South Australia has experienced a huge drop in the level of commercial building activity in the March 2015 quarter, according to the latest ABS data released yesterday.
The value of non-residential building activity dropped by 21.5 per cent in the March quarter.
The value also dropped over the last 12 months, compared to the previous 12 months.
“This is another blow to the South Australian construction industry, following on from recent news that Adelaide company, Tagara Builders, has gone into administration,” said Shadow Treasurer Rob Lucas.
“This huge drop is further evidence of a sluggish economy and poor business confidence.
“In fact, according to NAB’s latest Monthly Business Survey released earlier this week, South Australia has the lowest level of business confidence in Australia.
“Sadly, Labor’s failure to deliver a credible jobs plan in the recent State Budget will do nothing to help improve confidence in this industry.
“The Budget, which was supposedly a jobs budget, is only predicting one percent employment growth in South Australia, which is the worst of all the mainland states.
“South Australian businesses and families need tax relief right now, not in a few years as outlined by Treasurer Koutsantonis.
“South Australians are suffering under Labor’s high cost of living which leads to a lack of confidence to invest and has a negative impact on the building industry.”