The Housing Industry Association (HIA) has lodged a major submission calling for a comprehensive overhaul of the National Construction Code (NCC), warning that excessive regulation and complexity are slowing the delivery of new homes across Australia.

The submission, made as part of consultation on streamlining and modernising the NCC, outlines a range of reforms aimed at simplifying the code, reducing red tape and supporting innovation in residential construction.

HIA executive director – building policy Shane Keating says the review represents a significant opportunity to reset the code to better support housing supply, productivity and affordability.

“It has become increasingly difficult to build a home in Australia. Builders want to be on site delivering homes for Australians, not buried in paperwork trying to navigate a regulatory maze,” he says.

Building regulations have expanded dramatically since the NCC was first introduced, with the code now more than eight times longer and referencing nearly twice as many supporting standards, according to the submission.

“Over decades, the NCC has grown layer upon layer of new objectives and requirements. What began as a technical code focused on issues like structural integrity and fire safety has expanded into a much broader policy tool,” Shane says.

“Many of these changes are well-intentioned, but the cumulative impact and their interaction have added complexity and cost to new homes.”

The HIA argues that this growing regulatory complexity is contributing to declining productivity across the construction sector and delaying housing delivery.

“If we are serious about improving housing affordability and delivering the 1.2 million homes target, the regulatory system must support supply rather than working against it,” Shane says.

Among the reforms proposed, the HIA has called for simplified code provisions, a shift to a five-year amendment cycle to provide greater certainty for builders, free access to referenced Australian Standards, improved usability of the NCC and clearer pathways for adopting AI, innovation and modern construction methods.

The HIA has also urged the strengthening of the Australian Building Codes Board to ensure the NCC operates effectively as a national code.

“The NCC must return to its core role as a clear, technical minimum standard that ensures safe homes while allowing the industry to deliver housing efficiently and affordably,” Shane says.

“The NCC is only one part of the broader regulatory framework affecting housing supply, but it is an important piece of the puzzle. It’s time for a genuine overhaul to deliver a modern code that works for the way housing is delivered, supports innovation and ultimately helps more Australians achieve home ownership.”