NSW ‘open’ to following Vic’s 7.5pc Airbnb tax

NSW Housing Minister Rose Jackson will meet with the Andrews government in the coming weeks to view the modelling on which Victoria based its 7.5 per cent Airbnb levy, and to gauge whether it would ease a rental crisis in the state.

The levy was an attractive option, she said, but the government was also exploring other measures to encourage investors and homeowners to tip their properties into the long-term rental market.

“Does a 7.5 per cent levy really incentivise the transfer of properties from the short-term market to the long-term market? I’m not sure that it does,” Ms Jackson said.

The Minns government used its first budget on Tuesday to unveil a $2.2 billion housing and infrastructure fund to try to remove roadblocks to building the 75,000 homes a year required to meet the federal government’s ambitious new housing targets.

The state is currently on track to fall short of its five-year housing targets by about 134,000 homes, with latest government projections showing the state is expected to deliver just 36,000 new homes a year for the next five years.

Queensland Deputy Premier and Planning Minister Steven Miles said a review of the south-east Queensland regional plan – which includes a 20 per cent social housing target for each local government area – would help ease the pressure on housing supply.

The Palaszczuk government is also conducting an audit of state-owned land and building to identify new housing opportunities. More than 2000 parcels of land have been reviewed with 17 sites shortlisted.

But with an extra 2.2 million people expected to move to south-east Queensland by 2046, the housing issue is not going to go away.

“Queensland has already made a range of significant reforms, and has others underway, to respond to increase housing supply, diversity and affordability,” he said.

“The plan provides a blueprint to local government and industry on how we can deliver another 900,000 homes by 2046, including a 20 per cent affordable housing target.”

Last year, Brisbane City Council – the largest local municipality in Australia – flagged lifting rates for some short-term rentals.

However, University of Queensland research found short-term rentals were not a significant factor on rental affordability, saying the biggest issue was the limited supply of houses.

South Australian Treasurer Stephen Mullighan said there were no plans to introduce an Airbnb levy in the state.

“We made a commitment at the last election of no new taxes, and we are keeping our promise,” Mr Mullighan said on Thursday.

He said the centrepiece of the SA budget in June was a $475 million housing package which abolished stamp duty for first home buyers on new homes valued up to $650,000, or vacant land up to $400,000 to build a new house. That would deliver 3,600 new homes over five years.

“We are pulling every lever possible to boost supply,” he said.

A WA government spokesman said the state was already ahead of Victoria in reforming its planning system to spur housing development by streamlining approval processes.

The planning reforms allow developers to choose to circumvent a local government, and instead apply to an independent panel to assess multi-level developments worth more than $2 million.

The spokesman said the state was unlocking “lazy government land” by encouraging new developments with a minimum of 20 per cent social housing.