Warrnambool predicted to have a population of 38,700 and 16,600 households by 2031

The region is set to steadily increase, at a rate of around one per cent annually, compared with faster growing areas such as Ballarat (1.4 per cent) or Geelong (1.7 per cent).

Fresh data from the state government shows Warrnambool’s population is predicted to reach 35,700 by 2021 and 38,700 people by 2031.

The number of households is set to increase from 15,000 in 2021 to 16,600 in 2031, with an annual growth of 1.2 per cent.

The Victoria in the Future 2016 report found the Western District’s annual predicted growth rate will range from minus one per cent to one per cent. Population projections are estimates of the future size, distribution and characteristics of the population.

While Warrnambool still retains the title as the region’s fastest-growing municipality, Glenelg, Corangamite and Southern Grampians will all shed residents.

Warrnambool City Council director of city growth Andrew Paton said the concentration of population growth across the Great South Coast region was forecast to occur in the city.

“This forecast further validates Warrnambool's role as the regional centre of south-west Victoria,” he said.

“The forecast growth of circa 300 new residents annually to our city is consistent with council's strategic planning for long-term sustainable growth.”

He said Warrnambool was well positioned to manage the forecast levels of growth, with more than 25 years of zoned residential and industrial land supply available.

“Our regional economy has immediate challenges such as recent events in the dairy industry,” Mr Paton said.

“These forecasts are a 20-year projection and population growth does not occur without associated job creation. New jobs must build on our existing strengths across sectors such as agribusiness, tourism, and health and education provision but also jobs of the future as markets change and digital disruption challenges existing business models.

“These forecasts reflect the consistent and sustainable growth levels of our city and that Warrnambool will continue to be a great place to grow a career and family.”

Mr Paton joined more than 200 community leaders from across regional and rural Victoria for the inaugural Regional Futures Summit in Bendigo on Thursday.

State government Minister for Regional Development Jaala Pulford said regional Victoria was a great place to live, work and invest.

She said regional migration was a key factor in population growth for regional Victoria.

“(It) is also about working together to ensure that we retain and support our current populations, attract new families, support new business  growth and jobs, and promote the opportunities in our regions,” Ms Pulford said.