Baird's housing plan a drop in the stamp duty ocean

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Mike Baird’s plan to invest $400 million in new land release is a drop in the ocean compared to the almost $6 billion dollars his Government will collect in stamp duty taxes this year alone.

The Premier’s one dimensional plan to invest just six percent of stamp duty taxes in new land releases would do nothing for modest income earners currently locked out of Sydney’s housing market.

House prices in Sydney have jumped almost 40 per cent in the last three years. It will be another two years until the Premier’s new housing blocks announced today are available.

Opposition Leader Luke Foley said the biggest challenge the Government faces in the coming budget is working out how to spend all the money.

“The ludicrous state of the Sydney property market is literally providing rivers of gold to the Baird Government,” said Mr Foley.

“To return a meagre six per cent of stamp duty taxes collected into housing affordability is an insult to first home buyers across the state struggling to find a house.

“How are those modest income earners like our teachers, nurses, police, firefighters and paramedics supposed to buy a house in Sydney close to the communities they serve?

“It’s a sad state of affairs when those who serve our state day in and day out can’t become home owners because they simply can’t afford it.”

Mr Foley said it was time the Government looked at targeted planning measures to mandate the provision of affordable housing.

“Releasing more land is not the silver bullet to fix housing affordability,” he said.

“When debating the Government’s new planning bill, I was accused of ‘class warfare’ for wanting to include affordable housing provisions in their new legislation.

“Mike Baird is a true Liberal and I know it’s in his DNA to let the market drive housing affordability.

“But this is an extreme case of market failure and the Government needs to start having wider conversations about how we get families with low and modest incomes into home ownership.”

Shadow Minister for Family and Community Services Tania Mihailuk said: “The Government took a housing policy to the election that was unfunded and wafer thin on detail.

“Now we see an announcement of new land supply in isolation to any other affordable housing plan.

“This is a haphazard approach to planning and shows the Government has no real clue on how to bring Sydney’s overheating housing market back under control,” added Ms Mihailuk.