State Budget fails to hit for building industry

13 June 2023

Master Builders believes the 2023-2024 State Budget is a missed opportunity to provide Queenslanders with measures that will ease the housing crisis.

The industry is continuing to deal with falling dwelling approvals, another interest rate hike and soaring inflation in the midst of a housing crisis.

Master Builders CEO, Paul Bidwell said government had not heeded industry advice and is hell bent on going it alone and introducing changes as part of the National Construction Code (NCC) from 1 October 2023.

“These changes will increase the cost to homeowners wanting to build a home to the tune of $20,000-$30,000, and these increases are on the back of labour and material shortages driving up prices by more than 40 per cent over the last three years,” he said.

Master Builders has been urging the Queensland Government to do more and work together with industry to ensure that spiralling construction costs are managed.

“Given they are not budging on the 1 October implementation date or on providing sufficient exemptions that will help reign in construction costs, the budget was the perfect opportunity to provide some relief to homeowners and offset these costs via a rebate scheme.”

Mr Bidwell said a rebate would help customers offset the increased costs of delivering the changes and help ensure that new housing continues to remain viable.

“The framework is already there – rebates are provided for homeowners via the Household Resilience Program,” he said.

With costs blowing out, the number of new home contracts in Queensland is declining and 1 October will no doubt make this situation even worse at a time when Queenslanders need affordable housing.

“While we welcome the investment in Build to Rent, social housing, hospitals and schools, the community as a whole won’t benefit if we don’t build enough houses to meet demand – further exacerbating the housing crisis.”

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