Economic growth hinges on strong property industry

Economic growth hinges on strong property industryToday’s National Accounts underscore the central importance of a strong property industry if Australia’s economy is to continue to grow, and make the case for reforms that will unlock more investment and job creation.Property is already Australia’s biggest industry, contributing more to GDP than any other and directly employing 1.1 million people.Property Council of Australia Chief Executive Ken Morrison said the property industry has the potential to deliver the economic gains the nation needs, but reforms are needed to realise that potential.”The property industry, both residential and commercial, has underpinned economic growth but there is absolutely no room for complacency,” Mr Morrison said.”We are starting to see some fluctuations in key building and construction data, which should serve as a warning to policy makers.”Long overdue reforms, such as the removal of our worst taxes like stamp duty, must be implemented to allow the property industry to deliver the economic gains the nation needs.”Governments need to get serious about improving planning and increasing the productivity of our cities, given that Australia is one of the most urbanised countries in the world.”It is imperative that we maintain a high level of activity, particularly in the residential sector, because new supply is critically important if we are to improve housing affordability.”Building approvals act as an early warning system – given the lag between approvals and completions, any drop off will be magnified when it comes to handing over the keys to new homes.”Let’s not rest on our laurels but work together to accelerate the necessary reform processes to build a secure economic future for all Australians.”