BUILDING TRADE

Evening Post, Volume CXX, Issue 111, 6 November 1935, Page 10

BUILDING TRADE

GRADUAL INCREASE

EFFECT OF SUBSIDY

MORE LOCAL PERMITS

! "During the past year there has • been a slow and gradual increase in the volume of trade and .-ill look ~or- , ward to brighter times," says the report of the Wellington Builders' and Contractors' Industrial Union of Employers, to be presented at the annual meeting tomorrow. "The introduction of the house building subsidy scheme has resulted in increased employment in the building and allied building trades. A steady construction of new dwellings has assisted materially to relieve the present acuteness of the general housing shortage. The scope of the No. 12 Scheme has been widened to embrace the erection of churches, Sunday schools, public halls, libraries, and other buildings for organisations operating on a non-profit earning basis. A subsidy of not exceeding 10 per cent, of the capital cost was thus made available for such buildings in approved cases. CREATING EMPLOYMENT. "Up to July 31, 1935, 5776 -applications were received under this scheme, and of this number 5210 were approved. The expenditure thus involved amounted, to approximately £3,400,000, and has also created employment for approximately 22,000 men. There also remained 191 further applications to be considered. The Bl scheme which was introduced on April 1, 1935, cover-1 ing alterations and additions to, and the painting of houses, flats, and other buildings, also gave a stimulus to the building and allied trades during the winter months. Of a total of 1563 applications, 1293 have been approved and the expenditure resultant therefrom will amount to £113,000, and the employment of 3000 men, of varying periods. The total amount of the works approved under both schemes, is pstimated by the Unemployment Board at £3,080,179 and the greater part of this will be spent directly and indirectly in the payment of wages. NEW DWELLINGS. ■ "It is interesting to note that out of the applications approved. 4341 were for. new dwellings in connection with which 4641 baths, 1151 electric ranges, and 1229 gas stoves, all of New Zealand manufacture, will be used. Whilst not in agreement with the principle of a building subsidy, we consider that the effect of the Unemployment Board's schemes has been most beneficial in increasing business activity in many directions and in reducing (he number of unemployed. "Evidences of the renewed faith in the future prosperity of Wellington are afforded'by the building enterprises that have been in progress and are in prospect. During the past year there has been a marked improvement in building, and it is believed that with the shortage of houses that exists in many parts of the Dominion, there must, in the near future, be greater activity in house building. The building permit figures for the larger towns for the past four years, each as from May 1 to April 30, give an indication of the fluctuation that has taken place and the improvement during the past two years as follows:—l 932, 8079; 1933, 7341; 1934, 8109; 1935, 8905. SUBSTANTIAL INCREASE. ) "The number of permits issued i'or j the past year shews an increase of 795 on the figures for the year 1934, an increase of 1564 on the figures for the year 1933, and an increase of 826 for the year 1932. "The value represented by-building permits issued in the larger towns during last April was £537,172, an increase of £205,096 over the figures for the previous month. Normally April is one of the low months of ihe year, owing to the break in the working month caused by the Easter houday period, but on this occasion the inclusion of one large building in Wellington valued at approximately £250,000 (the new Government Insurance Building now in course of construction) has swelled the April total. The foregoing definitely discloses that the building trade industry is showing material signs of improvement, both in number of new buildings and the value of the money expended thereon. REGISTRATION OF BUILDERS. "The question of whether builders should be required to obtain registration as master builders before being allowed to carry on business, is a subject that has been considered by many, but so far no definite steps have been taken by way of requesting the Government to move in that direction. It is the belief of many of our members that legislation should be enacted to give registration to builders. The N.Z. Federated Builders' and Contractors' Industrial Association of Employers has taken the matter in hand, having : acquired information from overseas, and it is expected that the subject will be one for discussion at the forthcoming conference."