Victoria, Australia

The Victorian compliance guide for trade businesses

The rules that keep builders, plumbers, electricians and designers legally on the tools — the Building and Plumbing Commission, insurance minimums, apprentice supervision, WorkCover and the dates you can't miss.

Last reviewed 25 September 2026. General information only — not legal advice.

How to read the labels. Official source means the figure appears on a regulator or government page. Industry source means it comes from a law firm, industry body or broker. Confirm first means the rule is changing or sources disagree — check with the regulator before relying on it.

Quick answers

The questions we get asked most.

QuestionAnswerSource
Plumbers' warranty insurance $50,000 per compliance certificate for domestic work, $100,000 for non-domestic, lasting 6 years after completion. Plus $5 million public liability. Official source
Building designer PI minimum $1.5 million per claim and in total (defence costs inside the limit), or $1 million + $500,000 for defence costs. At least one automatic reinstatement. Official source
Electrical apprentice supervision Mandatory since 1 September 2025. First-years: 1:1 direct supervision. Broad supervision: up to 5 apprentices per supervisor. General-supervision and mixed-group ratios are in section 8 of Energy Safe's requirements. Official source Confirm first
WorkCover declaration (smaller payrolls) Payroll of $200,000 or less: declare by March 2027 (last year: 20 March). Over $200,000: 24 October 2026. The date on your renewal notice is the one that counts. Industry source
Domestic contracts changes start date Originally 1 December 2026 at the latest. A delay was passed in September 2026 and the new date hasn't been confirmed. Confirm first
Home warranty premium deadline 10 business days after the contract is signed, or before work starts — whichever comes first. Official source

The Building and Plumbing Commission (BPC)

The BPC started on 1 July 2025. It merged the Victorian Building Authority (VBA), Domestic Building Dispute Resolution Victoria and the government's domestic building insurance business into one regulator. Existing VBA registrations and licences carried over automatically and stay valid until the expiry date on your card. Lodgements, including plumbing compliance certificates, still go through VBA360.

Buyer protection reforms — in force from 1 July 2026

ReformWhat it means for you
Home warranty insurance The BPC is now the only home warranty insurer for contracts signed from 1 July 2026. Homeowners can claim first, without having to show the builder has died, disappeared or gone insolvent. Covers work over $20,000, up to $400,000 per home: 6 years for major defects, 2 years for other defects.
Rectification orders The BPC can order builders, subcontractors and developers to fix defective, incomplete or non-compliant work up to 10 years after completion — including work finished before July 2026.
Minimum financial requirements Domestic builders must hold net assets of at least 5% of their approved building capacity, and tell the BPC within 5 business days if they can't pay their debts as they fall due. Above $2 million capacity, an independent accountant must prepare or review the financials.
Developer bond 2% of build cost for apartment buildings over 3 storeys, for building permits issued after 1 July 2027.

Coming next

  • By 1 December 2027: the Building and Plumbing Administration and Enforcement Act 2026 starts. It adds liability for company directors, anti-phoenixing powers, and raises the major domestic building contract threshold from $10,000 to $20,000. Until then, $10,000 is still the threshold.
  • 1 February 2027: building manuals are required for new Class 1b, 2 and 3 buildings.

Plumbers

Insurance

Licensed plumbers must hold this cover under the 2002 Ministerial Orders. Registered-only plumbers don't need it.

CoverMinimum
Public and products liability$5,000,000 any one occurrence (also required for Type B gasfitting)
Warranty — domestic work$50,000 per compliance certificate. A policy with a total cap of $50,000 doesn't comply.
Warranty — non-domestic work$100,000 per compliance certificate
How long6 years after the work is completed

Compliance certificates

  • Required for work valued at $750 or more, counting labour, materials and GST, no matter who supplied the materials.
  • Required at any value for below-ground sanitary drains, Type A gas appliance work, consumer gas piping and cooling towers.
  • Give the certificate to the customer and lodge it with the BPC within 5 days of finishing the work.
  • You can't hold back a certificate because the customer hasn't paid.

Supervising apprentices

There's no set ratio for plumbing. A licensed plumber can only supervise in the classes they're licensed in, and must either be present and directing the work, or set the method and inspect the work — taking into account the risk and the worker's experience.

Electricians (Energy Safe Victoria)

Apprentice supervision

Energy Safe's supervision requirements became mandatory on 1 September 2025. Before that, the ratios were only recommendations. Both the employer (including a Registered Electrical Contractor) and the licensed electrician assigned to supervise are responsible.

StageSupervisionRatio
1st yearAll electrical installation work under direct supervision1 supervisor : 1 apprentice
2nd yearMore tasks allowed under general supervision; high-risk tasks stay directConfirm first
3rd yearMore general supervision, some broadConfirm first
4th / final yearMost tasks can be under broad supervisionUp to 5 apprentices per supervisor

The ratios only apply while the apprentice is doing electrical installation work — not tasks like drilling holes or digging trenches. Older recommended ratios (2 under direct, 4 under general) still circulate online; don't rely on them.

Registered Electrical Contractors

  • Registration lasts up to 5 years. The nominee must be an A-grade licensed electrician.
  • Public liability of at least $5 million, in the contractor's registered name. Contracting without it is an offence.

Certificates of Electrical Safety

  • Non-prescribed work: give copies to the customer within 1 month of completion.
  • Prescribed work: a licensed inspector must inspect within 8 business days; the customer gets a copy within 16 calendar days of completion.

Building designers and draftspersons

Professional indemnity insurance is set by the Building Practitioners' and Endorsed Building Engineers' Insurance Ministerial Order. For architectural, interior and services design:

  • $1,500,000 any one claim and in the aggregate, where defence costs are included in the limit; or
  • $1,000,000 any one claim and in the aggregate plus $500,000 for defence costs, where defence costs sit outside the limit.
  • At least one automatic reinstatement.

Since February 2020, policies may exclude claims about non-compliant or high-risk external cladding.

Domestic building contracts — what's changing

Start date not confirmed. The Domestic Building Contracts Amendment Act 2025 was due to start by 1 December 2026 at the latest. In September 2026, Parliament passed a law delaying that date. Check with Consumer Affairs Victoria or the BPC before telling clients when the changes apply.

When the changes start:

  • Deposits and progress payments will be set by regulations, with different limits depending on how much of the job uses modern methods of construction (prefab and modular). Current deposit limits: 10% for contracts under $20,000, 5% for $20,000 or more.
  • Cost escalation clauses will only be allowed on contracts over $1 million (up from $500,000), capped at 5%.
  • Builder–developer contracts will lose several consumer protections, such as cooling-off and deposit limits.
  • Variations will need a stricter process, and certain variations must be in writing, in English and legible.

The $10,000 to $20,000 threshold change is a separate law, due by 1 December 2027.

Home warranty premium — when is it due?

For contracts signed from 1 July 2026, the builder must pay the premium to the BPC within 10 business days after the contract is signed, or before building work starts — whichever comes first.

  • If a variation takes a contract to $20,000 or more, the premium is due within 10 business days of the variation being signed.
  • Penalties are about $102,000 for an individual and about $509,000 for a company.
  • The homeowner is covered even if the builder hasn't paid.

Contracts signed before 1 July 2026: you can't take any money, including the deposit, until domestic building insurance is in place, and the owner must get a copy of the policy within 7 days of it being issued.

If you employ people

WorkCover (WorkSafe Victoria)

  • Register if you pay, or expect to pay, over $7,500 a year in wages — or any amount if you employ apprentices or trainees. You have 60 days after you first become eligible.
  • Declare your actual wages each year by the date on your renewal notice. For this cycle: over $200,000 by 24 October 2026; $200,000 or less by March 2027.
  • If your wages are running more than 20% over your estimate, tell WorkSafe within 28 days.
  • Some contractors count as workers, so their pay counts towards your WorkCover wages.

Payroll tax

Tax-free threshold is $1 million a year. The rate is 4.85% (1.2125% for regional employers).

Super

  • The super guarantee is 12%.
  • Payday Super started 1 July 2026: super must reach the fund within 7 business days of each payday. The Small Business Superannuation Clearing House has closed.
  • Contractors paid mainly for their labour count as employees for super, even if they have an ABN.

Tax reporting and safety

  • Taxable payments annual report (TPAR): due 28 August if you're mainly in building and construction and pay contractors.
  • Safe work method statements (SWMS): required before any high-risk construction work, such as a fall risk over 2 metres.
  • White card: in Victoria, construction induction must be done face to face.

Getting paid (Security of Payment)

Major changes started on 15 April 2026. You can now claim variations, latent conditions and delay costs; you can make a claim every month; and you can claim up to 6 months after completion. Payment is due within 20 business days at most. The other party has 10 business days to respond with a payment schedule.

Key dates

DateWhat's due
1 October 2026Last day for the 3% WorkCover early-payment discount
24 October 2026WorkCover wage declaration — payrolls over $200,000
1 December 2026Original latest start date for domestic contracts changes Confirm first
1 February 2027Building manuals for new Class 1b, 2 and 3 buildings
March 2027WorkCover wage declaration — payrolls of $200,000 or less (check your renewal notice)
1 July 2027Developer bond applies to new building permits
28 August 2027TPAR due
By 1 December 2027Administration and Enforcement Act starts, including the $20,000 contract threshold
Every jobHome warranty premium within 10 business days; plumbing certificates within 5 days; electrical certificates within 1 month; super within 7 business days of payday

Stop tracking this in your head

The Compliance Tracker keeps your licences, insurance and certificates in one place, with reminders before anything lapses.

See the Compliance Tracker