Luke Howarth says the Coalition will look at cost of reinstating original stage three with 16pc low-income tax bracket

Following a reshuffle of the shadow ministry, Peter Dutton’s new assistant Treasury spokesman has left open the possibility of reinstating the tax cuts while keeping Labor’s 16pc tax rate for low-income workers.

LNP MP Luke Howarth, pictured alongside opposition treasury spokesman Angus Taylor, is Peter Dutton’s new assistant treasurer. Picture: Matthew Poon

Peter Dutton’s new assistant Treasury spokesman Luke Howarth has left open the possibility of the Coalition reinstating Scott Morrison’s original stage three tax cuts while keeping Labor’s 16 per cent tax rate for low-income workers, declaring Anthony Albanese could’ve done more to kill bracket creep and encourage aspiration.

The Opposition Leader unveiled a mini reshuffle to his shadow ministry on Tuesday, adding five new portfolios of western Sydney, energy affordability, multicultural engagement, waste reduction and home ownership as he attempts to get his team ­election-ready.

Following the departures of Marise Payne and Stuart Robert, NSW Liberal MP Melissa McIntosh was promoted from the outer ministry into the shadow ministry as energy affordability and western Sydney spokeswoman.

NSW Liberal senator Andrew Bragg and South Australian Liberal MP James Stevens joined the outer benches as assistant home ownership spokesman and assistant government waste reduction spokesman respectively.

Mr Howarth, whose outer Brisbane electorate neighbours the Opposition Leader’s, said the ­Coalition should “100 per cent” take its super homebuyer scheme to the next election, allowing first-home buyers to invest up to 40 per cent of their superannuation to purchase a first home. He lashed the Prime Minister’s stage three revamp, saying there were many alternatives to ease cost-of-living such as extending the low and middle income tax offset or reducing the low-income tax rate from 19 per cent to 16 per cent while keeping the Morrison-era 30 per cent tax rate for workers on $45,000 to $200,000.

“We’ll have to do the costs on that. I can’t say that’s what we’ll do,” he said on the latter proposal. “These are things I’ll be drilling down into in a really practical way. There’s no reason why Albanese couldn’t have kept the (original) stage three tax cuts and lowered the 19c to 16c if it wasn’t for the fact he spent another $209bn annually on Labor pet projects.”

Labor released Treasury estimates that showed keeping the 16 per cent tax rate while reinstating the rest of the Morrison government’s stage three tax cuts would cost the budget an extra $38.9bn over forward estimates or $120.9bn over the medium term.

The Australian has previously reported it was unlikely the ­Coalition would go to the election promising to revive the flat marginal rate of 30 per cent for every dollar earned between $45,000 and $200,000, given the cost of coupling that plan with higher relief for low-income earners.

Ms McIntosh, the Liberal member for Lindsay who acknowledged she was surrounded by a “a lot of red” in western Sydney, said her new portfolios showed how seriously Mr Dutton was taking energy affordability and the cost-of-living crisis, and how important her region was to the Coalition.

She said a local food bank had informed her and Mr Dutton during a recent visit that they were feeding double-income families, while she was planning to drop fridges and pantries off to 17 local schools to help parents feed their kids.

She will work with Mr Dutton and opposition climate and energy spokesman Ted O’Brien to develop election policies, including on western Sydney infrastructure.

“The schools are telling me it used to be low socio-economic families that needed support and now it’s families more regarded as middle-income that are quietly struggling,” she said.

“Of course inflation is something on our mind and families are struggling in western Sydney. I have an aspirational electorate. There are parents on two incomes with big mortgages and a home they’re struggling to hold onto.”

Julian Leeser, a Liberal frontbencher before quitting to ­campaign Yes for the Indigenous voice referendum, was noticeably absent from the shadow ministry announcement.

Queensland Liberal senator Paul Scarr has joined the outer ministry as assistant multicultural engagement spokesman, while Hollie Hughes switched from assistant climate change and energy spokeswoman to spokeswoman for mental health and suicide prevention, as well as the NDIS.

Home affairs spokesman James Paterson will add opposition cabinet secretary to his responsibilities and defence spokesman Andrew Hastie will also take on defence industry and defence personnel.

Former infantry soldier Phillip Thompson will act as Mr Hastie’s assistant spokesman in defence, defence industry and defence ­personnel.

“The Coalition … will continue to deliver the positive plans and policies for the future of our country in the lead-up to the next election. The appointments I make today strengthen our team as we approach that critical task ahead,” Mr Dutton said.