The NSW Labor Opposition says Premier Berejiklian needs to listen to the advice about negative gearing from her new high level affordable housing advisor.

The State Government has appointed long term former Reserve Bank Governor Glenn Stevens – to give his expertise on making housing affordable.

NSW Labor Opposition leader Luke Foley says the vastly experienced economist Mr. Stevens was Governor of the Reserve Bank when it made a submission to a Federal Parliament Inquiry into Home Ownership in 2015.

The Bank’s submission said:

That the Bank believes that there is a case for reviewing negative gearing.

The RBA stated that the interaction between negative gearing with aspects of the tax system should be taken into account.

Mr. Foley stated that Premier Berejiklian must now pressure her Federal Liberal Party colleagues to take the advice on board and reform the system.

Mr Stevens had been promised by the NSW Government that it had an open mind about reviewing the system and looking for new solutions to the housing affordability crisis.

Mr Foley argued that negative gearing changes must play a key role in that.

Quotes attributable to NSW Opposition Leader Luke Foley MP

“Glenn Stevens helped guide the nation’s economy for a decade. Gladys Berejiklian should take his Bank’s advice on negative gearing very seriously.

“The whole idea is to reform the system so that housing is affordable for ordinary Australians.  Glenn Stevens has already told a Federal Government Inquiry negative gearing has a role to play. The NSW Government should take that seriously.

“Ms Berejiklian already ignored the advice of one her Senior Ministers Rob Stokes when it came to negative gearing. She shouldn’t make the same mistake twice.

“If Gladys Berejiklian doesn’t take the former Governor of the Reserve Bank’s views on negative gearing on board – her whole attempt to convince us she’s serious about negative gearing will be shown to be a lie.”