ACT election 2020: Liberals promise home buyers grant, backtrack on stamp duty abolition

Leader Alistair Coe said the discount would apply to blocks of land released by the Suburban Land Agency throughout 2021.

He said it would apply in addition to current stamp duty concessions available.

The Liberals have released election materials and Google ads pledging to abolish stamp duty.

However Mr Coe on Monday appeared to backtrack from those promises when asked if abolishing stamp duty was still one of the government's election pledges.

"The Canberra Liberals don't support the idea of having stamp duty, but we also don't support the idea of shifting it into rates," he said.

"We'll continue to be responsible when it comes to managing our economy and managing the budget, that's why we're committed to the current budget when it comes to stamp duty regime."

The 2020-21 budget, which was delayed due to coronavirus, is due to outline the government's next stage of rates reform, which seeks to gradually replace stamp duty with increased rates.

The Liberals' first home buyers land price reduction would be available in conjunction with existing stamp duty concessions.

"This $25,000 grant will go a long way to making blocks of land more affordable in the ACT," Mr Coe said.

"This is all about giving first home owners an opportunity to buy a block of land and to build a dream home here in Canberra.

"It is a shot in the arm for out building industry, a shot in the arm for jobs, a shot in the arm for our economy, and of course it's a significant boost for young Canberrans in particular looking to buy their first home."

Mr Coe said the measures would go some way in the short term to make the ACT more affordable.

"The fact that land is so much cheaper over the border is of course much of the problem that the Canberra Liberals are trying to address," he said.

Mr Coe said the Liberals were conservatively estimating 400 first home buyers would take up the option, at a total cost of $10 million.

READ MORE:

Master Builders ACT CEO Michael Hopkins said the pledge was great news for the local construction industry.

"In August 2020, 30.1 per cent of housing loan commitments in the ACT for owner occupiers were for first home buyers - the third lowest jurisdiction in comparison to other states and territories," he said.

"The scheme has the potential to bring home buyers back to the ACT, rather than building in the surrounding region."