HomeBuilder protects tradies' jobs

The federal government’s HomeBuilder program is protecting tradies’ jobs.

A recovery in the number of slabs being poured will be seen as early as the December quarter, says HIA chief economist Tim Reardon.

Data from the Australian Bureau of Statistics’ lending indicators in July showed dwelling finance commitments for owner occupiers had its strongest monthly growth since January 2009, rising by 9.7 per cent.

This is also the largest month-on-month rise in the history of the series.

According to the Housing Institute of Australia, the number of loans issued for the purchase of residential land has also swelled, with a 30 per cent increase for the second month in a row.

“This will protect employment in the residential building industry and across the economy into 2021”, Reardon said.

Figures from September 9 show loan approvals have risen 12 per cent – 6.3 per cent higher than a year ago.

There had been an “encouraging sign” that HomeBuilder is helping strengthen sentiment even in areas is doesn’t directly target, said Master Builders Australia CEO Denita Wawn.

The recent figures display “the highly effective impact of HomeBuilder in activating demand”, she said.