How to resolve AdBlock issue? Stop studying productivity, start delivering it says HIA
THE Business Council of Australia’s latest warning on declining productivity should be a catalyst for governments to move from analysis to action, Housing Industry Association (HIA) managing director Jocelyn Martin said today.
“The Productivity Commission has identified the challenges. The Business Council has reinforced them. The Senate Cost of Living Inquiry highlighted them. The Senate Housing Productivity Inquiry highlighted them," Ms Martin said.
“The evidence is now overwhelming. The challenge is no longer identifying the problem. The challenge is whether governments are prepared to act.”
Ms Martin said housing was one of the clearest examples of how declining productivity, excessive regulation and poor policy settings were undermining economic growth and living standards.
“HIA forecasts continue to show Australia will fall well short of the 1.2 million homes target," Ms Martin said.
“The barriers are not a mystery. They include planning delays, workforce shortages, infrastructure constraints, excessive regulation and declining project feasibility.
“You cannot regulate or tax your way to higher housing supply.”
Ms Martin said governments should respond with measurable productivity and red tape reduction targets.
“The Business Council’s proposal to reduce the cost of red tape by 25 per cent by 2030 deserves serious consideration," Ms Martin said.
“Governments set targets for housing delivery, emissions reduction and budget outcomes.
“They should also set targets for reducing regulatory burden and publicly report on their progress.”
HIA is calling for a practical productivity reform agenda that includes:
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A national red tape reduction target.
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A one-in, two-out approach for new regulation.
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A mandatory small business test for all new regulatory proposals.
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Greater accountability for regulators and rule-makers to consider productivity, investment, housing supply and economic growth impacts.
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Greater use of Artificial Intelligence to simplify regulation, improve transparency and accelerate approvals.
“AI presents a significant opportunity to improve the way government operates," Ms Martin said.
“We should be using technology to reduce bureaucracy, improve transparency and streamline approvals, not simply digitise inefficient processes.
“Builders should spend more time building homes and less time navigating unnecessary administrative complexity.”
Ms Martin said productivity reform ultimately comes down to making it easier for businesses to invest, employ people and grow.
“If Australia wants more homes, stronger economic growth and higher living standards, governments need to move beyond acknowledging the productivity challenge and start delivering reform.
“We don’t need more evidence.
“We need targets, accountability and action,” Ms Martin said.
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