Building permit approvals in Victoria during the last financial year were at their highest level in the past decade, according to new data from the Victorian Building Authority (VBA).
Chief Executive (CEO) of the VBA, Sue Eddy said data showed approvals totalled 123,330 in 2020-21, an increase of 18 per cent from the previous financial year (104,560) and 13 per cent more than 2018-19 (109,396).
“The largest increase in approvals was in regional Victoria, which saw a 32 per cent spike in the number of building permit approvals,” Ms Eddy said.
“Of all permits issued, those for domestic building increased more than 22 per cent, with about 19,500 more permits issued in 2020-21 than in 2019-20,” she said.
“New building work accounted for more than 62 per cent of all building permits in 2020-21, with the number of permits issued for this work 24 per cent greater than a year ago.”
Ms Eddy said, however, the number of permits issued for residential, retail, hospital/healthcare and public buildings each decreased by more than 10 per cent.
The CEO said as the number of building permits issued increased, so did the cost of building works, with the total cost of works increasing from $39.1 billion in 2019-20 to $41.9 billion in 2020-21.
She said the biggest cost of works increases was in regional Victoria, with Gippsland leading the way.
“There has been significant cost of works boost in regional Victoria, with a 45 per cent year-on-year increase in Gippsland, which rose from $1.18 billion in 2019-20 to $1.71 billion in 2020-21,” Ms Eddy said.
