Building industry

PHOTO: Some builders were forced to walk off the job earlier in the year because they had no materials. Getty Images

Pressure is mounting on the building sector, which is grappling with big losses and costs from delays and rising costs.

A new survey by the Registered Master Builders found that 95 percent reported issues with delays, increased costs, customer complaints and product substitutions due to a lack of building materials.

That’s on top of the growing difficulty in getting staff, and rising mental toll it’s taking on the industry.

Master Builders chief executive David Kelly said more than half report waiting longer for consents and inspections, which is costing the economy tens of millions.

“If every one of our members’ building projects is delayed by even one week, collectively our members and homeowners are incurring almost $100 million per annum in lost profits and extra costs.

“This is a phenomenal number, especially when you consider that just a one week delay is very conservative. This is a key part of our productivity conundrum and will be a key focus for the forum this year,” he said.

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