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Population growth tipped to bolster Victoria's economy

Market insights 6 days ago Read time: 2 minutes

Outlined in a 'Roadmap to Recovery' delivered to the state government last week – the UDIA Victoria is urging the Andrews Government to stimulate the building, development and construction industry.

Highlighting the ways in which the sector is ready and willing to deliver results for the state, the UDIA assert that stimulating the industry will effectively 'reboot' Victoria's economy. 

In previous weeks, the UDIA joined forces with other peak bodies and unions to send the Premier of Victoria and the Crisis Council of Cabinet an important strategy for the building, development and construction industry to return to full capacity as soon as possible – as well as presented the government with a letter urging them to re-open the sector.

The 'Roadmap to Recovery' advises making the most of Victoria's continued population growth in order to reinvigorate the economy. 
 

The suggested stimulus measures include:

Incentivise new homebuyers to get into the market:
State Government stimulus measures and incentive packages would encourage people to buy a new home in Victoria, which is critical to broader economic activity – including supporting jobs, retail spending and tax revenue. 

Activate new development 
Revolutionise Victoria's planning and development approval systems to lock in job-creating projects and investment, keeping up to 30,000 Victorians employed in the building, development and construction industry

Tax reform
19-34 percent of a local homebuyer's purchase price is government taxes and charge. The 'Roadmap to Recovery' suggests tax adjustments to make housing affordable and ensure Victoria stays competitive.  

Make Victoria the Homebuyer State
The roadmap asserts that population growth is the engine room of the state's economy, and positioning Victoria as a great place to live is vital. 
 

The UDIA believes that stimulating urban development will reboot Victoria's economy, which has been shaken by the harsh lockdown measures. 

"Population growth is the engine room of Victoria's economy," they explain, "to reboot Victoria, we must elevate our position as an attractive place to live, work and invest. It all starts with encouraging people to put down roots here, so let's work together to make Victoria the Homebuyer State."

 

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