THE BUILDING TRADE.

Waikato Times, Volume 121, Issue 20261, 2 August 1937, Page 6

THE BUILDING TRADE.

The next issue of official returns will provide the information relating to the building trade during the first half of the current year. Building is a basic industry, and when it is active the beneficial effects are widespread. The Government undoubtedly hoped, when it embarked on an ambitious building scheme, to stimulate the industry, provide opportunities for skilled labour and generally to improve the unemployment position. It must have been a great disappointment to the authorities tt> find that the scheme had not been followed by the results anticipated. Every month this year the number of permits issued for new dwellings has been below the total for the corresponding period of last year. The aggregates for the first five months were 1251 and 1408 respectively. In Auckland in the first half of the year the number of permits for dwellings was sixty below that reported for the corresponding period of last year, and the State was not erecting houses twelve months ago. One of the immediate effects has been to depress the market for timber. The sawmillers’ association on the West Coast has decided to close down for two days in each month, owing to scarcity of orders for riinu. This, it is said, will mean the loss of 1600 working days monthly. There are three reasons given for the reduction in the demand for timber. It is said that costs of building have risen to such a level that many people will not go ahead with their plans, and linked with this, to some extent, is the withdrawal of the building subsidy. That increased the difficulties of finance and evidently has resulted in proposals to build being postponed indefinitely. The third cause is said to he the uncertainty felt by the private firms in the trade owing to the Government incursion, ll may be that the present halt is only temporary, but it should have the attention of the Government for this is one of the most important trades in respect to the employment of skilled labour, and inactivity would be a handicap to recovery.