Chris Bowen (McMahon, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question is to the Prime Minister. How is it fair for this government to continue to give investors buying their sixth or seventh home more support than a young couple trying to buy their first home?

Malcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

This budget has delivered unprecedented support for housing affordability right across Australia. It is going to deliver stronger supply, which is the answer to housing affordability—particularly in the honourable member's city, and mine, Sydney, and also in Melbourne—and it is going to give young home buyers greater ability to save for a deposit. I want to ask the Treasurer to enlarge on this, because he has put together a comprehensive housing affordability package.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

The opposition is seeking to put a cruel hoax on Australian people when it comes to housing. Those opposite seem to think that, if they say to the mums and dads, who actually put a roof over the heads of some 25 per cent of the country, 'We'll put up the rents,' that will somehow make housing more affordable. Negative gearing has enabled a roof over the head of a quarter of the country. Those opposite want to take a chainsaw to the housing market at the peak of the housing boom.

Ms Ryan interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Lalor!

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

That reminds me of something they once did before.

Ms Ryan interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Lalor is warned!

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

When they introduced the mining super profits tax—

Ms Ryan interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Lalor will leave the chamber under standing order 94(a).

The member for Lalor then left the chamber.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

they did it at the peak of the mining boom. And we all remember what happened after that.

What is happening in our housing markets is highly sensitive. Those opposite want to go into the housing market and hack away with an axe. What that potentially does to the housing market, with the broader economic shock that can cause across the economy, is cost jobs. It will hurt Australians and their futures and their incomes. What we have done is put a calibrated package together by using the regulators to ensure the regulators can go in with their changes to borrowing requirements, which means we can ease the pressure on the top part of that market with investors. We are reintroducing the cap on foreign investment in residential development, which the shadow Treasurer lifted when he had the opportunity to do something about this. So we are putting in place the caps that they took off and we are ensuring that foreign investors also do not get the capital gains tax concession for their principal residence. We are using the tax system. We are using the regulatory controls that are available to us to put downward pressure on those investors and that investment pressure in the market. Those opposite want to take to the housing market with an absolute axe. It is irresponsible and it has grave economic consequences for every Australian.