REIWA has welcomed the 2019-20 Federal Budget, but feels more could have been done for WA.
President Damian Collins said the country’s improved fiscal position was a good indicator of economic recovery and he hoped WA would not be overlooked by the Federal Government.
“For too long WA has been a mere afterthought for our federal political parties,” he said.
“The country’s improved financial position presents the government with a good opportunity to increase its investment in WA and help our local economy recover and prosper.”.
Taxes – plus
The budget included no changes to property taxes or increases to taxes at all.
“This is welcome news for real estate agents, particularly those operating as a small business who can take advantage of the increase to the instant asset write-off threshold to $30,000,” Mr Collins said.
“This budget also provides tax relief for those earning less than $126,000, which is welcome news as well as a change in the tax rate to 30 cents in every dollar for those earning between $45,000 and $200,000 from 2024″
Perth City Deal – plus.
“The Federal Government has also recommitted to the Perth City Deal, which Reiwa welcomes and is a key advocacy component of the Institute’s 2019 federal election campaign,” Mr Collins said.
“It is imperative that the Perth City Deal be a priority in 2019-20.
“Perth has waited for more than two years for its City Deal that will provide additional funding for Metronet and other project that will create local jobs.”
Migration – minus
While overall the 2019-20 Federal Budget is positive, Reiwa is disappointed with the decision to cut overseas migration from 190,000 to 160,000 annually over the next four years.
“This policy is aimed at reducing congestion and overcrowding in capital cities like Sydney and Melbourne,” Mr Collins said.
“WA on the other hand has seen a decline in overseas migration.
“Our state needs migrants to fill demand for housing, increase housing construction, create jobs and stimulate economic growth.
“Any plans to cut migration on a national level will further hamper the recovery of the WA economy and property market. “Reiwa would like to see Perth back on the Regional Migration Scheme to ensure we have the population to support a strong property market and wider economy.”
Infrastructure spending – minus
While the Federal Government pledged a total of $40 billion to national infrastructure projects, WA was only assigned $1.6 billion of this funding.
“WA has yet again failed to receive its fair share of funding,” Mr Collins said.
“Our state is home to 10 per cent of Australians and we produce almost 15 per cent of the country’s economic output, so we should receive at least the same percentage in federal infrastructure funding.”
Riewa will continue to advocate for a fair share of federal funding for WA, as well as a commitment from the Federal Government to provide funding for the states and territories to conduct a feasibility study into abolishing stamp duty.
For more information about Reiwa’s 2019 federal election campaign, visit whataboutwa.com.au.