Andrew Bragg

Answer from Penny Wong

The minister countered that loan approvals had risen by 8.9 per cent compared with the previous year, reaching their peak since 2021, while commencements grew by 15.2 per cent. She stated that more first-home buyers were entering the market under the government, with over 490,000 accessing it and 260,000 using a five per cent deposit. Regarding rents, she affirmed that Treasury modelling indicated weekly increases of less than $2, noting transitional arrangements for negative gearing. She did not directly answer who benefited from the taxes, instead focusing on the increase in supply and first-home buyer activity.

Answer from Penny Wong

The minister defended the government's focus on increasing supply through a $47 billion Homes for Australia plan. She stated that tax arrangements were changed to favor first-home buyers over investors. The minister cited data showing building approvals were 8.9 per cent higher than the previous year and commencements were 15.2 per cent higher, the highest levels since 2021. She rejected the premise that tax changes were causing a decline in construction, attributing improvements in approvals and commencements to government interventions.

Answer from Penny Wong

The minister stated that over 660,000 homes had been built since Labor was elected, with new home starts up 26 per cent and approvals rising for three consecutive years. She highlighted that more than 40,000 first-home buyers in New South Wales had entered the market through the five per cent deposit scheme. The minister argued that the government had invested in housing supply and tax changes to level the playing field, contrasting this with the opposition's reliance on the private market and opposition to tax reforms.

Answer from Penny Wong

The minister stated that the government wanted more housing supply and had invested $47 billion in the Australian Housing Plan. She noted that less than 10 per cent of SMSFs had limited recourse borrowing arrangements for residential property, and these arrangements accounted for less than one per cent of total residential borrowing. She explained that the ban on these arrangements was to protect superannuation savings, not to stop people from purchasing homes. She emphasised that the legislation would help 75,000 more first home buyers.

Answer from Penny Wong

The minister clarified that the agreement supported banning future borrowing by self-managed superannuation funds for residential property, noting that less than 10 per cent of such funds had these arrangements. She cited the 2014 Murray inquiry and Council of Financial Regulators reports regarding risks to retirement savings. She accused the opposition of defending the status quo and voting against tax cuts.

Answer from Penny Wong

The minister stated that budget papers indicated an increase in housing supply over the decade, with 75,000 additional first home buyers supported. She noted that negative gearing would remain available for new builds, which could choose between CPI indexation or a 50 per cent capital gains discount. The minister highlighted that over 660,000 homes had been built since the government took office and that new home starts were up 26 per cent. She stated that legislation defining new builds would be introduced later in the year following consultation.

Answer from Penny Wong

The minister stated that nearly 660,000 homes had been built nationwide since Labor took office, with over 6,000 completed using Commonwealth investment and 23,000 in planning or construction. She noted that new home starts had risen by 26 per cent compared to the previous year. The minister highlighted the $47 billion Homes for Australia plan, which includes the HAFF, and criticized the opposition for opposing the fund and intending to abolish it. She argued that the government was committed to building more social and affordable housing, whereas the opposition believed the government had no role in ensuring adequate housing supply.

Answer from Penny Wong

The minister denied the claim, stating the policies would result in 35,000 more houses than otherwise. She highlighted that the Local Infrastructure Fund would support up to 65,000 homes and tax changes would enable 75,000 additional owner-occupiers over the decade. The minister emphasized that negative gearing remained available for new builds and that the changes aimed to address the divergence between housing prices and incomes.

Answer from Penny Wong

The minister stated that details would be available in the budget, but emphasized that the government was committed to fairness and aspiration. She criticized the opposition for opposing housing supply measures and argued that the federal government had a role in facilitating home ownership. She asserted that the opposition did not believe the government should have a role in housing supply, contrasting this with the government's proactive approach.

Answer from Katy Gallagher

The minister stated that, over the year, private demand expanded more rapidly than public demand, citing contributions of 2.3 for private demand and 0.7 for public demand to annual growth. She affirmed the Treasurer's position was correct and contrasted the government's fiscal management with the opposition's election platform, which she claimed would have resulted in deeper deficits, higher debt, and higher taxes.

Answer from Penny Wong

The minister stated that five thousand social and affordable homes had been completed through Commonwealth programs, with a further 25,000 in construction or planning, including over 18,000 via the Housing Australia Future Fund. She noted that 21,000 more homes would be commissioned this year. Regarding the borrowing cap, she declined to provide specific projections, stating such details would be addressed in estimates. She rejected the premise of government failure, asserting that the opposition consistently opposed housing supply measures and did not believe government should play a role in increasing supply.

Answer from Penny Wong

The minister stated that Treasury advice indicated the impact on house prices would be minor, approximately half a per cent over six years, and that other factors like interest rates and supply were more significant. She challenged the opposition to explain the abandonment of their own super-for-housing policy and emphasised the government's focus on increasing housing supply and investing in social and affordable housing to address affordability.

Answer from Penny Wong

The minister rejected the premise that the scheme made housing less affordable, stating that lending rules and serviceability requirements remained unchanged. She argued that Treasury guidance suggested the effect on property values would be small. She highlighted that the deposit scheme was part of a broader strategy including increasing housing supply, training tradespeople, and kickstarting construction, noting that building approvals and commencements had risen.

Answer from Penny Wong

The minister stated that more than 5,000 homes had been completed through Commonwealth programs since the government took office. She attributed delays in HAFF progress to opposition and Greens blocking of housing supply. She listed specific HAFF projects in various electorates, including Penrith, South Grafton, and Southport.

Answer from Penny Wong

The minister stated that over 500,000 homes have been built nationwide since the government took office, with more than 4,000 completed using Commonwealth investment and 28,000 in planning or construction. She attributed delays to the opposition's stance on the fund and noted that the coalition had built only 373 social and affordable homes in their previous decade. Regarding the supplementary, she argued that opposing supply increases was illogical and listed specific HAFF projects in New South Wales, including 580 homes in Merrylands and Regents Park, 144 in Maroubra, 221 in Macquarie Park and Lane Cove, 16 in Coonabarabran, and 10 in Casino and South Grafton.

Answer from Penny Wong

The minister stated that over 28,000 social and affordable homes were in planning and construction, with 18,000 through the HAFF and National Housing Accord Facility. When pressed for the number of completed homes, she stated she did not have the specific figure in front of her but argued that the opposition's policy would result in zero homes being built. She highlighted that the opposition had sought to disallow 80,000 homes.

Answer from Penny Wong

The minister dismissed the notion that billionaires would utilise the scheme, stating it is designed for first-home buyers. She argued that the opposition stands in the way of housing supply, which is key to affordability. Regarding liability, she noted that the scheme saves first-home buyers approximately $1.5 billion in mortgage insurance over 12 months. She cited a default rate below 0.003 per cent and highlighted that only five guarantees had been paid out over seven years, despite nearly 160,000 guarantees issued.

Answer from Penny Wong

The minister stated that the government was focused on delivering policies to increase housing supply, including the construction code announcement. She contrasted this with the Opposition's election pledge to abolish the Housing Australia Future Fund and block supply measures. The minister argued that Australians had rejected the Opposition's stance on housing supply.

Answer from Penny Wong

The minister said that 18,000 dwellings were being planned or built via the HAFF and National Housing Accord. She criticised the opposition for opposing the fund and blocking 5,000 homes from proceeding during the caretaker period. She did not give a specific number for houses finished to date nor confirm spending of the remaining $277 million, instead focusing on the opposition's historical stance against the fund.

Answer from Penny Wong

The minister stated she was not aware of the specific NSW expansion details but would seek information. She reaffirmed the government's stance that organised crime has no place in unions and that the CFMEU is in administration to stamp out corruption. She rejected the proposition that the administration had failed, noting officials had been terminated. She also argued that housing shortages are driven by lack of supply, which the government is addressing.

Answer from Penny Wong

The minister affirmed the ambitious nature of the target and stated the government was committed to meeting it through supply-side measures and assistance for first-home buyers. She criticized the opposition for blocking housing legislation in the previous term. Regarding the Housing Australia Future Fund, she noted she did not have current operational data but highlighted that the opposition had previously blocked the fund's establishment.

Answer from Katy Gallagher

The minister rejected the claim, stating that thousands of houses were under construction with $33 billion in funding. She accused the opposition of voting against and delaying housing measures. She defended the 1.2 million homes target and criticized the opposition's policy of allowing superannuation access for housing deposits.