A report released this week by the Housing Industry Association (HIA) confirms the damage Labor's excessive taxes have had on Victoria's property market.
Since 2014, Labor have introduced 55 new and increased taxes, fees and charges, with the majority hitting the property sector.
The 2024-2025 State Budget confirmed that the Victorian Government is on track to collect $21.5 billion in annual revenue from Victorian property taxes alone - almost half the state's tax take.
HIA's report identifies Labor's windfall gains tax, recent hikes to land tax and costs associated with changes to the National Construction Code that have made Victoria an unattractive place to invest in housing. Depleted investor confidence has created acute housing supply issues across the state, leading to soaring costs for aspiring Victorian homeowners and renters.
This report follows recent findings published last week by the Urban Development Institute of Australia (UDIA), warning that Victoria's development of new apartment supply between 2022-2027 is on track to halve from what it was in 2016-2021.
Shadow Treasurer, Brad Rowswell, said: "Last week, when the Treasurer was asked whether he would rule out introducing or increasing taxes he said, 'never say never,' a tone-deaf signal at a time when investors need certainty and tax relief.
"HIA's insights confirm that Labor's taxes and regulations on the housing industry are driving development away and pushing up housing costs for all Victorians. This report couldn't have been any clearer – Victoria needs urgent tax reform. So, when will the Allan Labor Government start listening?"
Shadow Minister for Housing Affordability and Home Ownership, Evan Mulholland, said: "HIA's report paints a bleak picture about Victoria's future. With Labor's taxes and regulations making up a large proportion of the cost of new builds, it's difficult to see a pathway to homeownership for young Victorians.
"Premier Jacinta Allan needs to cut property taxes to give Victorians true cost of living relief.
"Labor cannot manage money, cannot manage housing and Victorians are paying the price."
