SENATOR THE HON KATY GALLAGHER
MINISTER FINANCE
MINISTER FOR WOMEN
MINISTER FOR THE PUBLIC SERVICE
MINISTER FOR GOVERNMENT SERVICES
E&OE TRANSCRIPT
RADIO INTERVIEW
ABC RADIO NATIONAL BREAKFAST
TUESDAY, 15 APRIL 2025
SUBJECTS: Housing; Campaign Launch.
SALLY SARA, HOST: Katy Gallagher is the Finance Minister and Labor Campaign Spokesperson, Katy Gallagher, welcome back to Breakfast.
KATY GALLAGHER, MINISTER FOR FINANCE, WOMEN, THE PUBLIC SERVICE AND GOVERNMENT SERVICES, LABOR CAMPAIGN SPOKESPERSON: Good morning, Sally. Thanks for having me on.
SARA: You've said that this policy, this housing policy, won't have a significant impact on house prices, but what will the impact be?
GALLAGHER: Well, the advice from Treasury is that it won't have a significant impact on prices. That's the advice we've got, that's based on the information we've already had from this program operating for some time. We've expanded it to 50,000. The estimates are that by opening it up to everyone, it would move to 80,000. But it is a relatively small -- well, not small, but a relatively modest component of the overall housing market. And that's the advice that Treasury has given us. We're not allowing first home buyers to borrow more money or to ransack their super under the Dutton idea. It's about allowing people to get into home ownership with a smaller deposit.
SARA: So, the modelling for Treasury doesn't say that it will have a significant impact, but what does it say?
GALLAGHER: Well, that is the advice from Treasury. I mean, where they provide advice to government on our policies, which they've done, their advice to us is that there wouldn't be any significant impact on housing prices. That is because of, I think, the numbers involved in the program. The estimates from Treasury are that it would increase that program to about 80,000, whereas if there are more, obviously we would deal with that. We want people to be able to use this program. But you also need to not to see it in isolation of all the other investments the Commonwealth is making into housing to increase supply. Because that is, as many have commented in the last few days the real issue, in terms of making sure that we're keeping up with demand is actually the Commonwealth doing what it can to increase the supply of housing. We've been doing that for the past three years and we want to continue that in a second term if we're fortunate enough to win government.
SARA: So, just to clarify before we move on, this modelling that you received, did it have a percentage increase impact on house prices?
GALLAGHER: Well, it was advice from Treasury and the advice was that this expansion of this program would not have a significant impact on house prices --
SARA: Is there a number?
GALLAGHER: No, there isn't a number. That is the advice from Treasury to us on this expansion. And again, I repeat, because of the experience we've had with the program already running, the fact that we've opened it up to 50,000, we would seek an expansion of that, but also that you're seeing or you take into consideration all the effort that is going into housing supply. And that's the real difference between what we're offering and what the Coalition are offering. So, we're more homes, cheaper deposits. The Opposition are less homes and higher prices. And so, there is a real contest on housing at this election and a real contrast between what we're offering.
SARA: So, if there is a contest, is it accurate to say still that in this first term Labor hasn't built any new houses?
GALLAGHER: Well, I've heard that criticism from the opposition. That's not true. I think you've seen the Housing Minister and the Prime Minister visiting new housing that's been created under our Social Housing Accelerator. And the criticism from the opposition is we haven't done enough, when they held up the legislation that we were trying to get through to build more houses in the Senate for nearly two years. But there is 28,000 homes under construction or in the planning stages, heading towards 55,000, plus a whole range of other programs that we're investing in to make sure that we're coming at this from every single angle. But I think for the opposition to criticise the delays in the Housing Australia Future Fund when they were the party responsible for holding it up for so long is really disingenuous.
SARA: The Opposition Leader has said that he wants to see prices steadily increase. Do you want the same?
GALLAGHER: Well, I think what we see over time is that housing prices increase. I mean the government's focus is not on that. It's on dealing with supply. That is our responsibility --
SARA: But if you change supply, do you expect that prices will steadily continue to increase?
GALLAGHER: Well, we've got a lot of demand for housing. I think if you talk to anyone, the issue with housing in Australia is the shortage of supply. And it's not only for your average person who wants to buy into the housing market, it's a shortage of rental properties. It's a shortage of social and affordable housing. And our Government, the Albanese Government has been coming at this from every different angle possible. Because we inherited a housing system that had been largely ignored by the former government and in three years, we're managing to turn that around and really put the Federal Government at the centre of housing supply in this country. And that hasn't happened for a long time.
SARA: Does Labor believe that rents should keep increasing too?
GALLAGHER: Well, I think rental affordability has been a huge issue. Again, when you go to our responsibility here, it's to look at what we can do to help people with those pressures, and that's why you've seen a 45 per cent increase in Commonwealth Rent Assistance in this term. Again, something that hadn't been done for a long time and also an in more social and affordable housing for people. We don't think renters have had a fair go. They have shouldered increases over time. Again, part of the issue here is a shortage of supply. That's what the Coalition oversaw the last time they were in government. We're trying to turn that around by helping people with that rental assistance but also trying to generate and actively involve ourselves in that end of the market.
SARA: In addition to finance, you're the Minister for Women. Can you point to me where in the housing policy from Labor is support for women over the age of 55, who are the fastest growing demographic when it comes to homelessness?
GALLAGHER: Well, yes, we do have programs that are targeted specifically to women. You'll see a component of the Housing Australia Future Fund that is targeted for housing for women. And again, by actually expanding the offering of social and affordable housing. That is exactly the demographic that will benefit from those types of programs. And this is what Peter Dutton wants to abolish. I mean, he wants to abolish the Housing Australia Future Fund, which is exactly targeted to helping out women who are often asset poor and when marriages break down or children have left home and women are financially insecure because they don't have enough super or financial assets. That is the issue for women over the age of 55 with housing, and we're absolutely determined to deal with that.
SARA: How's the relationship at the moment, the working relationship between Anthony Albanese and the Environment Minister, Tanya Plibersek? Why hasn't the Prime Minister resolved whatever may be going on with an important member of his team? It looked uncomfortable at the policy launch.
GALLAGHER: Well, I just don't accept that. I mean, I work closely with both of them and that is not my view of their relationship at all, and I think we see it up close as professional working relationship. I think Tanya and the PM both responded to questions on that yesterday. And honestly, I think the big picture at this election really should be focused on is we're really the choice between what Labor's offering and what the Coalition are offering. That's the big choice in this election campaign. It's whether you're building a better future, lowering taxes, strengthening Medicare, more homes, or we're facing cuts and more cuts to pay for Mr Dutton's nuclear reactor scheme. That's the real choice for people when they go and fill out their ballot over the next few weeks.
SARA: Katy Gallagher, thank you for your time again. Thank you.
GALLAGHER: Thanks very much, Sally.
ENDS
