06 February 2011
If the NSW Government wants to give Western Sydney residents relief from cost pressures, it should drop plans to jack up new home levies by 50 per cent, the Urban Taskforce said today. At todays Labor campaign launch the government promised to limit increases to some government charges.
This will apparently include stamp duties, land tax, motor vehicle taxes, recreational fishing licences, national park entry fees, driver licence fees and vehicle registration fees.
The Urban Taskforces chief executive, Aaron Gadiel, said last month the NSW Government reaffirmed plans to increase levies on new Western Sydney homes by 50 per cent from $12,000 to $18,000 each home, effective on July 1 this year.
This increase will further cripple the housing supply, Mr Gadiel said.
NSWs housing supply shortfall is forecast to reach 100,000 homes within three years.
Mr Gadiel said the housing undersupply is directly impacting on Western Sydney families.
In the last four years, median rents for three bedroom houses in outer suburban Sydney have soared by 44 per cent.
Thats an average annual increase of 9.5 per cent more than three times the inflation rate.
Any serious effort to constrain Western Sydneys cost of living increases must extend to the levies on the regions new homes.
They shouldnt just stop at recreational fishing licences and national park entry fees.
These are small change compared with a $6,000 tax increase on the cost of a new home.
The Urban Taskforce is a property development industry group, representing Australias most prominent property developers and equity financiers.