More builders likely to fail in absence of any construction silver bullet
Construction costs continue to defy the wider fall in inflation and an array of other challenges suggest the onslaught of building company failures is set to continue.
National private house approvals fell 3 per cent to 8,715 in December, continuing the slump in October and November and helping confirm house approvals have topped out. (Image source: Shutterstock.com)
The continued surge in building industry insolvencies is showing no signs of abating and widespread hopes, or even expectations, that construction costs will fall and come to the rescue appear overly optimistic.
In the first seven months of this financial year, 1,999 construction firms were declared insolvent. This was 26 per cent higher than the same period in 2023-24 (1,583) and 69 per cent higher than 2022-23 (1,182).
Much of this has been b…
