VBA Announces Sweeping Reforms to Victoria's Construction Industry

Steven Baxas, State Building Surveyor, announced major governance reforms at the Construction in Kingston event on Thursday, 12 June.

Hosted by Registered Builders Network (RBN), and partnered with the City of Kingston, the event outlined changes set to transform the building industry.

Local government representatives such as Peter Bean, City of Kingston CEO, industry professionals and key stakeholders gathered to hear about the future direction of building regulation in Victoria and its implications for consumers, builders and surveyors across the state.

"It signals a new era for construction in Victoria—where consumer protection is not just a principle, but it's practice," said Steven. "These reforms will close long-standing gaps, support reputable builders, and ultimately raise confidence in our entire industry."

The Victorian Government officially passed the Building Legislation Amendment (Buyer Protections) Bill 2025 on May 29, marking a major milestone in the establishment of the new Building and Plumbing Commission (BPC). The BPC will be a single-entry point to Victoria's building system for consumers and industry, bringing together all aspects of building quality control, regulation, insurance and dispute resolution, under one roof.

Under the new regulations, domestic builders will only be permitted to construct homes over three storeys if they can demonstrate prior experience in similar projects, allowing for a specific licence extension.

The warranty period for builders has been extended to 10 years, during which time the BPC may issue rectification orders requiring defects to be addressed at any point. Mandatory inspections will now be increased during key stages of construction, including waterproofing, which remains the leading cause of insurance claims. For buildings over three storeys, builders will be required to lodge 2% of the contract value with the BPC for a period of two years.

A newly introduced audit will inspect the building within six months of completion, issuing rectification orders for any defects identified. If the builder fails to complete the required rectifications, the BPC will use the withheld 2% to cover the cost of repairs and may initiate disciplinary action.

RBN and Builder Registration CEO, Colin Brewer, commented on the significance of the reform by saying "The VBA is taking a more proactive approach to ensuring construction quality both during the build and after completion, raising the bar and pushing out substandard operators to the benefit of the majority of quality builders."

The Construction in Kingston event underpinned Registered Builders Network's commitment to supporting builders and allied trades with the latest regulatory updates and best practices to ensure safe, compliant, and high-quality construction in the industry.

ENDS

For more information on the BPC reform, please visit: https://www.vba.vic.gov.au/consumers/a-new-regulator-with-new-powers

For interview enquiries please contact RBN:

Colin Brewer

0417 315 667

colin@rbn.com.au