Housing Affordability set to rise under Carbon Tax
July 22, 2011
Homeowners, renters, builders and manufacturers who are already struggling in a toughening housing market will struggle further with increased costs under Labor’s Carbon Tax, Sharman Stone, Federal Member for Murray said today.
“The carbon tax will add at least $5,000 to the cost of building an average new home and put further pressure on a market that is already experiencing a downturn locally.
“Homeowners and renters are heading for higher electricity, gas bills and water rates and rents are also rising well above inflation. How much more can we take and for what environmental gain?’ Sharman Stone questions.
“With a significant national housing shortage and low levels of housing affordability, the last thing residents need is a hike in the cost of construction and development that will mean higher mortgage repayments and higher rents.
“Our local housing market is mostly made up of sub-contactors who have been offered no compensation under Gillard’s super carbon tax package. These hardworking contractors are effectively being punished for being self-employed, and yet they are the back bone of the building industry. How will they continue to be viable with even greater cost imposts?
“The building product manufacturing sector will also be greatly affected. These businesses will have to compete with similar producers in countries with no carbon tax. Building products like cement, kitchen cabinets and benchtops, windows and doors will all increase in price; again, for no great environmental gain,” Sharman Stone said
“I have to wonder just what this Gillard Government is trying to achieve. Higher prices, lost jobs and still no clear picture of how it will actually reduce Greenhouse gas emissions. Bring on the next election and let the Australian people have their say.”
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