PM rebuffs plea on state’s debt

PRIME Minister Malcolm Turnbull has rejected an appeal by Denison MP Andrew Wilkie for the Federal Government to axe Tasmania’s housing debt.

In Question Time yesterday, Mr Wilkie asked that the debt be axed so that $15 million a year in interest payments could be used to construct public housing.

The question comes as the housing crisis in Tasmania shows no sign of abating soon, with people still living in tents at the Royal Hobart Showground.

“Prime Minister, you’d be aware of my correspondence alerting you to Tasmania’s housing crisis, especially in Hobart,” Mr Wilkie asked.

“For instance, the Commonwealth public housing debt is costing Tasmania $15 million a year in interest payments and consuming a great chunk of the state’s Commonwealth public housing assistance.

“Indeed it’s the biggest impediment to the Tasmanian Government being able to significantly increase investment in public housing and give thousands of people a home.”

Mr Turnbull said the Government’s position was that housing loans to the states must be repaid.

“Our comprehensive hous- ing affordability package will make housing more affordable for Australians in all parts of the market,” he said.

Mr Turnbull outlined improvements in the Tasmanian economy under the Coalition Government including the fall in unemployment to 6 per cent.

“City deals in Launceston and Hobart, investment in infrastructure and projects like the new Antarctic ice breaker are all about making sure the honourable member’s state is a great place to live and work,” he said.