ANTHONY ALBANESE, PRIME MINISTER: I'm absolutely delighted to be back in Tasmania, on the banks of the beautiful Derwent. And I'm here with the Premier of Tasmania, Jeremy Rockliff, about a project that we've discussed on my last visit to Tasmania with the State Minister, Kerry Vincent, and with a full crew of my team; Peter Khalil, the Assistant Minister for Defence, who has had responsibility for this program, as well as Tasmanian representatives, the Member for Lyons, Bec White, the Member for Franklin, Julie Collins, and of course Senator for Tasmania, who might have to duck off quickly because his partner's about to give birth to their first child, Richard Dowling. So, we wish him very well, Richard over the next 24 hours. But this is an exciting project. Back in February, my government committed to undertaking the most significant reform to the Defence Estate ever, to ensure it's fit for purpose, to ensure it continues to provide what we need for the defence of this country. But at the same time, to make sure that we are using facilities for the national objective, the national objective of building more houses, particularly in areas such as this. You look at this site and what a wonderful place it will be to live. This is a key recommendation of the Defence Estate Audit that we did to reduce Defence property holdings, including the divestment of several sites. This is about not just taking advantage of locations like this that aren't fully utilised, it also is about making sure that good fiscal policy, that the maintenance costs of a range of sites around the country, it's enormous, goes into the literally tens of millions of dollars, and it isn't the best way in which to ensure that our Defence dollars goes for the right purpose. And importantly, we've indicated that every single dollar that's raised from any of these projects will go straight back into Defence to provide us with the assets and support that we need going forward. Today, I'm very pleased that my government and the Rockliff Government have agreed to work together to redevelop and transform this site to provide more housing, open space, and community infrastructure. And we're working as well with the local council, the Mayor of Glenorchy here as well, to make sure the three levels of government working together in the interests of Tasmanians.
This transformation could result in up to thousand new homes. This announcement builds on the decisive action that we took last week to boost housing supply and deliver outcomes. We have said very clearly that housing supply since we came to office has been our concentration. Whether it is the Housing Australia Future Fund, where earlier today I was in Melbourne at a site of 45 homes, I was there a year ago when it was under construction. Today it's finished and tenants will be moving in over the coming weeks. Whether it's our Help to Buy scheme, shared equity, whether it's the five per cent deposits that have helped 250,000 Australians into their first home. Whether it be the changes that we've put in place as well to the arrangement of taxes with housing, so that there'll be 75,000 additional first home buyers will be able to access their first home. This is absolutely critical, because we know that the security of a roof over your head is a precondition for a good life, for good educational outcomes, for good health outcomes, for good employment outcomes as we go forward. Now, the transition will be managed in a staged and sensible way, in close consultation with the Defence workforce, and in close consultation with the local community as well. So, this is a good example of the three levels of government working together across party lines to make a difference for Australians. It's something that I'm very focused on, and I'm pleased that I continue to work constructively with the Premier of Tasmania, and we'll hear from him, and then hear from Peter Khalil, Kerry Vincent, the respective ministers, before we hear from the Mayor, Sue Hickey as well, and then we'll take some questions.
JEREMY ROCKLIFF, PREMIER OF TASMANIA: Thanks very much, Prime Minister. Thank you. And welcome once again to Tasmania, it's fantastic to have you here. It's not the first time that we've stood side by side in delivering co-investment for Tasmanians across a range of settings, whether that be housing, education, health, or indeed infrastructure. I was great to drive over the Bridgewater Bridge once again this morning. Can I welcome also Peter Khalil, Minister, to Tasmania, as well. Peter, it was fantastic to engage with you more recently, and other Federal Ministers about this particular site in Tasmania, and the work that you've been doing. And thank you very much for being so quick off the mark in terms of from our conversation to where we are today. Can I acknowledge Mayor Sue Hickey as well, and reinforce the fact that this is a partnership between three levels of government, and in particular a co-investment between Federal and State Government, and the resources of Local Government, as well, which is extremely important. Our Minister Vincent, and of course all the Federal representatives behind me, as well, all united in the fact, in the fundamental belief that every single Australian, and indeed Tasmanian, has that fundamental right to be safe and have a roof over their heads. It leads to the many things the Prime Minister was speaking about, in terms of long life, a healthy life, educational attainment. There is much to be said for supporting Australians, in this case, Tasmanians into their own homes. One of the best ways that we can do that, of course, is increase supply, and that's exactly what we have here at Dowsing Point, some 31 hectares that will be transformed, better utilisation of Commonwealth land to benefit, in this case, the Tasmanian people. And that 31 hectares will accommodate over time some a thousand new homes, whether that be public housing and affordable housing as well. So, thank you, Prime Minister. I'm very pleased to be able to advocate on behalf of Tasmanians to increase the housing supply, in this case, Dowsing Point, but also in combination with the Federal incentives that quite clearly are in the recent Budget, and as well as our partnership agreements on housing prior to that, this will be very beneficial to local Tasmanians, increasing supply and ensuring very clearly that through thorough planning and the homes that will be established here will be very close to amenities, green spaces, walking tracks, and transport links into the cities as well, both Hobart and Glenorchy. So, it's great to be standing here once again, Prime Minister, in partnership with you and your government, for the benefit of Tasmanians. Thank you very much.
PETER KHALIL, ASSISTANT MINISTER FOR DEFENCE: Well, thank you, Prime Minister and Premier, for having us here in Tasmania. It's great to be here again. And, as the Prime Minister has indicated, we've undertaken the most significant reform to Defence Estate in the history of the Commonwealth. And it has been predicated on a very clear and explicit recommendation that started with the Defence Strategic Review, authored by Sir Angus Houston and other eminent scholars that were very explicit about the fact that we needed to get our Defence Estate fit for purpose for the modern needs and capability needs of the ADF as we meet the challenges, the very complex strategic challenges that we are facing as a nation going forward. And the government has made decisions after many years of work, frankly, to divest 67 sites across the country. And let me be clear about this, these are hard decisions, previous governments of all persuasions, frankly, were unable to make these decisions. There was a lack, as it was said in the Defence Strategic Review and the Audit, a lack of political and organisational will to make these calls, but the Albanese Government has made the hard decisions, because it's in the national interest. Now, the importance of that is, as well, that that can actually be beneficial going forward, as we're seeing with the future of this site today. And the consultation that we've undertaken, and I've been here in Tassie, and visiting many times now, although I didn't feel like I need to be part of that Tasmanian Caucus behind me. It's so great to be able to have the Federal, State, and Local Government working together. I've met and had extensive consultations with stakeholders, with community groups, with veterans, with a whole range of people who are interested in the future of these sites. And the interesting thing about that is these inputs from these consultations, whether it's a town hall of 100 people up here in Hobart recently or whether I was up in Launceston, is that the local knowledge and the engagement leads to better decision making. In fact, here in Hobart, as an example, at Derwent, some of the input and the feedback has led to decisions to maintain the Veterans’ Men Shed, which is doing such important work for the community, and that's going to be retained and continued on with. So, we understand the other thing I want to say, Premier, you'll like this: Tasmanians are doing the heavy lifting per capita, they have the most number of members in the ADF, and so our commitment to Tasmania is to modernise and consolidate and make sure that we make the base infrastructure that we're providing for our men and women in uniform is fit for purpose and meets their needs. We're investing in a new multi-user depot up in the northwest of Tasmania for reservists, a state-of-the-art facility, a new tri-service facility for cadets, just in Launceston. Here in Hobart, we've invested over $20 million to modernise the Anglesea Barracks, the beautiful location here in Hobart. And there is some $400 million of investment in defence industry into this state. Tasmania is leading the way here. We've visited so many different companies here who are actually contributing to the advanced capability that the ADF is acquiring and doing some terrific work, whether it's CBG or Marine Brothers. They're all working on different aspects, working on things like the Hunter-class, so they're part of this process. And Tasmania is leading the way in research, as well. I visited the University of Tasmania, and some of the groundbreaking research on submarine technology is remarkable. So, this state is very much front and centre when it comes to defence, and we look forward to working with the state and local government on these wonderful projects going forward. Thanks for having us.
KERRY VINCENT, TASMANIAN MINISTER FOR HOUSING: Thanks very much. This is a pretty unique occasion. You don't get the opportunity to have this amount of land right next to all the services, so close to the city, 15 minutes out of the most beautiful city in Australia, just sitting here ready for development. So, I really do thank the Prime Minister for sharing the vision of the Premier, where he's had that vision for quite some time now, that this was a very valuable site for Tasmania. The infrastructure that's all around us at the moment makes this site very unique, with us having the ability to connect with people straight into the city, straight out onto the Bass, to the Midlands Highway up to the north to all areas of the state where tourism is such an important player in our area. The Cadbury Factory over our shoulder and MONA is there. This will be a unique place to live and be part of a growing area of Hobart and Glenorchy. It's amazing that we've had this site available to us, and now that we have, we need to make sure that we plan it properly. We work through the various issues and remediating the site and relocating the staff, and then go about building something that's going to be unique in Tasmania, and very important, important for the future of Tasmania economy. There's so many things that can happen on this site, with open space, with connectivity of waterways, and using the beautiful Derwent River, it will be a great place to live, and we have time on our hands now to work through all those issues and plan this as an amazing part of Hobart. Thank you.
SUE HICKEY, MAYOR OF GLENORCHY CITY COUNCIL: All levels of government know that we must arrest the housing problem, and the only way we can do that is by building new homes. But it's not enough just to put people into boxes. We have to build communities at this site, 31 hectares of waterfront land, close to all the services and amenities of beautiful Glenorchy, right under Mount Wellington, and with views up and down the river, and very near to jobs from Incat, MONA, and the new Chocolate Experience. This is an ideal place to build a community. Over a thousand homes are expected to be here, and the partnership of the Albanese Government, the Rockcliff Government, and the Glenorchy City Council will ensure that we have a community people want to live in and love for many decades to come.
PRIME MINISTER: Thanks very much. Happy to take some questions.
JOURNALIST: Prime Minister. How much did you sell this land off for? What was the value?
PRIME MINISTER: Those matters I think are commercial, but what we're about here, I'll make this point before I turn to the Minister, Khalil. When we talk about benefit, cost-benefit, you just look at this site. Now, I have in my office people think that in my office in Parliament House, they think the beautiful Lloyd Rees painting, artwork from the National Gallery, I must say, not owned by me, is of Sydney Harbour. It isn't. It's of the Derwent. And it is peaceful. It is beautiful. It is uplifting. And when I come in from Question Time every day, I look at that. And this site here – I mean, this is such a beautiful, stunning city, and I just hope that everyone in Hobart really, you know, cherishes this, but at the moment the site isn't valued properly. When we speak about value, the value isn't having sheds, the value will be having homes. With outlook, and uplifting people. And I think this is an incredibly exciting project. I sat in the Premier's Office about three, four weeks ago and looked out towards where it was and spoke with him about this project, and we decided then to try to get it fast tracked as soon as possible as a first site, and this will make an enormous difference.
ASSISTANT MINISTER KHALIL: Yeah, thanks, PM. That question around the commercial value, all of the sites as part of the divestment. There's 67 sites across the country that we have decided or announced to be divested because they're not fit for purpose for the capabilities we need. They will go through a valuation process. The Department of Finance will run its due diligence of that, but of course, with this site, we have great interest from the State Government, and we welcome that. It's fantastic that the PM and the Premier are working towards this site being something beneficial for the Tasmanian community through housing. So, the Department of Finance will go through those proper processes and the due diligence. We, with all the sites, we look at heritage, we look at issues around transition of personnel, which we're doing on this site, obviously, and any other issues that we may need to deal with, and that that is an ongoing process. It will take some time, but certainly the interest has meant we have really have a great opportunity here at Derwent.
JOURNALIST: Prime Minister, a busy few weeks in terms of housing. Some fresh polling shows that 83 per cent of voters think that you broke an election promise when it comes to negative gearing. Will you concede that you did break an election promise?
PRIME MINISTER: Well, we've changed our position. We've said that very clearly. But we've changed our position for the right reasons. 75,000 first home buyers getting into their first home. We have thrown everything at supply, including decisions like this one, including the Help to Buy scheme, the Build to Rent scheme, the five per cent deposits, the Housing Australia Future Fund, but we needed to do more. In this Budget as well, part of our $47 billion Homes for Australia Plan, we have an additional half a billion dollars to fast track planning through the environmental reforms that we planned and went through Parliament at the end of last year. In addition to that, we have $2 billion of which perhaps some of that will come into this project as well, that last mile infrastructure that's needed, whether it be water or sewerage or a road to make sure that housing can go ahead. So ,all of this has made a difference, but we need to do something about supply. And the difference between a young person, or anyone else, for that matter, investing in an investment property, which is, currently they're able to do. If they've done that, they will still be able to do that. No change in those arrangements. But if they want to go into a future investment in property in order to secure their increased assets and wealth down the track, then that's fine. It just has to be a new build, a new build. And what we're talking about here today is supply. So, if they do that, not only are they unlike an existing property investing in their own assets and their own wealth, they're doing that too, but they're doing something else, they're investing in the assets and the wealth of the nation. And that is why it is so important. That's why this reform, that was, will allow negative gearing to occur, and if it's in a new build, they can still have the Capital Gains Tax choice of either indexation or a 50 per cent discount, but the difference is they'll be helping with supply as well.
JOURNALIST: Is including testamentary discretionary trusts in the family trust reforms an inheritance tax by another name, and will you rule out future changes, which would tax the sale of the family home?
PRIME MINISTER: No, it's not. And what we'll see from the right-wing parties and some of their allies outside the Parliament, is a whole lot of misinformation, which is out there. We're being upfront, it's there in the Budget papers. And the Budget papers make it very clear that existing trust arrangements for discretionary trusts, which are testamentary trusts, there's no change to those if those arrangements are in place. In future, fixed trusts will again be exempt from taxation at the trust level going forward, as well. So, we've made that very clear. What we're doing here is making sensible reform, and there's a range of our opponents outside the Parliament who've written editorials for some time saying, ‘what we need is tax reform’. Well, what we're giving us tax reform, it's tax reform as well, that is treating income from working, which is how most people get their income, in a much more fair way with income from assets, which is legitimate, but at the moment has a massive advantage compared with the treatment of income from working. That's what most people have to do. That's what most people who come in here, most people working in those houses out there, that's where they get their income from, from going to work every day, working their guts out in order to provide a better life for their family. What we're doing here is tax reform that's real, it's something that's been called for for some time, and it stands on its merits on the basis of what we announced on Tuesday night, not on the basis of some of the misinformation, which has attempted to be out there. And what that says to me as well is if people don't have criticism of what we are actually doing as opposed to the misinformation, then that says that we've got it pretty right.
JOURNALIST: Angus Taylor plans to use indexation to beat bracket creep. What do you think about this?
PRIME MINISTER: Angus Taylor went to the last election, to be very clear, saying that he would reverse, as Shadow Treasurer, reverse our tax cuts that apply in just about six weeks now, every Australian worker will get a tax cut, all 14 million of them. We have tax cuts that are worth some $2,800 across the board. The measures that we've put in place, all of them have been opposed by Angus Taylor and the Coalition. When we changed the Stage Three tax cuts to look after lower middle income earners, they said they'd oppose it before they even saw it. Then they said they'd reverse it. Then they said there should be an election called on it. And then they voted for it. And then they voted for it. The question for Angus Taylor is, or whoever leads the right-wing parties at that time of the next election will be, will they stick to what they've said of saying they'll reverse all of this, will they really go to an election saying that these measures, which are fair, which are about giving young people a crack, and wherever I've been, including here in Tasmania, wherever I've been around the country, I've heard stories of young people trying to get into the housing market, and the truth is it's harder than it was for my generation. What we're doing is not kicking the can down the road, we're making difficult decisions, but they're the right decisions for the right reason. And it's not just young people who are concerned, it's something that parents and grandparents have said to me, they're worried about whether their young child or grandchildren will ever get access into a home, and I'm not prepared to sit back and see the Australian dream of home ownership become a footnote in history.
JOURNALIST: Do you think, in principle, that income tax brackets should be indexed to avoid incomes being consumed by bracket creep?
PRIME MINISTER: We've got tax cuts on July 1. And next year we'll have another tax cut on July 1, and we'll have as well our WATO, our Working Australian Tax Offset of $250 which will be permanent. Now, there's an enormous black hole in the Coalition costings. Angus Taylor gave a speech on Thursday night, then did 7.30 program, and couldn't say how much it had cost, having the previous morning the Finance Shadow Minister saying that it would all be fully costed. None of these policies were costed. His policy on migration, couldn't say how many numbers, what difference it would be. There were no facts there at all. Then they came out with a costing of $22 billion. We know it's at least $35 billion, because you can do the calculations just with the Parliamentary Budget Office website. Punch it in, and that's what will pop out at the end. And how do you pay for all of that, let alone if he's going to stick to WATO, or if he's going to reverse some of the other tax changes, which we're proposing as well. Where, where's the costings add up here? Now, every time I did a Budget Reply, and I got to give three of them – Sussan Ley, unfortunately, wasn't given the opportunity to do any - I had full costings for every policy, including our Housing Australia Future Fund, which is building houses for Australians right now.
JOURNALIST: The Opposition Leader this morning put 70 per cent as the figure to cut immigration by. What do you make of that figure?
PRIME MINISTER: Well, it's just plucked out. 70 per cent of from what base? I didn't see his interview. Well, who'd know? You don't know, and he wouldn't know either. I mean, this is – one of the things I would say about the policy on migration is that I've never seen a senior politician from a mainstream political party speak about Australians and migrants as if they were separate things. In this country, with the exception of First Nations people, we’re all either migrants or descendants of migrants going back generations, and migrants have helped to build this nation, and when you look at permanent residents, they contribute much more in taxation revenue than they do in any cost, which might be associated with that. This was an attempt to divide Australians. I want to bring Australians together. I want to value every Australian, no matter where you're born, no matter where you live around this great nation, and that's the way that you build people up. You know, Angus Taylor's speech was all about fighting One Nation. My agenda is to build our nation, build the nation of Australia. That's what my agenda is. And I'll work across the political spectrum with people of goodwill. I've got a very good relationship with the Tasmanian Premier, and what we're doing on sporting facilities, for example, which is also about housing, I'm very pleased that the project just down the River here will go ahead, which will not only provide a home for the Devils, but it's also about housing and about the quality of life and livability in this great city of Hobart. Just as the facility in Launceston, UTAS, which is under construction, will make a difference in the north of the state as well, it's very important, for the Devils being able to play in both places, and the Hawks hopefully continuing to play as well some games in Lonnie as well.
JOURNALIST: In regards to this development, have there been conditions placed on the State Government for this sale to go ahead in terms of, like, how much has to be social housing or affordable housing?
PRIME MINISTER: We'll work those things through, but it'll be a mix of housing, it'll be there'll be some social housing, and we're always happy to back and work with state governments about that. There'll be affordable housing for essential workers is something we're keen on, and then there'll be private development as well. One of the good things about a site like this is that you can have a mix, and that's what builds social cohesion as well. You want people in communities, many of whom are workers, people of different income, people of different capacity, so that that's the way that you build that sense of community here. And the great benefit of working closely as well with local government is that I want to see the sort of vision which is there, open space and ovals and places for kids to play. I want to see as well community facilities, so you need community halls, and as, as Peter has said, the Men's Shed that operates here, we want to see things like continue as well. You can really build, I think this is as exciting a project as any in the country. Full stop. Exclamation mark. And that's a source of incredible pride, and it will make what is the fantastic city of Hobart and the great state of Tasmania even better going forward. Thanks a lot.