WA Budget Infrastructure fund key for property-led growth: Industry body

A $5 billion infrastructure fund and an asset sale strategy announced in the WA Budget has been lauded by the top industry body though it expressed unhappiness with the failure to address the issue of tax reforms. 

”The announcement of a $5 billion infrastructure fund and an expansion of the state asset sale program is essential for the property industry to participate in WA’s economic transition and growth outlook,” Property Council WA executive director Lino Iacomella said. 

“The promised infrastructure fund should also be backed up with a state infrastructure strategy to enable the property investment and development sectors to plan ahead with confidence."

Iacomella added that the council was keen to see the initiatives the infrastructure fund would support, including projects like the Max Light Rail and the federal Smart Cities Plan. 

But the Budget once again missed an opportunity to start tax reform in WA, said Iacomella.

“After three successive years of property tax hikes it is disappointing that the budget has no plan to phase out land tax aggregation, which discriminates against investors that own more than one property. Similarly, this budget does not address the issue of seniors being stung by a hefty stamp duty bill when downsizing or stamp duty equity for off-the-plan property purchases.”

These would help improve housing affordability, promote high quality infill development and boost the economy, said Iacomella.