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The Housing Industry Association (HIA) has released a report that warns that trade shortages present a significant threat to achieving the Housing Accord’s target of building 1.2 million homes over the next five years.
Australia does not currently have enough tradies to build the number of homes needed to house the population and take pressure off housing costs. The report titled All Hands on Deck presents a plan to grow the construction workforce and enable the Housing Accord target to be achieved.
“The residential building industry currently employs approximately 278,000 tradies across the twelve key trade occupations required for home building. The trades workforce needs to grow by at least 30 per cent to meet the Accord’s goals. That is over 83,000 additional tradies.
“To achieve the target, an average of 240,000 homes must be built annually—a level that has only been approached twice in Australia’s history.
“This means a significant boost in the number of chippies, sparkies, plumbers, brickies and concreters, to get these much-needed homes out of the ground and to lock up.
“Despite efforts to boost the domestic trades workforce, significant challenges remain. Creating career opportunities for the local workforce should be a priority, however this alone will not solve to the tradie shortage.
“Skilled migration is the other key lever that the government can pull in the short term to address the immediate shortage of tradies.
“The time for business as usual solutions has passed, and we need ‘all hands on deck’ and coordinated government actions to address the chronic shortage of tradies,” concluded Mr Murray.
P: 02 6245 1379
M: 0438 103 651
E: g.murray@hia.com.au
In mid-June 2025, the NSW Premier released the Housing and Productivity Contribution (HPC) Works-in-Kind Guideline for public consultation.
Today the State Government announced proposed changes to the regulatory powers to investigate registered builders who may be unable to meet the financial requirements of registration. The announcement also included a long-awaited review of the Home Building Contracts Act 1991 (HBCA) and associated laws.
Housing Industry Association welcomes today’s announcement by the Cook Labor Government to review key aspects of the home building contracts legislation and provide the building regulator with additional powers to work with builders in distress.
“Two cuts to the cash rate have seen the volume of detached house building approvals rise to be 3.2 per cent higher than the same month last year,” stated HIA Senior Economist Tom Devitt.