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{{propApi.successMessage}} {{region}} Change locationLabour shortages continue to slow homebuilding
Labour shortages continue to slow homebuilding
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The ABS today released its building activity data for the September Quarter 2022. This data provides estimates of the value of building work and number of dwellings commenced, completed and under construction, across Australia and its states and territories.
“There were only 29,153 detached houses completed in the September Quarter 2022, just 2.5 per cent up on the same time the previous year. The number of homes reaching completion remains no higher than those being commenced with 29,177 new projects started in in the September quarter,” added Mr Devitt.
“Supply constraints were holding back completion of these projects. Materials constraints have plagued builders over the last two years, but the shortage of skilled trades is the number one constraint on Australian builders.
“Over 104,000 houses are still under construction across Australia, almost double the pipeline that existed in mid-2020.
“New house commencements continued to decline in the September quarter with a further 4.9 per cent fall. Commencements peaked in the previous cycle in mid-2021 and are expected to continue to decline into 2024.
“The volume of houses under construction is expected to keep Australia’s home builders busy this year, despite the slowdown in the number of homes expected to commence construction.
“In addition to this, the volume of multi-unit dwellings under construction continues to grow as commencements exceeded completions over the 18 months to September 2022.
“The multi-units sector should continue to be supported by the return of overseas migrants, students and tourists and the incredibly tight rental markets across the country.
“With interest rates increasing rapidly, affordability constraints will push home buyers back towards more affordable, higher density living.
“This large volume of work under construction at the end of 2022 will ensure elevated demand for skilled trades across the economy,” concluded Mr Devitt.
Snapshot of building activity pipeline - Houses
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Amendment NCC 2022 published to align with the Premises Standards
With the delay to decisions on the content of NCC 2025, the ABCB has published a further amendment to the current NCC 2022 which applies from 29 July 2025. The purpose of this minor amendment is to align the NCC with recent changes to the Premises Standards which apply to Class 3 to 9 public buildings, common areas of Class 2 apartment buildings and short-term accommodation
Industry leaders call for free access to Standards to help alleviate costs for small business
“HIA alongside a group of construction leaders and Standards Australia came together today at Parliament House, to present a united front in getting easier access to Australian Standards in the hands of those who need them most,” said HIA Managing Director, Jocelyn Martin.
HIA calls for a comprehensive red tape reduction agenda
HIA has made a comprehensive suite of submissions to the Productivity Commission ahead of the upcoming Treasurer’s Economic Reform Roundtable on 19-21 August.
HIA urges Treasurer to make housing the centrepiece of economic reform
The Housing Industry Association (HIA) is calling on Treasurer Jim Chalmers to put housing at the centre of the upcoming Economic Reform Roundtable.