The Australian Housing and Urban Research Institute (AHURI) have released new research assessing how the housing industry can help rebuild the Australian economy both during and after the COVID-19 pandemic. It includes a review of government measures to the end of August 2020.

Responding to the pandemic, can building homes rebuild Australia? provides evidence that non-residential construction, followed by residential construction, and then infrastructure spending has the highest multiplier effect to those industry sectors hardest hit by the pandemic. It suggests that government spending on construction or infrastructure projects leads to an increase in economic output several times the size of the initial spend.

To drive economic recovery, AHURI recommends that policymakers consider:

• Funding social housing development
• State specific demand stimulus measures
• Tax settings to encourage institutional investment
• Preparing for a market recovery

More information here