Survey predicts gloomy 2013
A new survey of over 400 builders and contractors conducted by Master Builders Australia (MBA) shows little confidence that 2013 will see a lift from the sector’s downturn.
MBA’s National Survey of Building and Cosntruction show that sector conditions continued to deteriorate in the December quarter, with falls in sales, profitability and activity.
Builders also reported becoming victims of a credit crunch, with 40 per cent of respondents concerned the availability of finance was having a major effect on their business.
Peter Jones, Chief Economist for Master Builders Australia, said the survey results support calls for short term stimulus measures in conjunction with further interest rate cuts to help boost the industry.
“Interest rate cuts over the past year appear to have failed to boost the confidence of new home buyers,” Mr Jones.
“The Reserve Bank has pointed to the building industry to help boost the non-mining sectors of the economy, but this does not look likely unless macroeconomic policy becomes more accommodating.”
The full survey can be found here