NSW budget gives boost to new home building, addressing housing and skills shortages, say Master Builders
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The NSW budget has provided a much-needed boost to help alleviate supply barriers in new home building, according to Brian Seidler, Executive Director of the Master Builders Association of NSW.
“Treasurer Daniel Mookhey has rightly put housing at the centre of the budget and recognised that until we build the homes and infrastructure NSW so desperately needs, we will struggle to combat broader economic and cost of living challenges,” Mr Seidler said.
He welcomed measures to speed up the delivery of development approvals, which will play a significant role in reducing build costs caused by delays in planning approvals. The budget also includes a record investment for social and affordable housing and the release of government land for government and private home building.
However, Mr Seidler noted that higher density construction, which will be key to achieving housing targets, has seen construction times blow out from an average of 22 months to over 30 months over the last decade due to labour shortages, low productivity, and delays in approvals like occupation certificates.
“Building and construction businesses have been struggling with rising operating costs and increasing project risks for several years now, with a significant number tipping over the edge,” he said, emphasizing the importance of a strong building and construction industry for the economy.
Mr Seidler also welcomed additional places for fee-free training targeted at increasing construction apprenticeships, as workforce shortages remain one of the biggest handbrakes on the industry. He called for better support for vocational education and training providers outside of TAFE, as signalled by the Federal Government.
The budget also includes additional investment in transport and education projects, which Mr Seidler said is crucial to support growing communities as more homes are built.
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Finally, he welcomed additional funding for the NSW Building Commission to enforce rules and stamp out bad building practices, ensuring projects are built to the high standard the community expects.