Work will start this year on constructing 1000 homes which will be built in Wales over the next two years.
And over the next 30 years the Welsh Government will be putting £130m towards building "quality and affordable housing.
Carl Sargeant, Minister for Housing and Regeneration says, "Building new homes is important not only in meeting the growing housing need of communities but also as a way of providing work to help people out of poverty and to counter the highly damaging effects of the UK Government's 'bedroom tax'.
Figures obtained by the False Economy campaign reveal across Britain over 50,000 council housing tenants have fallen behind on their rent since the reform was introduced in April – nearly a third of all tenants affected by the tax in the 114 local authorities that provided data.
However in some parts of Wales, the proportion of council housing tenants in arrears has been far higher.
In Wrexham and Anglesey, almost half of all council house tenants (44%) affected by the bedroom tax have been pushed into arrears since April.
In Swansea, 38% of tenants in the city affected by the tax have fallen behind on their rent and in Cardiff, 616 families have experienced difficulties.
Wales TUC has welcomed the Welsh Government’s Smaller Properties Programme announced in August which provided £20 million in funding to help with the provision of smaller affordable homes.
Reacting to the figures Wales TUC National Officer, Julie Cook said,
“Today’s depressing news provides further proof that the Bedroom Tax is pushing families into complete despair. Disabled people who need space for their carers and families, and who have nowhere else to move, are being put at risk of debt and homelessness by the tax."
Protesters campaigning against the so-called 'bedroom tax' and other cuts in government spending held a small demonstration outside the Cardiff hotel where the Welsh Liberal Democrats are holding their conference.
They claimed that the Lib Dem leader, Nick Clegg, had 'gall' to come to Cardiff and described him as 'the millionaire deputy prime minister who lives in a million pound home while telling us we need to downsize our homes'.
In the Conference hall, Mr Clegg told delegates that governments had to live within their means. But he denied that the coalition is 'cruel and unbending', saying ministers had made a pragmatic choice to slow down the deficit and debt reduction timetable.
Welfare reforms have come into force today that could reduce benefits and tax credits in Wales by more than half a billion pounds in a year. The Minister for communities and tackling poverty, Huw Lewis has described these changes as a "watershed moment."
Welfare reforms have come into force across Wales today that could reduce benefits and tax credits here by more than half a billion pounds in a year. Tens of thousands of people in Wales will be left out of pocket, with warnings that many are going to struggle to make ends meet.
The Minister for communities and tackling poverty, Huw Lewis, has described these changes as a "watershed moment." Megan Boot reports.
The Department of Work and Pensions say it's 'vital' the better use is made of housing. It's in response to demonstrations in Wales and across the UK over the changes to housing benefit.
With nearly 2 million households in Great Britain on waiting lists, and over a quarter of a million living in overcrowded accommodation, it is vital we ensure better use of our housing stock.
That said, we know there are people who have had certain modifications made to their homes to manage disabilities. That's why we are giving councils in Wales almost £6.2million to help vulnerable tenants with their housing needs.
– Statement from the Department of Work and Pensions