“Master Builders Australia welcomes the announcement of Labor’s Build to Rent tax concessions that will encourage institutional investment in housing and boost residential building activity,” Denita Wawn, CEO of Master Builders Australia said.
“However, Labor’s announcement that its increase of capital gains tax and restrictions on negative gearing will start from 1 January 2020 does nothing to allay concerns about the impact on building activity and the housing supply,” she said.
“Our modelling that shows Labor’s policy will reduce the number of new homes by up to 42,000 and deprive the economy of up to $11.8 billion worth of building activity,” Denita Wawn said.
“Master Builders Forecasts tell us that we need 62,000 new homes built each year to meet the community’s demand for housing,” she said.
“We need all incentives for investment on the table rather than taking away incentives from one part of the market to prop up another,” Denita Wawn said.
“This is just robbing Peter to pay Paul,” Denita Wawn said.