Capped infrastructure charges announced by the premier of the Queensland government will prevent investment in the state over the next three years, according to the Property Council of Australia.
Kathy Mac Dermott, executive director of the Queensland branch of the council, said the state government's charges send a clear message to national and international investors and developers that "Queensland is uncompetitive and closed for business".
"This is a devastating decision for all Queenslanders. The premier has announced infrastructure charges that will trigger a haemorrhaging in job losses in the state's most important industry," she added.
Ms Mac Dermott went on to explain that around 280,000 Queenslanders are directly employed by the Australian property industry and that many of these positions have been put in jeopardy.
Premier Anna Bligh, however, claims that the reforms will make housing easier to build and more affordable to buy in Queensland.
Maximum charges for trunk infrastructure, which includes water, sewerage, storm water, roads and parks, have been set at $28,000 (£18,050) for a dwelling that has three or more bedrooms, and $20,000 for one and two-bedroom dwellings.
Posted by Ravin Chatlani
