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Victorian Opposition plan to implement planning reforms and scrap fee rises

Media release

Victorian Opposition plan to implement planning reforms and scrap fee rises

Media release
Victoria’s peak housing body, the Housing Industry Association has welcomed the announcement by the Victorian Opposition today that if elected at November’s state election, it will move quickly to implement planning reforms shelved earlier this year and repeal large building registration fee increases imposed by the Victorian Government.

In February 2022, the Victorian Building Authority had announced building registration fee rises of up to 200% for companies and 40% for individuals – effective from this week.

“The decision by the Victorian Government to withdraw the planning reforms when it decided to not go ahead with the social housing tax was disappointing. The planning reforms had the potential to not only remove unnecessary regulatory burdens in the planning process but improve the affordability of homes,” said HIA’s Victorian Executive Director, Fiona Nield.

”The building registration fee increases also placed further cost pressures on builders and their customers at a time when home buyers face significant uncertainty over rising interest rates, and builders continue to manage pressures on material supplies and labour costs. 

“In Victoria, 38% of the cost of building a new home is made up taxes and regulatory charges. 

“The delays in introducing long overdue planning reforms and the ill-timed and inappropriate imposition of additional taxes, fees and charges on the residential building industry would seriously damage housing affordability and place additional pressure on the housing industry. 

“Under the current operating environment Victorian home builders are already operating on razor thin margins and are working hard to deliver for their customers. The year ahead will continue to present major financial challenges and these changes would offer valuable relief to many.

“Continued delays and unnecessary expenses in the planning process and further cost burdens only make this situation worse and the announcement from the Opposition today that it would introduce the planning reforms and repeal the fee increases is sensible and positive,” Ms Nield said.

For more information:

Fiona Nield

Regional Executive Director - Victoria

Joe Shanahan

Manager, Media and Government Relations
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