The outlook for building work in Australia
With Tim Woods of IndustryEdge, November 2022
As building approvals fall, everyone worries over the future. In this analysis, we examine how much work is in the supply chain and find that its time for planning, not panic!
In the previous edition of Trussted Insight, one of the headlines was ‘Pipeline of work has peaked’. That was wrong. Latest data shows us that far from having peaked, the pipeline of building work still to be done actually grew in the June quarter. At the end of June, there were 104,228 houses still to be built. Astounding.
Now, its true the pipeline of work on free-standing houses (that means they have been started but not finished) only grew by 925 houses over the quarter. But how was that possible, when approvals had fallen over the same period?
There are two main reasons.