Josh Frydenberg (Kooyong, Liberal Party, Treasurer) Share this | Hansard source

Standard & Poor's have said a similar thing: Australia's AAA rating could come under pressure if house prices fall sharply. That would increase risks to fiscal accounts, to real economic growth and to financial stability.

What is going to lead to a sharp decline in house prices? It's Labor's property tax. It's Labor's changes to negative gearing and capital gains. Under Labor's new property tax, if you own your home, it will be worth less. Under Labor's new property tax, if you rent your home, you'll be paying more. Under Labor, you'll always pay more and the value of your house will be less.

These reckless taxes from the Labor Party are putting in danger our AAA credit rating. If we were to lose our AAA credit rating, our cost of borrowing would be higher, the states' cost of borrowing would be higher and Australians would be paying more for everyday costs across the economy.

The member for McMahon has said just in the last couple of days, 'This is exactly the right time to reduce negative gearing.' That's what he said. But what we're hearing from the experts—the Master Builders association, RiskWise, Citigroup, Fitch, Standard & Poor's—is: 'Don't risk the housing market. Don't risk the property market.' Only the coalition can be trusted to keep the value in your home and trusted to keep your rents lower.

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