The Prime Minister's interview with Natalie Barr
- Written by Natalie Barr & Scott Morrison
NATALIE BARR: Joining me now is Prime Minister Scott Morrison. Good morning to you. I suppose the big question here is -
PRIME MINISTER: Good morning.
BARR: ... will this mean young people have less super when they retire?
PRIME MINISTER: Absolutely not. In fact, they could well have more because what this is is people's own money, their own super investing in their own house. And so that what they make in their own house, it goes back into their super. What we've found is when people get to retirement, one of the most significant challenges they have if they don't own their own house, is their retirement is even harder. So this helps people get in their own home now. They don't have to stand on the sidelines while they see house prices go up and they get left out. But at the other end, when they're going into their retirement, their super balances are maintained. The other thing we're doing, as you said, is we're continuing to support those going into retirement and now from the age of 55 to be able to put more into their superannuation from when they downsize their home, which means more homes available for people to buy. Dealing with both supply as well as helping people get into that market and ensure that they're not left standing on the sidelines while they watch house prices go up.
BARR: Yes. So the first home buyer scheme seems to be getting a lot of headlines this morning and whether it will actually help people. They're lining up against this program, aren't they? Obviously Labor and obviously the super industry, but the retirement income review, which is Treasury, the Grattan Institute, a Senate Inquiry, other Prime Ministers haven't done this. So why? Will house prices go up and then cancel out the amount of super you're putting into your house? Can you guarantee that won't happen?
PRIME MINISTER: No, I don't believe we'll see that because this is a balanced policy which is doing at both ends. It's dealing with increasing supply by supporting downsizing, getting more supply into the market and helping young Australians in particular, but applies to people of any age when they buy their first home to get access to their own money. You know, the Labor Party and others, they oppose this because they don't treat super like it's your money. It's your money, you earned it, you've saved it in your superannuation and we want it to be able to help you get into your first home, without impacting on your long term superannuation balance, your retirement savings. This helps us achieve both objectives and so people can have a stronger retirement but at the same time not miss out on the opportunity - having to wait years and years more. The other thing it does in that is ensures that by having a bigger deposit, by accessing your superannuation to invest in your own home, it's actually reducing your mortgage payments. The loan doesn't have to be as big. It can save people thousands of dollars a year. And at a time when global forces are pushing up those interest rates, this will provide that added layer of comfort to our first home buyers. We had over 160,000 people buy their first home last year. That's up from an average of just over 100,000 a year. Our First Home Super Saver account which Labor opposed, the HomeBuilder Program which Labor opposed, all of these have been helping people get into their own home.
BARR: Okay, so what about on the flip side? As we know, the housing market runs in cycles. You've used your little nest egg to get into the house and and then the market changes, and and a lot of people have to sell. You've lost your super and you have to sell your house.
PRIME MINISTER: No, no. That's not how it works at all. And I think when people look at this over a longer period of time. I mean, your own home, like for Jenny and I, it's the biggest asset you'll ever own. And, you know, you invest in your own home for your own security. That's one of the greatest Australian aspirations there are, and that's what I think this election's all about. We want to empower people. You know, in this next term what we want to do is empower people - putting the pandemic behind us and allowing Australians again to once again move forward with lower taxes, more jobs, ensuring people can keep more of what they earn. Investing in skills and training at record levels while supporting the essential services Australians rely on, particularly when it comes to their health care. We've got record investment in Medicare. And yesterday I announced a third of our comprehensive cancer centres right here in Queensland on top of the one in WA, which was so well received as well as Adelaide. And of course we have them already in Sydney and Melbourne.
BARR: So let's talk about your, your pitch basically. You've you've changed a bit, haven't you? You've talked about in the last few weeks, because we've had this long six week campaign, so we've heard a lot from you. You've been saying you may not like me, but you need me. Take me as I am. And in the last week, we've heard you say I can be a bit of a bulldozer and I may have to change. Why the change?
PRIME MINISTER: Well, I think, well, I'm just being honest with people. I mean, over the last three years, it has required a lot of strength to take Australia through and we're going to continue to need that strength. But what's going to change in the next few years is the opportunities will increase. There's still going to be those challenges and those threats which people know I know how to handle, but to realise those opportunities is going to require that strong economy. All throughout this campaign I've said it's about who can best able deliver and manage a strong economy because that's what Australians need to realise their aspirations. Whether it's to save for a home or whether it's to save for their own retirement or it's to raise the kids that they want to do that the way they want to do. Now, all of these things require a strong economy, but so does Medicare. So does the National Disability Insurance Scheme. We've got big opportunities over the next five years that we've worked hard to achieve through this pandemic, and our Government can realise those because we got the we've got the experience to deliver a stronger economy. We know how to manage money and people know we can do that.
BARR: But it feels like you've looked at the polls and I know we you know, we don't always believe the polls, but it feels like we've looked at the polls, which are saying you're unpopular as a Prime minister and you're changing your pitch. Is that right?
PRIME MINISTER: No, I don't agree with that at all. What I'm saying is, as we go into this next phase, we're going to find that extra gear. You know, we have that extra gear. We know how to hit it. And we've been preparing for it. We're coming out of the pandemic. We're putting it behind us. And what I'm saying is the Government will move into that next phase. Our Government will move into that higher gear, which is needed to secure those opportunities to make things here in Australia. We put, in the middle of the pandemic, when everything else was going around, we launched our Modern Manufacturing Strategy -
BARR: You did.
PRIME MINISTER: ... which is already investing in modern manufacturing businesses right here in this country, creating manufacturing jobs, supporting supply chains into the future, which Australia needs to have a strong economy.
BARR: You did and you did, you know, this Government brought us through the pandemic so well. So do you now feel ripped off that you are behind in the polls? Every poll says you basically can't win. Do you sort of sit there with Josh Frydenberg and say, hey, we did this and now they don't like us?
PRIME MINISTER: It was never about that. Our job was to bring Australia through and it's our job now to ensure that we seize those opportunities and deal with the challenges that are there that are ahead of us. I am thrilled that Australia has come through. I'm thrilled that we've kept that promise of Australia, as I said yesterday, through this pandemic and I want to ensure we keep keeping that promise into the future. And the way you do that is you back Australians. I don't think that the Government is the answer to your problems. I think Australians are the answer to Australia's challenges and that's what our policies do. We want people to have access to their own money to buy a home. It's their money, they've worked for it and we want to empower them to use their resources, their opportunities to seize them. We don't see the Government continuing to get involved in people's lives. I think Australians have had enough of that over the last few years. They want to see them back in the driver's seat and that's where I want to put them and ensure that they can realise the opportunities in the years ahead. So yes, Labor is a risk to the economy. Mr Albanese has shown that he's a loose unit on the economy. That's a big risk. But importantly for us, what we provide is that strong plan, that does deliver Medicare and does deliver a job. It does deliver a strong economy, which means that you can plan for your future with confidence and realise your aspirations.
BARR: Scott Morrison, thanks for your time.
PRIME MINISTER: Thanks a lot, Nat.
