Jeff Kennett: Desperate Allan fails to see Victorians want Labor out of office

Jacinta Allan’s government has viciously attacked middle-income Victorians and businesses, and now the public is rising up and wants the opposition to unite and hold them to account.

The public overwhelmingly wants the opposition to hold the government to account for its management of the state, develop policies for the next election and develop the plan to address the almighty financial crisis the Andrews and Allan government have created.

Now is the time for all Liberal parliamentarians to unite, and work together in the public interest.

That Premier, Jacinta Allan, yesterday launched such a bitter and personal attack on John Pesutto is a sign of her desperation, ignores the fact that she and her government are the ones who the public hold in contempt, and wish to remove from office.

What she has failed to recognise is that every action by her government has viciously attacked middle-income Victorians and businesses. And they are rising up, saying they will not take it any longer.

At least the opposition announced yesterday that they would reverse the Allan tax on Airbnbs.

Small, but a start to rebuild economic activity, hope and confidence.

At least the opposition announced yesterday that they would reverse the Allan tax on Airbnbs. Picture: AFP

Which brings me to the much bigger issue of housing and accommodation in general.

It is the biggest issue for young people, and their parents.

It is not just access to standalone housing, but units and rental accommodation.

Again, not just an issue of supply but costs and availability.

Solving the crisis which will only get worse over the next few years, requires governments to think and act differently.

There are several ingredients that have brought us to the position we are in today.

Governments have given a priority to massive infrastructure builds. This in turn has sucked so many of our tradesmen and women, and labourers away from what they were doing before, into this vortex of employment at very high wages.

Second, there has been no priority given nor incentives to attract men and women into apprenticeships, which will provide the workforce to build accommodation if governments give housing a priority.

Housing has not been given the priority that infrastructure has – such as the latest and expensive white elephant the Suburban Rail Loop. Picture: Andrew Henshaw

There have been other factors that have contributed such as supply availability, inflation, interest rates, increasing but delaying government and municipal demands and costs.

Covid is still held up as the major reason, but that is just a politician’s excuse.

The real reason, particularly here in Victoria, is that although we have been told our population was growing, we have not planned for the increased need for accommodation.

Housing has not been given the priority that infrastructure has – such as the latest and expensive white elephant, the Suburban Rail Loop.

There are two initiatives that should be taken now to start building affordable housing.

1. The state government should not enter into any more major infrastructure projects. Young people should demand through their opposition, that no new contracts should be entered into, and none that will be honoured when the change of government occurs in about 26 months.

2. Instead of governments coming up with these expensive housing schemes that are only short term, and will benefit only a very few, better to incentivise young men and women to undertake apprenticeships that are required to build housing.

The state government should not enter into any more major infrastructure projects. Picture: Alex Coppel

And what might the incentive be?

Those who enter and complete an identified and needed trade will have their apprenticeship paid for by the government.

In other words, no enduring fees to be repaid beyond successful completion of the apprenticeship. That is a very worthwhile investment in a priority area of genuine need.

The amount of money governments are spending on these so-called housing schemes, and the reduction of money spent on infrastructure would more than cover the costs of this suggestion.

I would put such a program in place for 10 years and re-evaluate the scheme in perhaps the eighth year of its operation.

I also think such a scheme would be attractive to many of our young new arrivals settling in Victoria.

Although we have been told our population was growing, we have not planned for the increased need for accommodation.

What I have observed with them is that they are genuinely aspirational. They want to do well, earn a good living and provide for their future.

So, the potential benefits are obvious. Reduce our borrowings on future infrastructure expenditure, start to invest in a growth in the labour market that is necessary for building accommodation.

Eventually interest rates will start to fall, but as housing demand grows, we will over the next three to five years produce the workforce necessary to build our accommodation requirements. As our infrastructure build slows many tradies employed on those projects will return to the market for housing.

We will have to manage our way through the next few years, there is no quick fix solution, but the public will accept the wait as long as they are convinced the government has a plan to address the crisis. Right now, there is no plan.

Everything is possible, but we must offer hope. For without hope, there is no future.

I remain optimistic that we can, all of us, deliver.

Jeff Kennett is a former Premier of Victoria

Originally published as Jeff Kennett: Desperate Allan fails to see Victorians want Labor out of office