The first dark clouds for the housing construction industry, which will impact the whole of Australia, can be avoided if government acts quickly says Urban Development Institute of Australia.
With the trend in key metrics showing the housing industry is heading into decline, UDIA’s update to its 2022 national policy strategy, Resilience| Recovery| Reform, (Link to report) released today and which incorporates Federal Election outcomes and recent housing market changes, presents a suite of practical initiatives that can be used to continue Australia’s remarkable economic recovery whilst simultaneously tackling the ever-growing challenging issue of housing supply and affordability.
“Now more than ever, we need real solutions to maintain a strong economy, deliver new housing and underpin vital construction jobs. Our recommendations to boost supply and productivity can ensure there is a home for all Australians across the housing spectrum,” said Maxwell Shifman, UDIA National President.
“Streamlining administration, removing excessive planning delays and freeing up enabling infrastructure to deliver development ready land are relatively simple and inexpensive. The economic benefits of such measures outweigh any extra investment by orders of magnitude,” said Maxwell Shifman.
To underpin Australia’s recovery UDIA calls on Australian political leadership to adopt the six UDIA policy strategies:
- A Home for Everyone – Deliver incentives for greater housing supply, development-ready land, choice and affordability across the spectrum.
- Population for Prosperity – Accelerate immigration, fast track closing the pandemic skills gap and plan growth.
- Infrastructure for More Liveable Communities – Overhaul planning, funding and delivery of enabling infrastructure linked to better outcomes that grow cities and housing supply.
- Make Planning Systems Work More Effectively – Incentivise better planning and productivity reforms by the States for efficient delivery of cities and housing.
- Streamline Environmental Approvals – Starting with the recently proposed, single point of contact system to improve the administration of the Environment Protection and Biodiversity Conservation (EPBC) Act.
- Keep Capacity & Create Efficiency – Keep credit available with smart lending practices, deliver housing initiatives that balance supply and develop broad based tax reform including incentivising increased stamp duty thresholds to bring down costs for median priced houses.
The development and construction industry is an essential plank of the economy, delivering $360 billion in economic output, supporting 1.156 million jobs and generating some 9% of Australia’s GDP in the last year. Every dollar invested generates $2.90 in the wider economy and supports 40+ other business sectors.
“Our industry can not only pull the economy into the next phase of growth, but it can also deliver the increased supply and housing needed to mitigate a spiraling affordability crisis across Australia. UDIA looks forward to working with Australia’s political leadership to shape Australia’s ongoing prosperity,” said Maxwell Shifman.
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Media Enquiries: Deanna Lane, UDIA National Media & Communications Manager media@udia.com.au 0416 295 898