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{{propApi.successMessage}} {{region}} Change locationFresh wave of 1 July changes to add further pressures on small businesses
Fresh wave of 1 July changes to add further pressures on small businesses
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These changes include increases to the minimum wage, the introduction and expansion of anti money laundering obligations, Payday super, taxation changes, new environmental regulatory frameworks, enhancements to paid parental leave, and higher business name and company registration fees.
“The Housing Industry Association (HIA) warns that while each reform may be well-intentioned in isolation, their cumulative impact risks dampening productivity growth, increasing compliance burdens, and constraining business investment at a critical time for the economy.
“The breadth of changes taking effect simultaneously means businesses must adapt across multiple fronts from workforce costs and financial compliance to environmental approvals and administrative obligations.
“It’s the layering effect acting simultaneously, which results in businesses diverting time, capital, and effort away from productive activity.
“The growing regulatory burden is also undermining efforts to meet Australia’s housing supply targets. We are now two years into the National Housing Accord, and with each month that passes, the target of 1.2 million new homes is drifting further out of reach.
“The compounding nature of these reforms are making the task harder for builders to get on site and build the homes Australians need. Instead of focusing on delivery, too many are being forced to navigate a continually changing regulatory landscape.
“With national productivity growth already subdued, the added administrative and compliance requirements risk further constraining output across the building sector.
“Small and medium enterprises across the building industry are particularly exposed, often lacking the internal resources to efficiently respond to simultaneous reforms.
“For many builders and trades, these changes translate directly into higher project costs, longer timelines, and reduced capacity to deliver housing.
“HIA is calling for governments to adopt a more coordinated, whole-of-system approach to reform design and implementation, which includes better sequencing of reforms to avoid regulatory overlap, greater assessment of cumulative impacts on business and transitional pathways to support compliance.
“We need a regulatory environment that supports productivity and enables businesses to get on site, build efficiently, and deliver the homes Australians need.
“Australia’s housing supply challenge cannot be solved if the industry is constantly adjusting to overlapping policy changes. Getting the balance right is essential to ensuring businesses can focus on what matters most - building more homes, faster,” concluded Mr Croft.
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