After years of unpredictable supply chains, Australian builders are finally catching a break on material shortages. Timber, bricks, steel, insulation and cladding, once major sources of delay, are stabilising. In addition, improved shipping reliability and increased local production are helping reduce wait times and restore confidence across the industry.
Material Availability Improves, But Only to a Point
While builders welcome the easing of material shortages, the relief is somewhat short lived. Supply chains are more predictable, yet the construction sector is now facing an even more pressing challenge, a severe shortage of skilled labour across nearly every major trade.
Carpenters, electricians, plumbers, roofers, bricklayers and tilers all remain in critically short supply. The Housing Industry Association estimates that tens of thousands of additional workers are required to meet national demand. However, apprenticeship numbers have not kept pace. Moreover, slowed migration intake during and after the pandemic has only widened the labour gap. As a result, this shortage has quickly become the biggest barrier to residential construction timelines.
Labour Shortages Now Define Construction Schedules
Builders are reporting project delays not because materials are missing, but because they cannot secure the trades they need at essential stages. Consequently, this bottleneck is pushing schedules out by weeks or sometimes months while also increasing costs across the board.
Many homeowners are surprised to learn that labour availability, not timber or steel, is now the determining factor in when their renovation or new build can begin.
Industry Calls for a Coordinated Workforce Strategy
To address the labour crisis, industry groups are calling for a multi-pronged, long term response, including:
- accelerated migration pathways for qualified trades
- increased incentives for apprentices and trainees
- modernisation of vocational training
- stronger national workforce-planning strategies
Without meaningful change, the capacity of the residential building industry will remain constrained. Although material shortages are easing, the lack of skilled labour continues to define project timelines and overall costs.
What Homeowners Should Expect in 2025-2026
Until workforce numbers stabilise, homeowners planning major works in 2025 or 2026 should consider securing their builder and key trades early. Additionally, maintaining a flexible timeline will help avoid frustration if delays occur.
Even as markets normalise for timber, steel and other essential materials, Australia’s labour shortage will continue shaping the construction landscape in the years ahead.