May 11, 2018 Budget delivers another body blow to WA housing sector The McGowan Government’s new foreign investment tax of 7 per cent is another blow for the struggling WA property sector and for WA home owners, according to Shadow Housing Minister Peter Collier. “This new tax will put further downward pressure on the stagnant WA housing market,” Mr Collier said. “The housing sector is a major contributor to employment in WA and the McGowan Government is hell bent on cutting the legs from under it. “What this Government does not understand is that its xenophobic attack on investment will be a major blow to housing demand which hurts house prices, hurts the housing sector and hurts jobs.” “What Premier McGowan further does not seem to understand is that by hurting housing demand he will reduce stamp duty revenue to the State Government and hurt the State’s finances.” Mr Collier said this latest hit for the housing sector came on top of the McGowan Government’s decision to cut the $5000 First Home Owner Grant boost in July 2017. “Since that cut, housing approvals have collapsed by 14 per cent,” Mr Collier said. “This is exactly the wrong time in the economic and property cycle to implement a new tax that further undermines demand. “Premier McGowan just does not realise that he cannot tax Western Australia to prosperity.” Media Contact |
