Opposition Leader John Pesutto has met with leaders of Victoria’s home building industry to consider an urgent action plan in the wake of the collapse of Porter Davis.
Mr Pesutto and senior Liberal frontbenchers met with a number of residential building companies and industry representatives at Parliament House in Melbourne today.
Attendees included representatives from Dennis Group, Boutique ³Ô¹ÏÍøÕ¾s, Lyssna Group, SJD ³Ô¹ÏÍøÕ¾s, Sienna ³Ô¹ÏÍøÕ¾s, Burbank ³Ô¹ÏÍøÕ¾s and Villawood Properties.
The summit comes as work on 1,500 homes in Victoria ground to a halt after Porter Davis was placed into liquidation. Another 200 homes in Queensland also remain unfinished.
“It’s clear that the industry is facing a number of significant challenges in Victoria including rising costs, labour shortages, fixed building contracts and reduced supply,” Mr Pesutto said.
“These challenges are having huge ramifications for thousands of Victorians who will be left without homes or simply priced out of the market.
“The housing construction industry is not only vital to Victoria’s economy but also to realising the home ownership dreams of thousands of Victorians.”
According to ABS data released this week, Victoria’s typical new house cost has surged more than $133,000 since 2021 and the average new home could cost $500,000 to build by the end of the year.
Shadow Minister for ³Ô¹ÏÍøÕ¾ Ownership and Housing Affordability, Jess Wilson, said there were legitimate concerns about the impact of the Government’s Big Build program on the housing industry.
“Victorian home buyers shouldn’t be left with a half built home and nowhere to turn if their builder goes under,” she said.
“Insurance is an important safety net, but we need a sustainable construction sector that isn’t buckling under ever increasing pressures and being crowded out by poor planning under the Government’s Big Build.
“Housing affordability needs a comprehensive plan including appropriate protections for home buyers, supply chain improvements, material and labour cost management.”
The meeting proposed the establishment of a taskforce chaired by Ms Wilson to work with the industry and homeowners to address the urgent and ongoing issues facing the sector.
