Coalition plans $31bn savings to fund income tax cuts

Summarised from 2 outlets · 4 reports · Updated 26 Oct, 04:19 · Archive

Australia's opposition coalition would scrap climate and housing programmes to fund income tax indexation, claiming $31bn in savings.

Australia's opposition coalition plans to fund income tax cuts by scrapping $31bn in climate and housing spending. Coalition leader Angus Taylor said the savings would more than cover the cost of indexing income tax brackets to inflation, which he claimed would leave the budget an extra $22bn better off over four years from 2028/29 to 2031/32. Workers would receive $250 in the first year under the policy, rising to $1,000 by the fourth year, according to the opposition.

The programmes to be axed include the Australian Renewable Energy Agency, which hands out grants to renewable energy projects; the Housing Australia Future Fund, which funds social and affordable housing; the National Reconstruction Fund, responsible for industry funding; and the Net Zero Economy Agency. The coalition would also scrap subsidies for electric vehicles and home batteries. Other targets include industry subsidies for green hydrogen, aluminium and critical minerals, the Help to Buy initiative and Build to Rent tax breaks.

Taylor argued that Labor's 'climate bureaucracy' was failing to lower emissions and its 'housing bureaucracy' was not delivering houses. Opposition treasury spokesman Tim Wilson said the policy would address inflation and provide economic hope to households and small businesses facing rising costs.

How it is being reported

• Coalition pledges to save $31bn by scrapping Labor’s ‘climate bureaucracy’ to fund income tax cutsThe Coalition has revealed how it will pay for its ambitious plan to slash income taxes, claiming it will put more money back in workers’ pockets.The West Australian · 26 Oct, 04:03
• Coalition pledges to save $31bn by scrapping Labor’s ‘climate bureaucracy’ to fund income tax cutsThe Coalition has revealed how it will pay for its ambitious plan to slash income taxes, claiming it will put more money back in workers’ pockets.Perth Now · 26 Oct, 04:02
• Coalition eyes climate, housing money to fund tax cutsSavings of $31 billion earmarked by the federal opposition would be used to fund the coalition's plan to index income tax brackets.Perth Now · 26 Oct, 03:54
• Coalition eyes climate, housing money to fund tax cutsSavings of $31 billion earmarked by the federal opposition would be used to fund the coalition's plan to index income tax brackets.The West Australian · 26 Oct, 03:53

In this story: Angus Taylor · Tim Wilson · Australian Renewable Energy Agency · Housing Australia Future Fund · National Reconstruction Fund · Australia

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