Labor MP Jerome Laxale has doubled down on his concerns about the federal budget, acknowledging that he continues to receive mixed feedback from constituents regarding the government’s tax reforms and housing policies.
Laxale stands by budget critique
In an interview on Monday, the member for Bennelong told Sky News that while some voters have expressed support, many remain uneasy about the changes. This follows his earlier comments to The Saturday Telegraph in May, where he stated that more work needed to be done on how the budget impacts small businesses.
The Labor MP’s remarks came after Cabinet Secretary Andrew Charlton admitted to real concerns about capital gains tax reforms, which he said do not interact well with small businesses that have a low capital base. That marked the first time a senior government official broke ranks with Treasurer Jim Chalmers and Prime Minister Anthony Albanese.
Mixed feedback from constituents
Mr. Laxale noted that he has received a range of reactions since the budget was unveiled. “I’ve received lots of feedback over our four years in government about how difficult it is to own a first home. Forty per cent of Bennelong rent, that is a significant amount,” he said. “That’s what’s been at the heart of our budget, to try and address the inequality in housing affordability and change the status quo. This is a big change, but an important one for the right reasons.”
However, he admitted that not all voters are satisfied. “I’ve been receiving a lot of that feedback over a long time. Since the budget, mixed feedback in the inbox. In person, it’s been okay so far. I was out on the netball courts with the family on the weekend and received some positive feedback there at the gym, but we know there’s a lot of work to do here,” Mr. Laxale said.
Opposition praises Laxale’s courage
Shadow science and technology minister Aaron Violi commended Mr. Laxale for speaking out, saying it takes courage to criticise his own government’s budget. “It’s interesting when Jerome says he’s been getting mixed messages, that means it’s been really bad,” Mr. Violi said. “But credit to him. I will actually give Jerome credit. He’s one of the few Labor MPs that have come out to criticise this budget and say that it needs to change. So it’s genuinely credit where he does have the courage to speak out.”
Property market downturn
The discussion also touched on declining property values in Sydney and Melbourne. New figures from property data firm Cotality show that Sydney and Melbourne property values fell 0.9 per cent last month, with a 2.1 per cent decline over the past three months. Melbourne values dropped a further 0.8 per cent in May, taking quarterly declines to 2.3 per cent.
The downturn follows Treasurer Jim Chalmers’ sweeping changes to negative gearing and capital gains tax in last month’s budget, as well as the Reserve Bank’s decision to lift interest rates to 4.35 per cent. Mr. Violi said that in his seat of Casey, in Victoria, there has been a decline in confidence due to interest rate rises and global conflicts, and the budget blindsided everyone, causing another drop in confidence. “They don’t know what’s happening, what’s going to change, what else could change in the future, and that lack of confidence combined with the higher interest rates has meant that people are waiting and holding out,” he said.
Mr. Laxale noted a mixed bag of outcomes across New South Wales and Victoria, pointing out that duplex inquiries have gone up 72 per cent. “This has a long way to play out, but as I said, an important change at the right time,” he concluded.
