THE NSW Government has allocated up to $12 million in funding to Northern NSW to help increase social and affordable housing supply in the region.

In a statement released late today, Social Housing minister Pru Goward said the funding would help alleviate the shortage of housing in the region following the recent flooding.

The announcement comes as Tweed residents prepare to stage a protest rally in Murwillumbah tomorrow, calling for more funding for low cost housing in the region, with the impact of the floods exacerbating an already dire shortage of affordable housing in the shire.

Ms Goward said in the immediate aftermath of the flood, the Department of Family and Community Services (FACS) assisted almost 1300 people with accommodation.

"A month on from the recent flooding, it's time to look at how we address the longer term housing needs of the community, we know people want to remain in the communities they love,” Ms Goward said.

She said an additional $2 million would support local services to "head lease” properties which will enable an additional 30 properties to be leased over the next three years.

Up to a further $10 million has been allocated to increase social and affordable housing supply in Northern NSW over the next three years.

The NSW Government will release a new site in Tweed Heads for mixed development of social, affordable and private housing as part of its Communities Plus program.

Member for Tweed, Geoff Provest MP welcomed the additional funding and thanked the Government and Department of Family and Community Services for their ongoing assistance in what he described as a devastating time for the community.

"Some people have lost everything in the recent floods,” Mr Provest said.

"This additional funding will be a massive game-changer for some of the worst affected people in our community.”