Julia Gillard’s carbon tax to hurt housing sector in the Hills

 Thursday, 14 July 2011

Labor’s Carbon Tax will hurt homeowners, renters, builders and manufacturers in the Hills who are already struggling under Labor’s financial mismanagement and the worsening housing shortage, said the Federal Member for Mitchell, Alex Hawke MP.

 “Julia Gillard’s $23-per-tonne Carbon Tax will add at least $5,000 to the cost of building an average new home and this is expected to flow on to the cost of existing homes,” Mr Hawke said.

 “Homeowners in the Hills are already facing higher electricity costs, gas bills, and water rates while rents are also rising well above inflation.

 “With a national housing shortage of 202,400 homes and low levels of housing affordability, the last thing we need is a hike in the cost of construction and development that will result in higher mortgage repayments and higher rents.

 “Builders already have to meet strict energy efficiency requirements. The industry does not need another impost, especially one that will provide no environmental gain.”

 Mr Hawke said that the housing sector is dominated by small sub-contractors who will not receive any compensation under the Carbon Tax.

 “Self employed people are effectively being punished by this Carbon tax,” Mr Hawke said.  “They are the big losers out of Julia Gillard’s wealth redistribution.

 “The Carbon Tax will also cost jobs in the Australian building product manufacturing sector, which will struggle to compete with similar producers in countries with no carbon tax. Building products like kitchen cabinets and benchtops, windows and doors will all increase in price, for no environmental gain.

 “The housing sector in is just another victim of Julia Gillard’s ‘not under the Government I lead’ Carbon Tax,” Mr Hawke said.