Major Changes Are Coming to Victoria’s Building Industry in 2025: What Tradies Need to Know
March 12, 2025

Major Changes Are Coming to Victoria’s Building Industry in 2025: What Tradies Need to Know

If you’re a tradie in Victoria you’ve probably heard the recent news about the Victorian Government’s VBA announcement. On October 24, 2024, Minister for Planning Sonya Kilkenny unveiled plans for a new, more powerful regulator: the Building & Plumbing Commission. This new regulator is set to replace the Victorian Building Authority (VBA) in 2025, this shift promises to shake up the building and plumbing industries with stronger oversight, new powers, and a sharper focus on compliance.


As a tradie looking to secure or maintain your contractor or builder licence, these changes could have a big impact on your day to day work and your licensing journey. Here’s what you need to know and why now’s the time to double check your licensing plan.


What’s Changing with the New Regulator?

The Building & Plumbing Commission will combine the VBA, Domestic Building Disputes Resolution Victoria (DBDRV), and parts of the Victorian Managed Insurance Authority (VMIA) into a single, streamlined regulator. This isn’t just a rebrand, it’s being touted as the most significant reform to Victoria’s building industry in decades to protect consumers.


Here’s what’s coming:


  • New Rectification Powers: The regulator will be able to issue rectification orders after an occupancy permit is granted. That means if defects pop up later, you could be called back to fix them, potentially months or years after you’ve finished a job.
  • Developer Notifications: For buildings over three storeys, developers will need to notify the regulator before occupancy for a final inspection. This could mean more scrutiny on your work if you’re subcontracted on larger projects.
  • Expanded Insurance Rules: Domestic Building Insurance (DBI) claims won’t just apply when a builder goes bust or disappears. Now, they can kick in if you fail to comply with a rectification order. That’s a higher bar for staying on the right side of the regulations.
  • Tougher Accountability: The regulator is cracking down on “rogue” and unlicensed/unregistered builders and plumbers with stronger enforcement tools. But even for honest tradies, this means more pressure to dot every ‘i’ and cross every ‘t’.


These changes are still working their way through Parliament, but they’re slated to roll out throughout 2025 and 2026.


How Will This Affect Tradies Like You?


Reality is, as a tradie applying for your builders registration/licence, or even just maintaining one, under this new system could make your life a bit more complicated. Here’s how:


  1. Stricter Compliance Expectations
    The new regulator is all about raising standards. That’s great for the industry’s reputation, but it also means your work and your paperwork. These will be under a magnifying glass once it kicks in. If you’re in the middle of a licence application, any slip ups in your past jobs could raise red flags. The VBA’s recent report,
    Victorian Building Authority – The Case for Transformation, highlighted cases where consumers were let down by sloppy processes. The takeaway? Regulators are done playing nice.
  2. More Post Job Responsibility
    Those rectification orders are getting a big shift. In the past, once the occupancy permit was issued, you were mostly in the clear. Now, defects found later could come back to haunt you. For tradies applying for a new licence, this underscores the importance of a clean track record and for licensed pros, it’s a reminder to keep your work watertight.
  3. Licensing Could Get Trickier
    With the regulator merging multiple agencies, the application process might evolve. New rules, tighter oversight, and a focus on accountability could mean more hoops to jump through when you’re applying for your licence/registration. If your documentation isn’t spot on, delays could pile up, costing you time and jobs.
  4. Reputation Matters More Than Ever
    The Case for Transformation report called out systemic failures in consumer outcomes, and the new Commission is designed to fix that. For tradies, that means your reputation for quality and compliance will directly tie into your ability to secure and keep your licence. A history of disputes or shoddy work? That might to be harder to shake off.


Why Licensing Advice Should Be Your Next Call


Here’s the good news: you don’t have to navigate this alone. At Licensing Advice, we’ve been helping Victorian tradies secure their contractor and builder licenses/registrations for years and we’re ready to guide you through this shakeup.


With these changes fast approaching, now’s the time to:


  • Audit Your Paperwork: Make sure your licence application (or renewal) is bulletproof. We’ll review your docs and flag anything that could trip you up under the new rules.
  • Stay Compliant: From understanding rectification orders to meeting insurance requirements, we’ll keep you in the know so you’re not caught off guard.
  • Get Ahead of Delays: A streamlined regulator sounds great until the transition creates a backlog. Let us help you lodge your application early and avoid the rush.
  • Protect Your Business: A clean licensing record is your ticket to staying competitive. We’ll ensure you’re set up for success, no matter what the Building & Plumbing Commission throws your way.


The Bottom Line


The Building & Plumbing Commission is coming, and it’s bringing bigger powers and stricter standards. For tradies like you, it’s a chance to shine if you’re prepared. But it’s also a warning: the days of cutting corners or winging it are over. Whether you’re a plumber chasing your contractor licence or a builder aiming to level up, Licensing Advice is your partner in making sense of the changes and securing your future in the industry.


Ready to get started? Contact us today at www.licensingadvice.com.au or give us a call. Let’s make sure you’re licensed, compliant, and ready to tackle 2025 head on.


Need more info? Check out the VBA’s announcement here or the Premier’s media release for the full scoop.

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