The Allan Labor Government must today rule out supporting a proposed new property tax on new developments across the Mornington Peninsula Shire.
The proposed tax would see Mornington Peninsula Shire impose a 3.3 per cent levy on new residential and some commercial and industrial developments and could add $35,000 to the cost of a median new home.
The funds raised would be used to build new social housing in the region, as waitlists continue to climb and social housing stock remains stagnant under the Allan Labor Government.
This proposal follows recent property industry warnings of the dire impact Labor’s highest in the nation property taxes are having on critical investment and construction sector confidence.
Shadow Minister for Local Government, Peter Walsh, said: “Local Governments across Victoria should remain focused on delivering value for ratepayers. If this tax is passed by Mornington Peninsula Shire, then Premier Allan must commit to overruling it.
“Victoria’s housing affordability crisis is a serious issue, but it is not the role of local government to add tens of thousands of dollars to the cost of a new home because Labor cannot manage public housing.”
Shadow Treasurer, Brad Rowswell, said: “You can’t tax your way to more affordable homes and this proposal must be ruled out.
“The best way to get more homes built is to reduce, not increase, Victoria’s punitive property taxes which are driving critical investment in new housing stock interstate.”
