The latest Australian Bureau of Statistics (ABS) data on construction work done for March 2019 indicates a drop in New South Wales says the Urban Taskforce.
“The ABS data on residential construction work done in NSW shows a drop of $586,505,000 between September 2018 and March 2019.” Says Chris Johnson Urban Taskforce CEO “The September 2018 high point for NSW residential construction was $7,029,105,000 seasonally adjusted but this dropped six months later to $6,442,600,000 in March 2019. This is a worrying trend on top of the big slowdown on housing approvals in NSW over the last year. The impact will be on the 300,000 jobs that the residential development sector generates with a potential for jobs to be lost.”
“Offsetting this negative trend is the greater confidence in the development industry that has come with the re-election of the Morrison Government that has averted changes to negative gearing and capital gains tax deductions. On a per capita basis Victoria is constructing more residential buildings at $891 per person in March 2019. This compares with $777 per person in New South Wales, $605 in Queensland and $525 in Western Australia.”
“On the non-residential sector New South Wales is ahead with $2,786,372,000 compared to Victoria at $2,463,888,000.”
“The Urban Taskforce is concerned that while there are positive signs for the residential housing sector at the national level there are still concerns at the New South Wales level and particularly at the Sydney level. Hopefully the NSW Government will follow the federal leads to lift confidence in the industry.”
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