The Victorian Building Authority (VBA) is investigating a growing number of complaints about leaky apartment buildings.

It follows media reports of apartment owners in and around Melbourne suffering from leaks, floods and damp.

The VBA says it is conducting an inquiry to “determine whether there are systemic problems with building and plumbing work in existing [buildings] and buildings under construction”.

It has sought information from insurers, industry experts and consumer groups to determine the extent of the problem.

Builders Collective of Australia National President Phil Dwyer says leaky apartments are a widespread, national problem.

“The majority of owners don’t want to go public because they want to sell their property, but we are in crisis – there is no doubt about that.”

VBA CEO Prue Digby says Victorians “should expect that buildings will be built to the required standards [but] unfortunately for some consumers, things can and do go wrong”.

“The VBA will continue to address issues of poor workmanship and improve outcomes for building consumers.”

Mr Dwyer says the situation is comparable to the leaky homes crisis that hit New Zealand in the late 1990s.

“In New Zealand it cost billions of dollars to rectify,” he told insuranceNEWS.com.au.

“It really is a big problem and we’ve been telling the authorities that for 10 years.

“Some builders and developers don’t know what they’re doing and time and again you see new buildings with scaffolding around them because they are leaking.

The Insurance Council of Australia has welcomed the inquiry, but a spokesman told insuranceNEWS.com.au it is “not aware” of an increase in claims associated with the problem.

A VBA spokesman told insuranceNEWS.com.au the inquiry was due to be completed in August.

“The findings and recommendations will be released to the public at a date that is yet to be confirmed,” he said.