Residential construction drives jobs

New data shows the value of residential construction in driving jobs and economic growth and underlines risks attached to policy shifts which hit the industry.

The Property Council has welcomed ABS figures on residential construction work which shows a 5.7 percent increase in the 12 months to March 2016.

It has now reached $16.5 billion – a new record high in seasonal terms.

“Residential construction is one of the few bright spots in the economy,” said Glenn Byres, the Property Council’s Chief of Policy and Housing.

“Every home built creates 40 jobs – tradies, electricians, plumbers and other jobs dependent on strong housing markets.

“We need to keep a strong and sustained pipeline of residential construction in place to both close the affordability gap and keep churning out jobs.

“That is why risky policy changes like cuts to negative gearing represent a threat to housing markets and our broader economic trajectory.

“We will however also need to keep a track on these numbers going forward as changes to project and purchase lending practices could constrain future growth.”

Media contact:  Paul Ritchie |  E [email protected]