Politics With Michelle Grattan: Alan Kohler Says Labor's Tax Changes Won't Lower House Prices

Changes to negative gearing and the capital gains tax discount on housing (and probably other assets) are now considered certain in Tuesday's budget.

We don't know all the details but the driving idea is to tilt the balance away from investors towards first home buyers.

More broadly, the measures will be part of the budget wider theme of intergenerational equity.

On this podcast we speak to Alan Kohler who, among other roles, is a financial commentator for the ABC. He authored The Great Divide: Australia's Housing Mess and How to Fix It, published in 2024.

On why Labor is more willing to tackle negative gearing and the capital gains tax discount when it lost elections with such policies in 2019 and 2016, Kohler's says politics has moved on:

Asked if there's any reason for optimism given the multiple challenges in the housing market, Kohler says:

Kohler says continuing to make suburbs more densely populated can't be the only solution and Australia should look at better transport to regional cities:

On trying to recruit skilled tradespeople from abroad, Kohler points to the problem of migrants not having their trade qualifications recognised:

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