Wayne Swan (Lilley, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question is to the Prime Minister. I refer to the Prime Minister’s statement yesterday that the monthly mortgage payment on the average mortgage of $220,000 is $1,430. Is the Prime Minister aware that the monthly mortgage payment on an equivalent sized mortgage would currently be $1,169 in the United States and $1,234 in the United Kingdom? When will the Prime Minister admit that Australians are paying some of the highest interest rates among developed countries?

John Howard (Bennelong, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

I welcome this resort by the member for Lilley to American and British analogies. I am reminded, in the context of industrial relations, of that immortal injunction of Tony Blair’s that fairness in the workplace starts with the chance of a job. I am fascinated that the member for Lilley wants this government to embrace the economic policies of the current United States administration. I wonder if the member for Lilley would like us to embrace, as one of his predecessors did—

Anthony Albanese (Grayndler, Australian Labor Party, Deputy Manager of Opposition Business in the House) Share this | Link to this | Hansard source

Mr Speaker, I rise on a point of order. Apart from the fact that the member for Lilley does not want to embrace—

David Hawker (Speaker) Share this | Link to this | Hansard source

The member for Grayndler will come to his point of order.

Anthony Albanese (Grayndler, Australian Labor Party, Deputy Manager of Opposition Business in the House) Share this | Link to this | Hansard source

The point of order is on relevance. It is a question about interest rates. The Prime Minister does not want to talk about that.

David Hawker (Speaker) Share this | Link to this | Hansard source

The member for Grayndler will resume his seat. The Prime Minister is answering the substance of the question.

John Howard (Bennelong, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

I wonder if they would like us to have a look at the capital gains tax on the family home that exists, subject to certain thresholds, in both Britain and the United States. When he asked me that question, I was reminded of that great Labor campaign in 1980, when Peter Walsh raised the possibility of having a capital gains tax on the family home. If the opposition wants—

Wayne Swan (Lilley, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

Mr Swan interjecting

David Hawker (Speaker) Share this | Link to this | Hansard source

Order! The Prime Minister will resume his seat. The member for Lilley will remove himself under standing order 94(a).

The member for Lilley then left the chamber.

Anthony Albanese (Grayndler, Australian Labor Party, Deputy Manager of Opposition Business in the House) Share this | Link to this | Hansard source

Mr Speaker, I rise on a point of order on relevance. It is a question about interest rates.

David Hawker (Speaker) Share this | Link to this | Hansard source

I have just ruled on that point of order.

Anthony Albanese (Grayndler, Australian Labor Party, Deputy Manager of Opposition Business in the House) Share this | Link to this | Hansard source

He hasn’t mentioned interest rates.

David Hawker (Speaker) Share this | Link to this | Hansard source

The member for Grayndler will resume his seat and will not debate it. I will rule on his point of order. The Prime Minister is answering the substance of the question.

John Howard (Bennelong, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

If the Labor Party wants to start advocating American housing policies, including a capital gains tax on the family home, this government will be very happy to oblige the member for Lilley and, indeed, the Leader of the Opposition. Of course interest rates in the United States have been lower than they have been in Australia; that is obvious. The reason is that the United States economy was flattened a few years ago by adverse economic developments. The reason the Australian economy was not flattened is that this government managed the Australian economy better than the American administration did the American economy.