The number of dwellings approved in Australia fell by 0.6 per cent in April, in trend terms, according to data released by the Australian Bureau of Statistics (ABS) today.
“The overall decrease was led by private sector houses, which declined 1.9 per cent in trend terms,” said Justin Lokhorst, Director of Construction Statistics at the ABS. “Meanwhile, private dwellings excluding houses rose by 1.2 per cent.”
Among the states and territories, total dwelling approvals fell in Victoria (2.8 per cent), Tasmania (2.2 per cent), the Northern Territory (2.0 per cent) and New South Wales (0.4 per cent), in trend terms. Increases were recorded in the Australian Capital Territory (7.7 per cent), South Australia (1.8 per cent) and Western Australia (1.3 per cent), while Queensland was flat.
Approvals for private sector houses fell 1.9 per cent in trend terms, largely driven by falls in the eastern states. Declines were recorded in New South Wales (3.8 per cent), Victoria (2.7 per cent), Queensland (0.8 per cent) and South Australia (0.1 per cent), while Western Australia recorded a 0.5 per cent increase.
In seasonally adjusted terms, total dwellings declined by 4.7 per cent in April, driven by falls in Tasmania (19.1 per cent,), Victoria (16.1 per cent), Western Australia (6.7 per cent) and South Australia (3.3 per cent). Private dwellings excluding houses fell 6.5 per cent, while private house approvals decreased 2.6 per cent.
The value of total building approved fell 0.2 per cent in April, in trend terms. The value of residential building declined 0.9 per cent, while non-residential building rose 1.0 per cent.
As Westpac put it ” Overall the update again points to weakening momentum, the composition pointing to a weaker construction profile through the middle of the year. The main caveat is around the timing of public holidays which may mean April figures are overstating weakness”.
