As the state’s home building sector grapples with significant cost and capacity challenges, the Western Australian Government has announced an easing of licensing restrictions in respect of certain types of buildings that present a lower risk to occupant safety.

Currently, a registered building contractor is generally required for building work that is worth more than $20,000.

From 1 July 2026, however, the threshold will increase to $50,000 in respect of buildings which are classified as Class 10a under the National Construction Code.

This includes non-habitable buildings such as carports, sheds and private garages.

The announcement comes as Western Australia’s home building sector faces significant cost and capacity challenges as the state experiences a boom in new home building activity.

Announcing the change, WA Commerce Minister Dr Tony Buti said that the new measures will help to ease the burden on the state’s homebuilding workforce without compromising safety standards.

According to Buti, the change reflects rising building costs along with the lower risk profile of many non-habitable buildings.

(Sheds, carports and private garages are generally considered to be low risk buildings from a safety viewpoint as they:

• are not used for sleeping or accommodation and are mostly used for storage,
• are relatively straightforward from a structural viewpoint and do not usually require complex engineering solutions; and
• are relatively easy buildings from which to escape in the event of fire.)

Buti says that the changes will provide greater choice for consumers whilst enabling small businesses take on a wider range of work.

The amendments will help to free up registered builders to focus on much needed higher priority housing projects, he adds.

Buti stresses that safety and compliance will be maintained through building permit obligations and the requirement for all building work to comply with the National Construction Code and relevant building standards.

Owners will need to obtain a permit from local councils before construction commences.

Complaints about unsatisfactory or defective work can still be made to the Building Commissioner.

The new threshold will apply only to buildings which are classified as Class 10a.

For all other building work, registration will be required if the work is valued at more than $20,000.

“The Cook Government is focused on practical reform and cutting unnecessary regulation while keeping Western Australians safe,” Buti said.

“Lifting the builder registration threshold for certain low-risk Class 10a buildings to $50,000 brings the rules into line with today’s costs without changing building permit requirements.

“It means more choice for people building a shed, carport or garage and more opportunity for capable local businesses to compete for the work.

“And it helps free up registered builders to focus on higher-risk work and the housing pipeline, where Western Australians need them most.”

Changes welcome

Building industry lobby groups have welcomed the change.

“HIA is supportive of the changes announced today that remove red tape, provide greater flexibility and more for choice consumers while allowing registered builders to focus on housing and more complex work,” said Michael McGowan, Executive Director WA at the Housing Industry Association (HIA).

“Cost escalation in the last 5 years has seen these projects which previously did not require a registered builder, get caught up in a red tape space for which it was never intended.”

“While these projects again fall outside the requirement for a registered builder, consumers should be aware that these still need a building permit,  work must meet building standard, local government approvals may still apply and consumer protection should be in place.”