The Housing Industry Association (HIA) has called for a major overhaul of Australia’s National Construction Code (NCC), warning that a regulatory maze of red tape is stifling the delivery of new homes and damaging housing affordability.
In a submission to the Streamlining and Modernising the NCC consultation, the HIA called for a comprehensive reset of the code. The industry body revealed that the NCC has ballooned to eight times its original length and now references nearly twice as many supporting standards as it did at its inception.
HIA Executive Director of Building Policy, Shane Keating, argued that what began as a focused technical manual for structural integrity and fire safety has transformed into an unwieldy policy instrument.
“Over decades, the NCC has grown layer upon layer of new objectives and requirements. What began as a technical code focused on issues like structural integrity and fire safety has expanded into a much broader policy tool,” said Keating.
“Many of these changes are well-intentioned, but the cumulative impact and their interaction have added complexity and cost to new homes.”
He noted that while many regulatory additions were well-intentioned, their cumulative impact has created a system that actively works against the national target of delivering 1.2 million new homes.
The HIA submission outlines several radical changes to boost productivity and reduce costs, including a five-year amendment cycle to provide industry stability, replacing more frequent updates.
The HIA also recommended free access to all Australian Standards referenced within the code to reduce financial overheads for small builders and clearer pathways for the adoption of AI and modern construction methods.
The association also called for a stronger Australian Building Codes Board with enhanced resources to ensure the NCC functions as a truly national, unified code.
“Housing affordability cannot be an afterthought when developing building regulation, the NCC must return to its core role as a clear, technical minimum standard that ensures safe homes while allowing the industry to deliver housing efficiently and affordably,” Keating said.