More uncertainty for housing market as Labor dithers on NBN

The Gillard Government has created more uncertainty in the housing market, by failing to include legislation to ensure its broadband network is installed in new housing developments, on its list of bills to go before Parliament next week, said Senator Marise Payne, Shadow Minister for Housing.

“There is already a shortage of 178,400 houses in Australia and by dragging its feet on important legislation to give certainty to developers over broadband installation, Labor is making the problem worse,” Senator Payne said.

“Labor still hasn’t finalised who will cover the cost of installing fibre in new property projects, so this could mean increased costs for developers and for new home buyers.

“The housing industry is already suffering from a shortage of skilled tradesmen, which Labor hasn’t helped by continuing with its wasteful school halls program that sucks resources out of the residential building sector.

“Housing affordability is already at record lows and with interest rates set to increase substantially in the coming months, homeowners and aspiring homebuyers are set to feel more pain in the hip pocket.

“But despite all this, Labor continues with its inflationary stimulus spending including $8 billion yet to be rolled out.

“Australian homeowners are rightly asking: why does Labor intend to keep its foot firmly planted on the stimulus accelerator while the Reserve Bank will be hitting the brakes?”

“Labor’s failings are not only putting the future supply of new houses in jeopardy, they are making it harder for families to service their home loans.”