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Landlord protection rises as regulations tighten for WA’s builders
Consumers in Western Australia will benefit from enhanced protection against builders who are unable to complete a job, as the government strengthens the industry regulator’s powers.
The Western Australian government has announced changes to the state’s building legislation, strengthening regulators’ ability to protect consumers from financially troubled builders.
The Western Australian government will give the building commissioner more power to stop building companies trading whilst in financial trouble, through the Building Services Legislation Amendment (Financial Oversight) Bill 2026.
The bill, which has been introduced to parliament, will allow the commissioner to scrutinise the financial capability of builders, prevent them from trading, and impose conditions on their registration or cancel it entirely.
When a registration was cancelled, the affected home owner would be able to access home indemnity insurance and pursue a new builder.
Western Australian commerce minister Tony Buti said the bill would enhance consumer confidence in the building sector and provide additional protection when things went wrong.
“While the vast majority of builders do the right thing, this Bill will help ensure we don’t have rogue operators taking money from customers when they’re unable to do the work and will allow customers to get their homes built,” Buti said.
“Building regulators will be able to assess and act on financial concerns much sooner, providing reassurance for home owners, suppliers and subcontractors who will be potentially impacted.”
Additionally, the government has proposed a suite of reforms, including modernising outdated penalties, applying protections to higher-value contracts, and introducing an industry-based accreditation scheme for building inspectors.
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