The official cash rate has gone from 0.35 per cent to 4.35 per cent, and RBA Governor Michele Bullock this week didn\u2019t rule out further interest rate hikes if the inflation problem persists. <\/p>\n
In March 2022 the total value of dwellings in Australia was $10.9 trillion, and in March 2026 the figure now sits at $12.7 trillion. <\/p>\n
The nation\u2019s mean property price over the same time has gone from $930,000 to $1.1 million. <\/p>\n
![\"Chris](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/08\/875dd472b487a10e671ba89e33388a98dc5ce255.jpg\")
Chris Richardson speaks with The Issue. Credit: 7NEWS<\/p>\n
The former Treasury insider, International Monetary Fund consultant and Deloitte economist says the Albanese Government needs to \u201cbully\u201d state governments and councils into approving more developments. <\/p>\n
Arguing residents who oppose new local housing, infrastructure, or commercial projects in their neighborhoods are the cause for the nation\u2019s property woes. <\/p>\n
\u201cOur housing policy for decades has been the word no,\u201d Richardson told The Issue. <\/p>\n
\u201cThe eventual political fight to improve affordability in Australia is going to be street by street, suburb by suburb, council by council, getting older and richer Australians to agree to building and change happening around them. <\/p>\n
\u201cThe longer term solution does lie in \u2018yes in my backyard\u2019. <\/p>\n
\u2018It\u2019s time to suck it up.\u201d <\/p>\n
Government response<\/p>\n
The Albanese Government says it is working with the states to increase housing supply. <\/p>\n
Some of the policy initiatives include the $1.5 billion Housing Support Program, $3 billion New Home Bonus, $2 billion Social Housing Accelerator and $2 billion Local Infrastructure Fund. <\/p>\n<\/p>\n
\u201cWe work really closely with the states and through the states with local government to make sure that those approvals are happening,\u201d Acting Prime Minister Richard Marles said on Saturday. <\/p>\n
\u201cWe\u2019ve been really clear that one of the critical challenges in terms of dealing with housing supply and ultimately dealing with housing prices is to make sure that more homes are being built.\u201d <\/p>\n
Bring in the tradies\u00a0<\/p>\n
Housing sector lobby group Master Builders Australia is pushing for the Albanese Government to make tradies a priority in the skilled migration program.<\/p>\n
The Master Builders have released new analysis that says an average migrant construction tradie who has a 30-year career builds an additional 21.7 detached homes and adds $1.88 million to the economy. <\/p>\n
Master Builders Australia CEO Denita Wawn says workforce shortages remain enormous. <\/p>\n
\u201cCurrent estimates indicate we will need an additional 116,000 residential construction workers and 300,000 infrastructure workers over the coming years,\u201d Wawn said to 7NEWS. <\/p>\n
![\"Workforce](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/08\/4dd13de4680098cd83414f02173389a9ab2ce1e0.jpg\")
Workforce shortages remain enormous. Credit: Natalie Richards\/Zstock – stock.adobe.com<\/p>\n
\u201cWe need to pull all the levers, including encouraging more Australians to complete apprenticeships and pursue careers in the trades, while also improving the migration system so it brings in trade-qualified workers who are ready to contribute from day one.\u201d<\/p>\n
Iran War adds to problem<\/p>\n
Construction costs have surged again in 2026 due to Donald Trump\u2019s war in Iran. <\/p>\n
The Australian Bureau of Statistics latest Producer Price Index published on Friday is grim reading for builders. <\/p>\n
Cement products were up by 4.9 per cent, electrical equipment jumped by 12.1 per cent and steel costs declined by 1.2 per cent. <\/p>\n
Master Builders Australia Chief Economist Shane Garrett said the figures demonstrate the impact that the Middle East conflict is having on the building and construction sector and reinforces the need for the Federal Government to address the underlying costs of building. <\/p>\n
\u201dThe conflict in the Middle East has put additional costs pressures on our home building industry at a time when supply side pressures were already acute,\u201d Garrett said. <\/p>\n
\u201cBuilding materials costs surged by 2.1 per cent during the March 2026 quarter alone.\u201d <\/p>\n
You can catch more of The Issue on Listnr<\/a> or watch full episodes on our YouTube channel.<\/a><\/p>\n <\/p>\n Crowd falls silent as Sydney defender suffers horrific injury<\/p>\n 4 min read<\/p>\n