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

My question is to the Minister representing the Minister for Finance. Can the minister confirm that the Minister for Finance said:

We went to the last election promising no increases in taxes on investment—specifically, no reduction in the capital gains tax discount, no changes to negative gearing—we stick to our commitments.

Does this reflect the position of the government? Is the budget being drawn up according to the principles of the finance minister?

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

As the Prime Minister has noted, the budget will be in less than two months, and what this government has always stood for is this: we understand that increasing taxes does not build houses. You have to build more houses in this country if you are interested in having a housing affordability policy. The member opposite has been asking about capital gains tax, he has been asking about negative gearing, as if he thinks that if you change arrangements to either of these measures—

Hon. Members:

Honourable members interjecting—

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

The member for Sydney is warned. I want to make sure she has heard that she has been warned. This is needless interjection. It is Monday—seriously—and it is question eight.

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

At the last election we made it very clear that the reckless policy that was put forward by those opposite on capital gains tax and negative gearing would have presented a very real threat to the stability of Australia's housing market. Since that time, the risks continue to present themselves, absolutely, in relation to the policies that those opposite advocate when it comes to the housing sector. The Labor Party do not have a housing affordability policy. What they have is a policy to increase taxes and that is all—to take the money and put it in their big bag of cash, because they cannot bring themselves to control spending. If those opposite actually thought that revenue raised on that side of the ledger should be invested in improving social housing or doing something like that, then perhaps they would have a housing affordability policy. But they do not have a housing affordability policy. They have no plans to increase the supply of housing in this country, which is the key issue when it comes to addressing housing affordability. All the shadow Treasurer has is some promise to cut negative gearing access to those who are involved in doing this for their own futures whether they be police officers, nurses, teachers or the others who are simply saving for their future. What he wants to do is rip that offer of opportunity away from them, and he wants to do it—bizarrely—in a way that he thinks is trying to help them. All the shadow Treasurer and the Leader of the Opposition have when it comes to housing affordability is a cruel hoax. It is a cruel hoax, and he is trying to tell the people of Australia, 'If I put up your taxes, you'll be able to afford your houses.' It is a lie.

Mr Tony Burke (Watson, Australian Labor Party, Shadow Minister for Finance) Share this | Link to this | Hansard source

Mr Speaker, that last comment should be withdrawn.

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

I ask the Treasurer to withdraw his very last comment.

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

I withdraw.