NSW Premier Dominic Perrottet commits to no tax increases or further privatisation

NSW Premier Dominic Perrottet has made the huge call to not privatise state assets or create new taxes if re-elected, but Labor is questioning the promise.

The NSW government has promised no new taxes on households and businesses if it wins another term of government, while also ruling out further privatisation of state-owned assets.

However, the Opposition has questioned whether the government will be able to follow through with the commitments, made less than four weeks from the March 25 state election.

NSW Premier Dominic Perrottet said tax cuts would help grow the economy in the long-term.

“When you cut taxes, you grow the economy, you allow business to flourish. That leads to an increase in revenue,” he said.

NSW Premier Dominic Perrottet said the government would not create new taxes on businesses or households if re-elected. Picture: NCA NewsWire/ Brendan Read

Since the Coalition came into power in 2011, the Premier said they had made 33 tax cuts totalling $10.5bn in savings. He said the first home stamp duty choice will save households more than $900m over the next four years alone.

The government has pledged to give first home buyers the choice to pay stamp duty, or an annual property tax measured at $450 plus 0.3 per cent of a properties land value, with an election promise to extend the program to all home buyers.

When it came to funding the government’s four-year $116bn infrastructure pipeline, Mr Perrottet ruled out further privatisation.

Previously both the Premier and Treasurer, Matt Kean maintained there were “no plans” to sell off government assets such as Sydney Water, or Hunter Water but stopped short of a guarantee.

However, on Tuesday, Mr Perrottet told reporters: “I said we are not privatising assets. I can’t be clearer.”

Instead, he turned to the state’s “manageable and sustainable debt position,” which he said would fund 60 per cent of NSW’s infrastructure pipeline.

“We always deal with our debt position as we move through the budget process,” he added.

Shadow Treasurer Daniel Mookhey questioned the government’s promise to not further privatise state assets. Picture: NCA NewsWire/ Gaye Gerard

The Opposition has questioned the government’s ability to resist creating new taxes or privatising state-owned assets, and accused it of “trying to win this election by promising money”.

“The only way the Premier can pay for his underfunded infrastructure promises is to put Sydney Water and Essential Energy on the chopping block,” Shadow Treasurer Daniel Mookhey said.

While Labor will not replace stamp duty with an annual property tax, they have committed to not raising taxes or increasing the state’s gross debt of $187bn.

Mr Mookhey said Labor would fund their election promises by redirecting resources. This included not pursuing the North Beaches motorway link or the proposal to raise the Warragamba Dam, and redirecting money from the Transport Asset Holding Entity.

Originally published as NSW Premier Dominic Perrottet commits to no tax increases or further privatisation