· Michael Ferguson must fix flaws in ³Ô¹ÏÍøÕ¾Builder process
· Banks aren’t accepting the grant as a deposit
· Scheme needs improving to stimulate the economy
Flaws in the process for delivering ³Ô¹ÏÍøÕ¾Builder grants means many Tasmanians are missing out.
Shadow Minister for Building and Construction Jen Butler said Labor has heard from several people having major problems with the way the grant is administered.
“One example is Laura who is a single mother with two children and is currently renting at $460 per week,” Ms Butler said.
“She saved $23,500, purchased land at Sorell and applied to her bank with the expectation she could access the ³Ô¹ÏÍøÕ¾Builder and use that for part of her deposit.
“Laura’s bank won’t accept the ³Ô¹ÏÍøÕ¾Builder grant as part of the deposit therefore she will continue renting for another 2-3 years and try to save while paying $460 in rent, which is higher than what her mortgage payments would be.
“While we appreciate the government has recently amended the process so that the funds may be paid directly to the applicant’s bank , not all banks are accepting the funds as part of the deposit.
“Labor is urging Michael Ferguson to fix this loophole by strengthening the process to ensure that grant funding is provided directly to the banks as security, as is the case with the First ³Ô¹ÏÍøÕ¾ Owners Grant.
“The ³Ô¹ÏÍøÕ¾Builder grant scheme is meant to stimulate the Tasmanian economy and create a continuous stream of work to support the building and construction sector and this simply isn’t happening with this way the process stands.”
Jen Butler MP
Shadow Minister for Building and Construction
