Gina Rinehart’s controversial solution to housing crisis

Australian billionaire Gina Rinehart has offered some advice for Prime Minister Anthony Albanese as he struggles to secure a budget bounce.

Billionaire Gina Rinehart has offered some free advice for Anthony Albanese as he struggles to secure a budget bounce: cut fuel excise and stop the flood of new migrants to tackle the housing crisis.

Australia’s richest woman has been critical of the $300 handout in the budget for energy prices regardless of household income warning that a big-spending budget is not the best way forward.

Rather than tax Australians more to hand the money out again through handouts and welfare, she warned lower taxes overall was a better way forward.

Billionaire Gina Rinehart has some advice for the Prime Minister.

Gina Rinehart calls for fuel tax cut

Ms Rinehart said cutting fuel tax – which the government has rejected as too expensive – was one option.

“I have advocated strongly for the government to directly reduce costs of living for Australians by cutting their fuel excise taxes, which would spread not only to car users, but all products that require transport,’’ she told news.com.au.

“I have also advocated for cutting other taxes, payroll tax, stamp duty and license fees, that not only would bring down the cost of living, but were supposed to have been cut when GST was introduced decades ago.

“Big spending, big government costs all (which I advocate against), and adds to the costs of living.

“Recycling taxes paid is very inefficient, the taxpayer is actually better off paying less tax, and spending their income as they prefer.”

Prime Minister Anthony Albanese. Picture: NCA NewsWire / Martin Ollman

Ms Rinehart, 70, has previously suggested a better way is to cut taxes and allow people to keep more of what they earn.

“To help people suffering the most on low incomes, such as veterans, pensioners and uni students, if the government really cared about these fellow Australians struggling with high costs, they would remove the onerous government paperwork and their unfair limits on pensioners, veterans and students working hours, each of whom face higher effective tax rates than me if they choose to work above a very small threshold of hours,’’ she said.

“Letting Australians who want to work, work, would be not only better for those Australians and their families, but would save the need for the government’s very expensive policy of hugely increased immigration, to allegedly bring in more workers.”

Migration and mortgages

The billionaire, who is close to Liberal leader Peter Dutton, also backed his plan to tackle immigration to address the housing crisis.

“Such hugely increased immigration not only adds to housing and rent costs, and increased hospital burdens and treatment delays, and more traffic on the roads, but also has according to the IPA (Institute of Public Affairs) meant an increase in 40,000 workers only from one million immigrants, hence putting a greater burden and expense on welfare expenditure,’’ she said.

“Whereas profits from businesses, including ours, can be used for investment, investment being required to maintain or improve Australians living standards, and for good charitable purposes, including Royal Flying Doctor Service, helping veterans, cancer sufferers and others.”

Opposition leader Peter Dutton delivers his budget in reply address at Parliament House in Canberra. Picture: NCA NewsWire / Martin Ollman

Peter Dutton’s plan for migration

Mr Dutton has pledged to slash the migration rate by 140,000 to address the housing shortage, directly linking the number of migrants and overseas students to rising rents.

In his budget in reply speech designed to outline his alternative plan for the nation, the Liberal leader has accused the Prime Minister of putting Australia on “a dangerous course”.

Pledging to get Australia “back on track”, he revealed if elected the Coalition would cut the permanent migration intake to 140,000 and reduce international student numbers to address supply pressures and help free-up 100,000 homes for Australians.

“Interest rates have gone up 12 times under Labor. A typical Australian household with a mortgage is $35,000 worse off,’’ he said.

“And that’s if you’re lucky enough to own a home.

“Under this Prime Minister, the great Australian dream of home ownership has turned into a nightmare.”

The Albanese government this week decreased the permanent migration intake from 190,000 this financial year to 185,000 in 2024-25.

“We believe that by rebalancing the migration program and taking decisive action on the housing crisis, the Coalition would free up more than 100,000 additional homes over the next five years,’’ Mr Dutton said.

“First, we will implement a two-year ban on foreign investors and temporary residents purchasing existing homes in Australia.

“Second, we will reduce the permanent migration program by 25 per cent – from 185,000 to 140,000 for the first two years in recognition of the urgency of this crisis.”

Super for homes

Mr Dutton said the great Australian aspiration of home ownership had become out of reach for many.

“It’s wonderful that parents who have the financial means can help their kids into a home,’’ he said.

“But I will never accept a situation where the only people who can afford to buy a home are people with rich parents.

“The Coalition has already recommitted to allowing Australians to access up to $50,000 of their super to buy their first home.

“The money initially withdrawn from super will need to be returned to support retirement.

“But we need to do more. Australians are struggling to find homes to rent and buy – and not always due to a lack of money.”