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The Victorian opposition has said it would scrap stamp duty for first-home buyers who purchase property worth less than $1 million if it wins the state election.
Key points:
- On day five of the election campaign, Opposition Leader Matthew Guy vows to ditch stamp duty for some homebuyers
- Labor promises to introduce a Victorian Veterans Card to help with the cost of living
- Premier Daniel Andrews clarifies he does not support a call from IBAC to jail journalists for reporting on draft investigations
The Coalition said the policy, costed by the Parliamentary Budget Office, would save 7,000 families up to $55,000 over a year.
"We want to get more Victorians into home ownership, not into long-term renting, but into owning their own home," Opposition Leader Matthew Guy said.
At the press conference announcing the pledge, Mr Guy initially said it would only apply to newly built homes.
The campaign later clarified it was for new and existing homes.
The policy would last for 12 months from January 1, costing the budget $261 million in lost revenue.
"We can't afford to do more than one year, but what we can afford to do is this," Mr Guy said.
"A sensible and reasonable way to help people get into their first home."
Scrapping stamp duty has been a key pre-election push from the Victorian Chamber of Commerce and Industry (VCCI).
The powerful lobby group has called for whoever wins the next election to follow the lead of New South Wales, where first-home buyers will be able to choose between paying stamp duty once, or opting into an annual tax on properties up to $1.5 million.
Mr Guy ruled out broader changes to the stamp duty system, saying "the system we have is where we're going to stay".
House prices in Melbourne, much like the rest of the country, are falling in the face of interest rate hikes and soaring inflation.
Grattan Institute economic policy program director Brendan Coates said the policy, if enacted, would likely slow the cooling of the housing market for homes under $1 million.
"This is the kind of policy we often see during election campaigns because it's popular, but it doesn't tend to do what we'd hoped it would do," he said.
"It doesn't raise home ownership in the long run, obviously costs the taxpayer money in the short run. It ends up with house prices being higher than otherwise."
Labor pledges to introduce veterans card
In a competing announcement on day five of the election campaign, the Labor Party has said it would introduce a Victorian Veterans Card to help with the cost of living if re-elected.
The card would include entitlements for Victoria's 90,000 war veterans, including a $100 discount on vehicle registration and free public transport on Anzac Day and Remembrance Day.
The program is expected to cost $37 million.
"Veterans from contemporary conflicts don't necessarily enjoy the benefits that some of the older veterans do under the federal system, so we want to acknowledge them," Minister for Veterans Shaun Leane said.
The card would also give veterans access to employment programs to find new work after their period of service.
Leaders reject IBAC call for harsher penalties on journalists
Meanwhile, Premier Daniel Andrews has moved to clarify his government would not introduce new laws meaning journalists could be jailed for publishing information about anti-corruption investigations.
The state's Independent Broad-based Anti-Corruption Commission (IBAC) on Wednesday sought an injunction against newspaper The Age over its reporting about a secret probe into the awarding of contracts to a union.
In a statement on Friday, IBAC explained the injunction and called for it to be an offence for journalists to publish the details of draft reports. The call prompted concern from press freedom advocates.
On Saturday Mr Andrews said he "certainly wouldn't rule out changes to the law at some point" when asked about IBAC's call for amendments.
However, on Sunday he told reporters his government had earlier rejected the push from the watchdog and had no plans to change the law.
"My position is very clear: We were urged to do that. We haven't," he said.
"So when I said I wouldn't rule out other changes, I meant in general."
Mr Guy said it was "most concerning" that the government had "equivocated" on the issue of press freedom.
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