The construction of new homes is being significantly hindered by elevated taxes and stringent regulations, according to industry leaders. The Home Builders Federation (HBF) stated that substantial tax hikes and a rise in regulatory requirements have collectively increased the cost of building a new home by an average of $76,000.
This escalation in costs has shifted the primary challenge for smaller housebuilders from planning delays to 'development viability.' The HBF has urged the government to address these mounting pressures. The organization highlighted that the combined burden of regulatory expenses, taxes, and developer contributions is increasingly making new housing schemes unfeasible.