Gotti is having a baby, which tells you this is a good thing.
- The Greens will require big banks to offer all residential home borrowers a “homekeeper” loan facility which carries an interest rate of 1 per cent above the Reserve Bank’s cash rate. Investment and holiday home borrowers will not be entitled to the homekeeper facility. The average home loan interest margin is in the vicinity of 2 per cent, so it would be halved. I will leave others to calculate a likely fall in the share price of the Commonwealth Bank plus the other big banks in the event of such a policy being embraced. The Greens propose smaller banks which do not have sufficient profits will be helped.
- A 40 per cent “excessive profits tax” which would apply to all companies with more than $100m in turnover, such as the supermarkets and the big banks.
- Higher taxes on fossil fuel companies, including toughening the Petroleum Resource Rent tax. New coal and gas projects would be stopped.
- The Greens want to lower the superannuation threshold for extra taxes from $3m to $2m.
- The Greens want to extend unrealised gains taxing outside superannuation by applying the tax method to billionaires. The Greens have unveiled a detailed proposal to implement a 10 per cent annual tax on the net wealth of the nation’s approximately 150 billionaires.
The “homekeeper” policy is a housing bubble blower, especially given Greens’ insane support for higher immigration. So how that is supposed to help the housing crisis I have no idea.
Even so, if you’re buying CBA at 27x NTM today, then you’re a damn fool.
The rest of it is pretty good. I would add that the Greens have the best energy policy because they will also impose domestic reservation on the East Coast gas cartel. No more projects are fine so long as Australia has cheap gas.
Taxing the fat, lazy interests is good. However, the revenue should be recycled as progressive personal and non-mining small business tax cuts to boost competition, innovation, and economic dynamism.
Honestly, if it were not for the calamitous woketardism, this party would be threatening Labor’s existence.
