ABBOTT V TURNBULL: RAIDING SUPER FOR HOUSING DEPOSITS

ABBOTT V TURNBULL: RAIDING SUPER FOR HOUSING DEPOSITS

Tony Abbott has come out strongly in support of a proposal to allow early access to superannuation for a housing deposit, calling it “a good idea”.

Malcolm Turnbull in 2015 called the same proposal “a thoroughly bad idea”.

So hopefully the Australian people never hear any more about of this crazy proposal again.

This is one crazy idea that the Prime Minister actually needs to hold the line on and not cave into populist pressure from Tony Abbott and out-of-touch Coalition backbenchers.

Saul Eslake on ABC730 put it most simply and eloquently last night on this proposal:

“I think this is a very bad idea. The reality is that anything that allows first home buyers to pay more than they otherwise would without those schemes, for the property they buy, results primarily in more expensive properties rather than an increased proportion of people owning their own home.”

This crazy idea has more traction within the Liberal Party this year o because the Government has tied itself up in political knots on negative gearing, to the point it can no longer act, and so is left pursuing really bad public policy ideas.

Such policy ideas will do nothing other than bid up house prices making affordability worse and undermining the retirement savings of young people.

Note: As this media release is distributed, fresh reports are suggesting this proposal has been killed off in the latest example of the Treasurer’s shambolic approach to public policy.

TUESDAY, 11 APRIL 2017


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