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“No where else in the economy is feeling the productivity drain of excessive and poorly considered regulation quite like the residential construction industry,” said Simon Croft, Chief Executive Industry & Policy.
“At a time when the nation desperately needs more homes, the industry is being constrained by red tape across all tiers of government.
“In acknowledging decades of falling productivity in the construction sector, the Productivity Commission recently called out the complicated and slow approval processes for building, the volume of regulation, barriers to uptake of innovation including modern methods of construction and inconsistent licensing regimes.
“A recent survey of HIA’s small business members revealed that 56% of respondents has either taken on new staff or redeployed existing staff, to deal with administrative or regulatory tasks over the past twelve months.
“These are all resources that should be applied to actual construction work, rather than paperwork.
“HIA has raised concerns about the burden of regulation on the industry in a recent Federal Pre-Budget Submission, and posed solutions to increase productivity and efficiency in building, including:
“Demand for new housing is strong, but rising costs, skills shortages, complex regulations, and planning delays are making it increasingly difficult for builders to keep up, which threatens the ambitious housing target agreed by national cabinet of 1.2 million homes by 2029.
“We welcome the chance to talk to all decision makers in Canberra about the challenges being faced by the industry, and look forward to contributing further to the discussion,” concluded Mr Croft.
With Easter coming up it is time for an update on fuel price related cost increases, the proposed minimum financial requirements, and also some enforcement activity by WorkSafe.
Tasmania can deliver both the Macquarie Point Stadium and the homes the community urgently needs, but only if government adopts a clear and coordinated construction workforce strategy, according to the Housing Industry Association (HIA).
“New house building approvals were relatively steady in February 2026 at 9,950, the second highest monthly volume in over three years,” stated HIA Senior Economist Tom Devitt.
Proposed changes to negative gearing and capital gains tax would worsen Australia’s rental crisis by reducing the supply of housing and putting upward pressure on weekly rents, Housing Industry Association (HIA) Managing Director Jocelyn Martin said today.