ACT home buyers fleeced as Labor rakes in bigger profits from fewer land sales

The Labor Government has raked in bigger than expected profit margins from residential land sales, despite selling fewer blocks of land than planned.

The ACT Government exceeded its targeted profit margin of 70.8 per cent from residential land sales despite falling $218 million short of its sales targets for 2018-19.

While the government only generated $483 million out of its targeted $701 million from land sales, its profit margin of 78.7 per cent was 7.9 percentage points higher than anticipated. This is because residential blocks of land are being sold by the Labor Government at a price higher than budgeted.

“Canberra families and younger first home buyers are being fleeced by Labor’s deliberate strategy to maximise profits from land sales,” the Leader of the Canberra Liberals Alistair Coe said.

In 2018-19, the ACT Government released enough land for only 3,204 dwellings against a target of 4,060 dwellings.

“By restricting land supply, Labor is driving up the cost of land and making home ownership unattainable for many Canberrans.

“The Canberra Liberals want younger Canberrans and growing families to be able to realise their dream of owning their own home in the Territory.

“That’s why the Canberra Liberals will release more land for homes and reduce housing taxes for everyone to help more families get ahead,” Mr Coe said.