Kevin Sampath’s Post

View profile for Kevin Sampath

Finance Leader (CA) | Helping You Understand Numbers and Business | Finance x Data x Ops Guy

🚨 Housing Supply Crisis or Immigration Problem? 🚨 After reading the NSW Productivity & Equality Commission's report on housing supply barriers, I couldn’t help but reflect on Matt Barrie’s keynote. It feels like the real issue isn't just about housing supply. Shouldn't we be asking bigger questions, like how our immigration intake is affecting supply? 🤔 These were my key takes from the report... 1) Barriers the Government Needs to Address: - Labor shortages: NSW needs about 30,000 more construction workers to hit targets, and yet, labor costs are skyrocketing. Shouldn’t immigration be fixing this? Barrie’s “Put Another Aussie on the Barbie” keynote explains why it’s not. 🏗️👷♂️ - Planning and regulatory delays: Bottlenecks in the development assessment process and endless regulatory requirements add delays and costs. Are our local & state governments getting in their own way? 🏛️⏳ - Construction costs: Materials like steel and timber are pricier than ever, and land acquisition is a huge hurdle. How can we drive these costs down? 💸 2) Key recommendations from the report 📊🏠 A) Free up construction capacity 🏗️: - Prioritize capital spending to free up construction sector capacity, especially by sequencing infrastructure spending that supports rapid home delivery. 💸 - Remove barriers to density in feasible areas well-serviced by infrastructure. 🚆 - Fast-track requests to add extra floors to existing Development Approvals (DAs). 📈 - Resolve post-consent requirements delaying approved projects. ⏳ B) CONTROVERSIAL: Be sparing with subsidies for developers 💥: - Avoid excessive tax breaks and subsidies for developers, focusing financial assistance on targeted relief for people in housing stress. 💡🏘️ C) Streamline the development process ⚙️: - Develop concierge and clearinghouse functions to rapidly resolve bottlenecks in the development assessment process. 🚀 - Expand exempt and complying development to reduce minor DAs and free up resources for significant applications. 🔄 D) Create a pro-housing regulatory environment 🏙️: - Relax design-related requirements in the Apartment Design Guide (e.g., car parking, solar access, and minimum apartment size) to improve feasibility. 🏗️📐 - Restrict the use of design panels and competitions unless they deliver clear benefits. 🎨 E) Help the construction sector deliver 👷♂️👩🔧: - Shift migration intake to better support construction needs and improve recognition of overseas qualifications. 🌍👨🔧 - Promote construction careers and training for workers to address labor shortages. 🎓🛠️ What are your thoughts on the report? I think it's a positive step that the government is actively reviewing and addressing these issues, so kudos to them for taking action! 👏

View profile for Peter Achterstraat AM FAICD(Life)

NSW Productivity and Equality Commissioner

In June, the Premier asked me to undertake a rapid review into housing construction and recommend ways to increase housing completions as we work towards building 377,000 new homes by July 2029.   I am pleased to share with you the NSW Productivity and Equality Commission’s final report, Review of housing supply challenges and policy options for New South Wales, released today which sets out 32 practical recommendations to support homebuilding in New South Wales now and into the future.   The recommendations cover four key areas: * Freeing up construction capacity to build more homes * Streamlining the development process * Bringing more people into the construction sector * Ensuring a diverse and equitable supply of new homes.   As difficult as conditions are right now, there’s plenty we can do to build more now and in the future to make New South Wales ‘The Housing State’.   Read our report: https://lnkd.in/grzwJBSJ

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