Home building falls to almost 30 per cent below Government's target
Australia built 197,340 homes in the 12 months to March, nearly 30% below the government's 240,000-per-year target needed to reach 1.2 million new homes.
197,340 new homes commenced in the 12 months to March, against the 240,000 annual target needed to hit 1.2 million homes.
How far behind is Australia on its 1.2 million homes target and what does it mean for tradies?
Builders and allied trades face ongoing uncertainty as the construction shortfall signals weaker forward work pipelines for building, carpentry, plumbing and electrical contractors.
Key takeaways
- Only 197,340 homes started construction in the year to March, well short of the 240,000 annual target.
- The shortfall is nearly 30% below what's needed to meet the government's 1.2 million homes goal.
- Fewer housing starts means less forward work for builders, plumbers, electricians and other trades.
- The data comes from HIA's Senior Economist, signalling ongoing pressure on housing supply targets.
Related
Construction needs an effective enforcer not a paperwork obsession
The Housing Industry Association (HIA) warns that proposed national construction standards and new procurement rules miss the mark. It says the measures land hardest on home builders and argues for an effective enforcer rather than more paperwork.
Why it matters: Home builders and small residential contractors could face extra compliance paperwork and procurement requirements, adding admin time and cost to jobs without necessarily lifting building quality.
Potential Commonwealth Standards for the Construction Industry
The Housing Industry Association (HIA) says it backs a lawful, safe, productive and sustainable construction industry and has long called for structural reform. It says the consultation on potential Commonwealth standards proposes several measures it is concerned about.
Why it matters: Commonwealth standards could add new compliance requirements for builders and subcontractors across residential construction. The article gives no detail yet, so the practical impact on trades is unclear.
Secure Australian Jobs Framework
The article argues that residential building and its supply chains should be exempt from the Secure Australian Jobs Framework and any related procurement obligations. It says government effort should go towards improving productivity instead.
Why it matters: Builders and the trades working in residential construction could avoid extra procurement obligations and compliance work if the exemption is granted. Otherwise, supply chain and tendering requirements may change.