Who needs a licence, and who does not
| Who | Licence needed? | What CBS says |
|---|---|---|
| Anyone carrying out building work in SA | Yes | Including work they do themselves and arranging for work to be done by other licence holders |
| A subcontractor taking work from a licensed builder | Yes | Sub-contracting from another licensed builder still needs a contractor licence |
| An employee | No | “You do not need a licence if you are an employee” |
| Anyone contracting for work not listed on their licence | A criminal offence. A licence carries conditions, and it may also limit building height, contract value, or require working in partnership | |
That third row is where South Australia differs most. In New South Wales and Victoria a small job can fall under the threshold entirely. Here it does not. The question is never how big is the job — it is does this person hold a licence, and does it cover this kind of work.
Source: Consumer and Business Services, Building licences — frequently asked questions (PDF, dated November 2025), read 3 September 2026. CBS is the authority on its own licensing — if your job sits near an edge, ask them, not us.
The licence number is on the paperwork, by law
South Australian building licence numbers start with BLD, and the holder must display the number on any contract for domestic building work and on any advertisement. A principal contractor must also put it on the site signage.
A maximum penalty of $5,000 applies for not displaying it. So a quote for domestic building work with no BLD number on it is not a small oversight — it is the one thing the law specifically requires to be there, missing.
Source: Consumer and Business Services, Building licences — frequently asked questions (PDF, November 2025), read 3 September 2026.
Check an SA licence at the regulatorWhat the $20,000 line actually governs
Two separate rules hang off the same figure, and neither of them is the licence.
| The rule | When it bites | What it means for you |
|---|---|---|
| Building indemnity insurance | Contract price $20,000 or more and the work needs planning approval — sa.gov.au words it as domestic building work that must be approved by council and costs $20,000 or more | The builder arranges and pays for it. You and the council must each receive a copy of the certificate before work starts |
| What may be asked for up front | A domestic building work contract valued $20,000 or more, or a preliminary work contract | A maximum of 5% of the contract value. Beyond that, payment may only be for third-party services such as surveying, repayment of indemnity insurance the builder bought, or a progress payment for work already completed |
The deposit rule is the one worth memorising. On a $60,000 job in South Australia, a request for a $15,000 deposit before anything happens is not a negotiating position — the cap is 5%, and a maximum penalty of $5,000 applies to breaking it.
Building indemnity insurance carries its own penalty: a maximum of $2,500 for starting building work without providing copies of the certificate, and criminal penalties for a forged or false one.
Sources: Consumer and Business Services, Building licences — frequently asked questions (PDF, November 2025); and SA Government, Building indemnity insurance (that page states it was last updated 19 February 2026). Both read 3 September 2026.
What the indemnity insurance covers, and for how long
- It protects you and future owners if the builder dies, disappears or becomes insolvent — where work has not been completed, or where defective work needs rectification.
- Defective-work claims can usually be made up to 5 years from the date the building work was completed.
- Work cannot start until the builder has taken the insurance out and both you and the council hold a copy of the certificate.
- You cannot take it out yourself if you are doing the building work.
- When you sell, you must disclose whether indemnity insurance is in place.
The certificate is worth reading the day it arrives. It carries the builder's name and licence number, the insurer, the date it was issued, a description of the work insured, and any limitations on the policy. A wrong name or a wrong description of the work is far easier to fix then than at claim time.
Source: SA Government, Building indemnity insurance, read 3 September 2026 (last updated 19 February 2026 per that page).
“Domestic building work” is wider than you would guess
CBS defines it as any building work on a house, and its own list includes air-conditioning, electrical, excavating or site filling, gas fitting, insulation, painting, plumbing, solar panels and works on a swimming pool.
So the solar install and the repaint are inside the same definition as the extension. That does not mean every one of them is licensed the same way — electrical, gas and plumbing work is licensed separately again, and none of it has a dollar figure attached anywhere in Australia. That rule is here: electrical and plumbing work always needs a licence, whatever it costs.
Three questions worth asking before you say yes
- “What is your BLD number?” It has to be on the contract and the advertisement anyway. Take it and search the register yourself.
- “Does your licence cover this type of work, and are there limits on it?” SA licences carry conditions and can be limited by contract value or building height. Contracting outside them is a criminal offence.
- “Is this contract $20,000 or more?” If yes, ask for the indemnity insurance certificate, check the council has one too, and remember the deposit cap is 5%.
Check it before the work starts
The CBS public register is free and takes about a minute. The how-to for every state and territory is here: how to check a tradie's licence yourself.
This page explains what Consumer and Business Services and the South Australian Government publish about building work licensing and indemnity insurance. It is general information, not legal advice, and it is not a licence check. Yamate is software for tradespeople. We do not issue, assess, endorse or certify any licence, and we do not decide whether one is required for your job — CBS does. No regulator has reviewed this page. Every figure above was read at a South Australian government source on 3 September 2026 and is linked beside the claim, with that source's own date shown; thresholds and penalties change, and the indemnity insurance figure in particular has moved, so check the date here against theirs. South Australia only — the rules here do not apply in any other state.