Building regulation must strike balance

The government's decision to overhaul the building code could damage the economy, the industry warns (Jono Searle/AAP PHOTOS) (AAP)

An overhaul of Australia's building code regulation has caught the industry by surprise and risks driving up construction prices, a national industry body says.

Workplace Relations Minister Tony Burke on Sunday announced building code regulation changes would come into effect from Tuesday, before he introduces legislation later this year to abolish the Australian Building and Construction Commission (ABCC).