There were just 91 new dwelling approvals in the ACT in September, down from 563 in August, according to the latest ABS figures.

Over the last 12 months, total approvals reached 3365, well short of the monthly average of around 500 needed to meet the ACT’s housing target of 30,000 new homes by 2030, said Property Council ACT & Capital Region Executive Director Ashlee Berry. 

Ms Berry said lower approvals today would flow through to starts and completions next year unless feasibility improves. 

“Last financial year, housing starts fell by more than 50 per cent and completions also dropped.

“Approvals are the canary in the coalmine for housing starts and completions, and Canberra won’t meet its targets if feasible projects never leave the drawing board,” she said. 

Canberra Liberals Leader and shadow minister for homes and public housing, Leanne Castley, said the ACT was facing the lowest rate of housing delivery in 20 years. and the new data made it clear the government’s promises on supply were not being met.

“Every month of delay adds pressure to a market already crippled by rising rates and rents,” she said.

“This year the Barr Labor government slugged Canberrans with 25 new and increased taxes, including rate hikes of up to 18 per cent. Families are paying more and getting less.

“It’s time for the Barr Labor government to wake up and take responsibility for its failure to get approvals moving.”

The Property Council is calling for a practical delivery package to match the government’s new planning priorities. 

“We need to fix Lease Variation Charges (LVC), clear post-approval delays and support smaller builders to get into the market,” Ms Berry said. 

“Right now, LVC is tipping otherwise viable projects over the edge. Targeted remissions and recognition around centres and transport corridors, a simple capped schedule for common lease variations, and reinvesting LVC back into local upgrades would bring shelved projects back to life.”