The Housing Industry Association, Master Builders Victoria, the Property Council of Australia and the Urban Development Institute of Australia issued a joint statement saying only 145,000 homes have been built since the state’s housing plan was unveiled three years ago – about 55,000 fewer than the benchmark needed to stay on schedule.

The plan, announced by then‑premier Daniel Andrews as the “most comprehensive shake‑up” in decades, set a target of 800,000 new dwellings by 2033 to ease Victoria’s housing‑affordability crisis. Victoria already builds more homes than any other Australian state or territory, but the industry says the current pace is insufficient to meet the goal.

Industry leaders pointed to “almost two dozen new pieces of legislation” introduced over the past three years, which they say have stifled small builders that make up the bulk of the sector. They also singled out the windfall‑gains tax introduced in mid‑2023 and recent land‑tax hikes as “crushing taxes” that deter development.

In their statement the groups called for a renegotiated partnership with the government that would include a commitment to reduce or eliminate new property taxes, streamline registration and fee structures, and publish accurate, sector‑wide data to pinpoint where housing delays occur.

Additional demands include aligning state infrastructure spending with the fastest‑growing communities, securing a pipeline for skilled workers through apprenticeships and training subsidies, expanding the use of modern construction methods, and reforming social‑procurement requirements to cut costs.

The opposition Liberal‑National coalition has pledged to cut property taxes – including stamp duty, land tax and the emergency services levy – and to scrap Labor’s 70 percent in‑fill housing target, arguing that the policy restricts both developers and homebuyers.

If the government does not address the industry’s concerns, officials risk missing the 800,000‑home target, which could exacerbate housing affordability pressures and fuel further political debate ahead of the next state election.

The Victorian government has been contacted for comment but has not yet responded to the industry’s demands.