial Review, was given the in-principle approval of Commonwealth and state treasurers in December and will now be designed by a new housing affordability taskforce before final approval in the middle of the year.

On Friday, Treasurer Scott Morrison, who is putting together a housing package for the May budget, will announce the establishment of the Affordable Housing Implementation Taskforce to develop an affordable housing bond aggregator model.

Treasurer Scott Morrison could receive a bonus in the budget. Alex Ellinghausen

The community housing sector is currently funded by government grants and stock transfers, and short-term, high-interest bank loans. A bond aggregator will provide a long-term funding source of up to 20 years.

It would allow for securitisation of debt used in the construction and maintenance of housing for low-income families.