ACT property sector continues to hold its own – confidence builds in growth for jobs and construction
ACT Executive Director of the Property Council, Adina Cirson has said that new figures released today demonstrating a growing confidence in the property sector is great news for the ACT.
According to the latest ANZ/Property Council Survey – the leading business sentiment index – the ACT recorded the third highest increase, up 4 points in the 12 months to June 2017.
“The June quarterly results reveal a growing optimism across many of the indicators, with the ACT one of the leading jurisdictions with business confidence at 142 points, only slightly behind NSW,” Ms Cirson said.
“The ACT results confirm positive expectations for our city - with growth projected in forward work schedules still the highest in Australia - which despite dipping slightly in the recent quarter have steadily gained ground over the last 12 months.
“We have also seen a huge increase in staffing level expectations, with the ACT now leading the country, meaning business is feeling more confident about locking into labour costs. This is a great sign because when the sector is confident about hiring more staff, they have confidence that their financial position and that of the broader economy will continue to improve,” Ms Cirson said.
The Survey also revealed increasing confidence in housing, office and retail growth expectations which continue to trend upwards. There was, however, a slight downturn in industrial, retirement living and hotel capital growth expectations, along with foreign investment.
Whilst the ACT has seen a slight dip in territory and national economic growth expectations, they are still very much in the positive. Areas of concern also include availability of debt finance, which has declined significantly into the negative, along with a growing concern of an interest rate increase. The Territory has also seen a drop in confidence for Federal and Territory Governments in planning and managing growth. This is indicative of growing pressures on the city and the need for clearer direction from Government.
“What is clear is that the property sector is driving economic growth in our city, and that there is great confidence in our current position across many of the indicators.” Ms Cirson concluded.
Media contact: Adina Cirson | E [email protected]
To find out more about the ANZ/Property Council Survey and our Supporting Sponsor RCP, visit www.propertycouncil.com.au/confidence