Boost to building scheme coming to an end

Master builder Michael Lyndon, of Elysium Builders, on site at the Eldonhurst subdivision, at Newstead.

Master builder Michael Lyndon, of Elysium Builders, on site at the Eldonhurst subdivision, at Newstead.

THE state government has given a strong indication that the First Home Builder Boost scheme will not run beyond December.

The builders' boost scheme added $23,000 to the $7000 received by approved First Home Owner's Grant applicants.

In response to a series of questions asked by The Examiner, the following statement, attributed to the Treasurer, was the government's official reply.

"The Liberal government is committed to growing the Tasmanian economy and creating jobs.

"In line with these priorities, and alongside the government's two- year headworks holiday, we will be introducing legislation to provide certainty to both first- home buyers, builders and the government under the program, which will run until December 31 this year."

Master Builders Tasmania executive director Michael Kerschbaum said that he believed the boost had a positive influence on the building industry.

"March approval figures have only been coming through in the past week or so and they have been trending up reasonably consistently since the January figures," he said.

"There's no doubt that we've seen some additional work we would not otherwise have seen, but we don't see it continuing beyond December."

Mr Kerschbaum said that despite the boost's positive influence on the building industry, he did not believe the state government wanted to be too glowing of a scheme that was an initiative of the previous government.

Treasury's website shows that the First Home Builder Boost was increased to $23,000 and applied to eligible applicants with contracts for new homes between November 7, 2013, and December 31, 2014.

The boost payment is tied to eligibility for the $7000 First Home Owner Grant, meaning approved applicants would be eligible for a total payment of $30,000.

The website says that the First Home Owner Grant will no longer be available for the purchase of established homes for contracts signed on/after July 1.

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