Australia’s plan to deliver 1.2 million new homes by 2029 is facing increasing pressure, with builders struggling to keep pace with the construction rate required to meet the national target. Brisbane is among the cities being affected by shortages of skilled workers, rising construction costs and strong demand for new housing.

The latest report highlights the challenges facing Australia’s construction industry as governments attempt to increase housing supply. Builders are dealing with a combination of workforce shortages, higher material costs and lengthy construction timelines, making it increasingly difficult to deliver homes at the pace required.

Brisbane is particularly important in the current housing discussion because the city continues to experience strong demand for residential property. The city is also preparing for major infrastructure and construction activity associated with upcoming events, adding further pressure to an already stretched building workforce.

According to the report, some Brisbane builders are using additional working hours to manage projects because of difficulties finding enough skilled workers. While increasing working hours can help businesses complete projects, it also demonstrates the wider labour constraints affecting the construction industry.

The shortage of skilled workers is not the only challenge. Construction companies are also facing higher prices for materials and other operating expenses. These costs can increase the final price of newly built homes and make some projects financially difficult to complete.

The situation is particularly important for people searching for affordable housing in Brisbane. When construction costs rise and fewer projects are completed, the supply of newly built homes can remain below demand. This can contribute to continued pressure on property prices and rents.

The report also indicates that a significant number of approved apartment developments across Australia have stalled since 2020. Queensland has been particularly affected, with many projects facing difficulties progressing from approval to actual construction.

For Brisbane residents, the issue goes beyond the construction industry. A shortage of new homes can affect first-home buyers, renters and families looking to move into the city. Increasing construction costs can also make it harder for developers to provide housing at prices that are accessible to ordinary households.

The Federal Government has committed to increasing housing supply, but the latest industry conditions suggest that funding and planning approvals alone may not be enough. The construction workforce must also have sufficient capacity to deliver the required number of homes.

Industry participants are calling for measures that could improve workforce availability, reduce unnecessary delays and make construction projects more financially viable.

Brisbane’s housing market will therefore remain an important focus as Australia attempts to increase residential supply over the coming years.

This is a new 12 August 2026 report, separate from the Brisbane bikeway, Kedron Brook and air-quality stories already covered.

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