ABS Building Approvals original data released today show 257 homes were approved in the ACT in July, down from 387 approvals in June, a decline of 33.6 per cent, the sharpest drop nationwide.
Property Council ACT & Capital Region Executive Director Ashlee Berry said monthly results can be volatile, but the July figures reinforce the need for a stronger and more consistent approvals pipeline.
“Monthly approval numbers will rise and fall, but the direction of travel matters. We need a stronger and more reliable pipeline if we are going to convert housing demand into completed homes.”
Ms Berry said stronger long-term outcomes depend on maintaining approval levels and improving project feasibility.
“The Territory has made important progress through planning reform, missing middle housing reforms and changes designed to support housing supply, but approvals are only the beginning of the process.”
“What matters is whether projects can move into construction and then through to completion.”
Ms Berry said feasibility remains the biggest constraint on housing delivery.
“Construction costs, financing conditions, taxes, charges and approval delays all influence whether projects proceed. We need policy settings that support investment and help approved projects get out of the ground.
“At a time when approvals are falling, the priority should be improving feasibility and accelerating delivery, not adding new costs or red tape to housing projects. This is not the time to be making it harder to build homes,” she said.
Ms Berry said planning performance remains an important part of the equation.
“We have been clear that faster, more consistent approval pathways help reduce costs and improve confidence for investment.
“The challenge for the final three years of the Housing Accord is maintaining a strong project pipeline while making sure approved developments are financially viable and able to proceed.”
“If we want more homes on the ground, we need more projects moving from approval to construction,” she said.
