News | 06 May

Victoria’s 2026/27 Budget delivers short-term stability for the civil construction sector but stops short of driving future growth.

While infrastructure investment remains strong at $19.4 billion next year, forward projections show a gradual decline, signalling a tapering pipeline. The focus is shifting toward maintenance and smaller-scale works, with limited new project opportunities.

CCF Victoria highlights that although continued spending supports near-term activity, the Budget lacks targeted reforms to address rising cost pressures, workforce constraints, and industry sustainability.

With increasing state debt and a moderating pipeline, contractors may face heightened competition and exposure to market volatility, particularly in fuel and materials.

CCF Victoria is calling for practical reforms, including improved contract conditions, consistent payment terms, and measures to better manage cost escalation and support local infrastructure delivery. Stability is a positive step but without reform, pressure across the sector will continue to build.

Latest News