Labor unveils tradie boost to increase housing supply
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The news: Labor has pledged to fast-track tradie apprenticeships in a bid to kickstart sluggish home-building numbers.
The context: The government revealed on Tuesday that, if re-elected, it will invest $78 million to create the Advanced Entry Trades Training program, which it says will speed up the qualification of 6000 tradies across Australia.
Labor has set a target of 1.2 million new homes across Australia over the next five years, though it has so far failed to keep pace with that target. A major impediment is a national shortage of tradies, which was exacerbated by the Covid-19 pandemic.
Labor argues its program would help experienced but unqualified workers fill that shortage by providing them with necessary qualifications.
Under the plan, a prospective tradie’s skills — recognising prior learning – and the additional skills they need to qualify would be assessed. Training in those additional skills would be provided at TAFEs and other institutions for free.
Labor has cited research from Master Builders Australia, which found each additional qualified tradie leads to an additional 2.4 homes being built annually.
The government has made housing a central theme of its campaign, using its official launch a week ago to unveil a plan to allow first-home buyers to enter the market with a 5% deposit.
The Coalition, at its campaign launch, revealed it would allow first-home buyers to claim a deduction on mortgage interest repayments, provided they purchased a new build.
But both major parties were panned by economists for prioritising demand for housing over supply-side considerations.
What they said: “We are tackling the housing shortage from every responsible angle to build more homes, more quickly, in all parts of Australia,” Treasurer Jim Chalmers said.
The source: Albanese government press release
