The cost of construction seems to be continuing its exponential rise, and attendees at the Property Council’s Construction Crunch event last Friday, 5 May were given a rundown of what they can expect as we continue through 2023.
With the keynote delivered by Robert Sobyra, Head of Policy at the Australian Constructors Association, it became clear that construction supply cannot keep up with demand.
Macroeconomic pressures are still weighing on the sector, yesterday’s news is still today’s news, with the Building Industry Producer Prices Indexes recording a 1.5 per cent increase in prices paid for materials (and 0.5 per cent of this additional cost passed on to clients).
Robert was joined by panellists Simonne Bailey, CEO of Light Project and Jamie Smith, Director at Rider Levett Bucknall for a discussion that was moderated by Gail Black, Partner at Gadens.
The panel discussion was interesting, looking at:
- The macroeconomic factors at play
- The impact of technology
- Sourcing labour
- Interstate migration
- The impact of potential builder insolvency on the industry.
Thank you to our Host Sponsor Gadens for your ongoing industry support.