Development
and Housing Set To Boost Employment in Victoria
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Tony
De Domenico Executive Director UDIA Victoria |
The
Urban Development Institute of Australia (Victoria) today said the increased building
activity in Victoria will boost employment and confidence in the Victorian economy.
Tony De Domenico,
Executive Director of UDIA Victoria said, "In Victoria alone the development
industry directly employs around 310,000 full time employees, contributes around
12 per cent of the state's gross product and contributes $4.6 billion in taxes
to all tiers of government."
Mr. De Domenico said
the sheer size of the property industry means any significant shift in activity
will have a strong impact in many other areas of the economy, especially where
people are moving onto new estates as once the homes are built there is
a demand for furniture, white goods and local services.
"With low interest
rates home buyers are now entering the market at a time in Victoria where the
housing market is continuing to be stimulated by the Victorian population growth
forecast at 1.7 per cent being driven by a high birth rate and high net
migration.*
"The market
for new homes is also being stimulated by the Victorian Government's policy of
directing first home buyer grants to people buying new homes, the lowering of
stamp duty proposals and cutting red tape to reduce costs in delivering housing."
Mr. De Domenico said
that one of the biggest factors in the resurgence of the Victorian and national
property market was the Federal Election which ended an era of uncertainty for
both the development industry and Australian home buyers.
"The development
industry in Victoria and nationally is one of the major economic levers that the
State and Federal Governments can encourage to lift and sustain employment. It
is vital to maintain the reform of the industry and the cutting of red tape in
the planning and building regulations to remove unnecessary duplication.
"The new changes
now to be implemented by the Abbott Government importantly with the co-operation
of all State Governments will clear away the uncertainty in seeking and complying
with environmental requirements.
"This is a major
win for the community and the industry which should see an end to projects being
held in limbo for up to several years stuck in the bureaucratic maze at a time
when people need jobs and there is population and economic pressure to lift the
supply of affordable housing."
Mr. De Domenico said
the UDIA expected to see strong growth of housing activity in regional and country
areas throughout Victoria with a new consumer confidence especially around Geelong,
Ballarat and Bendigo.
* Victorian Government
Budget Forecast
Media
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Smith, Corporate Media Communications - Mobile: 0417 329 201
