Matt O'Sullivan (WA, Liberal Party) Share this | Link to this | Hansard source

I am proud today to speak in support of the More than Mining campaign, which is designed to give individuals and small employers in regional Australia the same tax treatment that our biggest companies enjoy in relation to housing. Nowhere is this reform more desperately needed than in the Pilbara region in Western Australia. The boom-bust of the Pilbara real estate cycle is legendary, with fluctuations of over 50 per cent when the cycle swings. In Port Hedland people regularly pay over $1,000 a week for a fibro three by one. That's over $50,000 a year for an entry-level house. This is prohibitive not only for those working in the mining industry but for everyone else within the community. Unless you work for a mining industry company that provides you with a house, you really don't get to get ahead.

If a big company pays for staff housing, it is a business expense and, therefore, it can be wholly written off. A regional worker who salary sacrifices for their mortgage enjoys only a 50 per cent write-off. I believe this should be extended to 100 per cent, even if only as a trial, to encourage more people to put down roots and call the regions their home. The fringe benefits tax was never meant to capture remote housing. The Regional Australia Institute estimates that, for every 100,000 Australians who choose to live in growing regional cities rather than our big five cities, an additional $50 billion will be released into the economy over 30 years in reduced congestion costs and increased consumption. This reform will work towards this. I commend this campaign to all senators.