21 January 2026
Industry welcomes the state government’s response to the final Queensland Productivity Commission (QPC) Report – but simply ‘noting’ some of the recommendations won’t deliver the pace our sector needs.
Master Builders CEO Paul Bidwell said despite the QPC’s compelling evidence for action to be taken, the sector remained in limbo on several key issues.
“We’d hoped that the state government would accept the recommendation from the QPC to opt-out of the NCC standards related to energy efficiency and accessibility, owing to the net cost to the community,” Mr Bidwell said.
“Our own research tells us that making these changes voluntary, as the QPC recommended, would save around $44,000 per home, helping unlock stalled projects during the housing crisis. Instead, the government has hung its hat on progressing technical amendments and industry guidance materials, which, while important, fall well short of fixing the problem.
“All the evidence supports an opt-out – the government just needs to act on it.”
Industry had also called for the government to scrap Project Trust Accounts (PTAs) – another barrier to the delivery of new homes via increased cost and complexity, without protecting payment security for subcontractors if a business goes bust.
“Again, the government has ‘noted’ the QPC’s recommendation that if it can’t be demonstrated that the benefits of the framework outweigh its costs, the framework should be removed. We have already applauded government when they put a pause on the further rollout of PTAs – and while government has stopped short of dispensing with them, we’re keen to continue working together towards an effective and fair security of payment system,” Mr Bidwell said.
The QPC recommended further improvements to building regulation could be found in removing reporting obligations for all Minimum Financial Requirements (MFRs), taking a risk-based approach, and investigating whether alternative models could achieve similar objectives at a lower cost to community.
“We’ve already welcomed the state government’s removal of MFR reporting obligations for some 50,000 licensees, but its in principle support amounts to another review being done, instead of action now,” Mr Bidwell said.
“There have been earlier wins – the scrapping of Best Practice Industry Conditions, a trimmed Queensland Procurement Policy cutting red tape for small business, the modernisation of the QBCC, plus the CFMEU inquiry and the work of the union Administrator – all key to restoring productivity.
“The pipeline is unprecedented – $18.5 bn in hospitals, $800m in new schools, the $7.1 billion funding envelope for the 2032 Games delivery program – plus the government target of 50,000 new homes every year. The scale of what’s coming demands a system that’s fit for purpose.
“It’s encouraging the government agrees with the QPC that it needs to do more to increase the number of skilled workers to deliver this pipeline, including greater support for apprentices, making it easier for licensed interstate workers to get on the tools in Queensland, and increasing the number of skilled workers coming in from overseas.
“In the words of the QPC, there are solutions, there are no silver bullets, and it will take a concerted effort to improve the industry.
“It’s time to get on with delivering all the possible reforms already identified to lift productivity, reduce costs, and get new homes out of the ground. Industry will continue to work with government to make it happen.”
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