Supply shortages have already forced Simonds Group, one of Australia’s largest home builders, to cut 9 per cent of its staff – including construction employees – to match costs to its production ability, and the sector will cut more workers when the current boom ends, industry figures say.

ASX-listed Simonds said last month it would cut 69 staff across its sales and construction arms, cutting capacity in a sector where land title delays, severe weather and supply chain and labour shortages had lowered its total housing starts to 2376 in the year to June from 2719 in 2021.