Today’s Australian Bureau of Statistics’ announcement of a 0.3% monthly fall in Building Approvals in February (seasonally adjusted) is a timely reminder of the challenges facing delivery of new housing supply.
The latest monthly decrease in building approvals is a sign that the ongoing shortages in development ready land, construction materials, and skilled workers is still holding back the delivery of much needed housing.
“In order to achieve anything close to the National Accord Housing targets, a continuing concerted focus is needed from Australia’s political leadership to ramp up housing supply and keep housing affordability in check,” said Col Dutton, UDIA National President.
Detached house approvals decreased by 0.2% to 9,321 however multi-unit approvals, fell 0.9% to 7,285 which provides further demonstration of the challenges being felt by multi-dwelling developers across the nation.
Building approvals figures provide an insight into how the construction industry is fairing. It is a bellwether on the immediate health of the economy and an insight into what we need to keep productivity on track.
The overall fall in building approvals, indicates that although industry is at capacity, there is difficulty finding new housing projects and making them stack up despite ongoing housing demand.
“As part of our UDIA Federal Election Policy, “Fast Track Housing Delivery”, implementing initiatives that deliver more housing, boost delivery of enabling infrastructure, drive skilled labour and provide upfront incentives to unlock supply lines, are becoming critical,” said Col Dutton.
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Media Enquiries:
Deanna Lane | Director, National Media & Communications | 0416 295 898 | media@udia.com.au