Andrew Bragg (NSW, Liberal Party, Shadow Minister for Housing and Homelessness) Share this | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Senator Wong. Yesterday the Prime Minister, who you represent in this chamber, Senator Wong, announced that the Home Guarantee Scheme would be expanded, and it will now be uncapped and no longer means tested. Can the minister please explain why the Albanese government has decided to allow the children of billionaires to use taxpayer dollars to ensure their first houses?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

Senator Bragg, can I first say that I don't know many kids of billionaires, but I would have thought they would hardly be the ones that would be focused on this kind of deposit, or otherwise there's a big issue in the family, I reckon! The point I'd make, senator, is that I think we all find it quite difficult to take seriously your criticisms of this policy, which is about trying to enable more first-home buyers to access the market, when you are standing in the way of more houses. It's as simple as that. You are standing in the way of more houses in this country. You have this bizarre position, Senator Bragg, where, on the one hand, you say, 'We don't actually want people to be helped into the market,' by focusing on some mythical billionaire's family, but all of the real people who are trying to get into the market and who this policy supports? You pretend to ignore them. Meanwhile you stand opposed to more housing supply in this country, which is the key to affordability.

Does anybody actually understand Senator Bragg's housing policy? Senator Bragg, your housing policy appears to be, 'Let's make sure we have fewer houses for Australians, and then let's make sure we complain about it.' That's your position. That's Senator Bragg and the coalition's housing policy: 'We'll stop houses. Then we'll complain about there not being enough houses.' I think the Australian people are onto you, and they know who is listening to their concerns, who is acting on their concerns and who is not.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Bragg, first supplementary?

Andrew Bragg (NSW, Liberal Party, Shadow Minister for Housing and Homelessness) Share this | Link to this | Hansard source

Labor's expansion of the Home Guarantee Scheme does put taxpayers on the hook for every single mortgage which is going to be subject to these arrangements. As you know, there is no means test. Can the government please advise what the Treasury is advising the contingent liability would be, which taxpayers are now on the hook for?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

Senator, I'm sure you're going to have a wonderful time in Senate estimates going through the costings on this, and I look forward to how Senator Gallagher will respond to it. But I would make a few points to you. This is a plan that will save—

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

Billionaires lots of money.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

first home buyers, and this is who we're talking about—how many billionaires do you know are worried about their first houses? Actually, I shouldn't have say that; I think we know some! Well, we don't design policy for billionaires. That might be how you think about it.

Andrew Bragg (NSW, Liberal Party, Shadow Minister for Housing and Homelessness) Share this | Link to this | Hansard source

A point of order—the question was very specific. It was laserlike in relation to contingent liability.

Sue Lines (President) Share this | Link to this | Hansard source

Thank you, Senator Bragg. I'm not sure I completely agree with 'laserlike', but Minister Wong is entitled to take interjections. I have been trying very hard to get order in this place, but, seemingly, I've not been successful, and the minister is entitled to take those interjections. So, if you want your laserlike question answered, get your frontbench to keep quiet.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I'd make two points. The first is that this is a plan which will save first home buyers about $1.5 billion in potential mortgage insurance over the next 12 months, so there's a billion-dollar figure. These are first home buyers. The second point I would make is that I'm advised by Senator Gallagher that, obviously, the liability only arises on default and that the scheme has an extremely low default rate of less than 0.003 per cent. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Bragg, second supplementary?

Andrew Bragg (NSW, Liberal Party, Shadow Minister for Housing and Homelessness) Share this | Link to this | Hansard source

This is another very clear question, demanding a very clear answer, I hope. Industry estimates suggest the contingent liability could be as high as $60 billion. Has the government modelled this liability, and, if so, what exactly does your analysis show?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I'll make two points. The first is that this is a robust program that has operated for a long time. This Commonwealth has underwritten this scheme for almost seven years, issuing almost 160,000 guarantees, and in that time only five guarantees have been paid out. I know this is another scare campaign that those opposite want to run.

The second point I'd make—you talked about 'laserlike' clarity. Well, do you know what is really clear? Senator Bragg disallowing tax assessments that would provide for more houses. I know that's sensitive for you, but you are standing in the way of more houses.

Andrew Bragg (NSW, Liberal Party, Shadow Minister for Housing and Homelessness) Share this | Link to this | Hansard source

A point of order on relevance—the question was quite clear in asking about the contingent liability. I'd be grateful if the minister could address that part of the question. It was quite specific.

Sue Lines (President) Share this | Link to this | Hansard source

The minister is being relevant to the question, Senator Bragg, and I'll continue to listen carefully.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

With respect, I think it is relevant that you don't want more houses built. I think it's relevant that you don't want more rental properties for Australians. I think it's relevant that you complain about housing prices whilst opposing measures that will in fact try and deal with supply, which is key to housing affordability. I think that is called accountability. So we on this side make no apology for the fact that we will shine a light on your refusal to support more— (Time expired)