Angus Taylor, the opposition leader, has distanced himself from a recent policy proposal by Liberal frontbencher Andrew Bragg concerning the use of superannuation savings for first home buyers. Bragg, who serves as the shadow housing minister, suggested on Tuesday that Australians' retirement savings could be used as collateral for a loan or an offset to help with home ownership.
When questioned about the idea of using superannuation to increase a potential homeowner's borrowing capacity, Taylor stated that "the proposal you’re talking about there is not our policy." He added that the party would provide more details on housing policy generally in the near future.
Acting Prime Minister Richard Marles criticised the proposal, describing it as a "wholesale attack" on the compulsory super system. Marles highlighted the $4.8tn compulsory super system as "profoundly important" for Australians' retirement security.
Peter Tulip, chief economist at the Centre for Independent Studies, suggested that using superannuation as collateral for a home loan could be a better approach than the existing first home guarantee scheme. However, he noted that both approaches would likely boost housing demand and could worsen affordability by increasing prices.
Matthew Bowes, a senior associate at the Grattan Institute, expressed doubt that the policy would assist those most struggling to buy homes, as young Australians on low incomes are less likely to have substantial superannuation. Bragg later clarified in a speech that while these ideas are not current policy, they are considered options worthy of debate.