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“Tasmania’s current land supply settings had not demonstrated the capacity to deliver sufficient subdivision activity, investment or construction at the scale required.
“The reality is simple: the level of land currently available has not translated into enough new lots, enough development, or enough new homes. Expanding the UGB gives developers, councils and infrastructure providers options – and options are essential if we are serious about delivering homes for Tasmanians.
“Years of constrained and inconsistent land release had contributed to rising prices, delays, and a growing gap between demand for homes and the number of new dwellings being brought to market,” Mr Heckel said.
“Tasmania is experiencing real and ongoing housing pressures. We cannot improve affordability or meet demand without increasing the pipeline of land suitable for development.
“Unlocking more land is not just helpful – it is essential.”
Concerns raised about the potential for ‘oversupply’ do not reflect the experience of Tasmanian families competing for scarce housing opportunities, nor the challenges faced by builders seeking to maintain a steady workflow.
Recent ABS figures reveal that Tasmania is currently building less than half the homes required to meet its commitments under the National Housing Accord.
“For people trying to buy a home, or even find a rental, the idea of a housing ‘glut’ simply doesn’t match reality. Tasmania has thousands of people in need of suitable housing, and the building industry has been hampered by a lack of land coming forward. Increasing supply is the only sustainable path forward,” said Mr Heckel.
Mr Heckel said the message from the industry is clear: “More land means more lots, more investment and more homes. That’s what Tasmania needs, and that’s what this decision helps deliver.”
Housing Industry Association (HIA) Industry Outlook Breakfast in Newcastle and Gosford have highlighted the critical role of infrastructure, planning reform and industry support in addressing housing supply challenges across the Hunter and Central Coast regions.
The Housing Industry Association (HIA) is calling on all political parties contesting the November State election to make regional housing a priority, placing regional communities and their growing populations front and centre of their pre-election policy commitments.
“HIA welcomes the initiatives to support new housing announced by the Treasurer as part of today’s NSW State Budget,” said Brad Armitage HIA NSW Executive Director.
On 1 July 2026, builders will receive a 9% increase to eligibility and job profile limits for building indemnity insurance. These changes are designed to keep up with rising construction costs and are a welcome change for the industry. This is one update you don't want to overlook - keep reading to find out if you are eligible, or what you can do to opt-out.