The Industry Expectations Index now sits at 54.8 points, which has come down slightly since our last survey in the March quarter.

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“It is really pleasing that, for the third successive quarter, members are saying they expect to see activity grow in our sector,” said Radley de Silva, CEO at Master Builders.

“We haven’t had this type of a continuous, positive response since the last building boom years around 2009 to 2010.

“Once again, Victorian builders are feeling more confident about their industry’s prospects than those in other states – a trend that has been recorded in 22 of the past 25 quarters.”

Builders also remain optimistic about their own business prospects between now and the end of the year. While our Business Expectations Index is lower now than three months ago at 61.1 points, it still remains higher than levels seen in 2012 and 2013.

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“There are hopeful signs pointing the way to the ongoing recovery for many parts of our industry after some lean years for numerous businesses,” said Mr de Silva.

“While remaining solid, industry expectations have fallen slightly since the last survey, perhaps in response to the Federal Government’s ‘tough budget’ and how it was received by the businesses and consumers our industry relies on.”

Despite the positive outlook many builders appear to have for their future prospects, current conditions remain tough. Just 51.8 per cent of builders reported having three months or more work on their books, compared to 60.8 per cent in the previous quarter.

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At the same time, 17.4 per cent of members are now saying they have one month or less worth of work on their books, compared to 14.9 per cent at the time of our last survey.

“As we approach the next State Election in November, our politicians and policymakers have to continue to put forward policies that will support investment and jobs in our sector,” Mr de Silva said.

“We need to see policies that will help make it easier for people to build a new home, to get a home renovation project off the ground, to deliver new city-shaping infrastructure projects and support businesses to invest in new offices, warehouses and other workplaces.

“Master Builders will be out there campaigning for the needs of building and construction businesses across the state to make sure we get a fair deal for our members.”

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