Daniel Andrews explodes when he’s rudely called out about his new Airbnb tax: ‘I’ll say it 100 times!’
- Daniel Andrews introduces new Airbnb tax
- Reporter disagreed with the claim that it is a ‘modest charge’
Daniel Andrews has hit out at a reporter who disputed his claim that his new levy on short-term rental providers such as Airbnb was a “modest” levy.
The Victorian Premier announced on Wednesday that his government will introduce a 7.5 per cent consumer tax on all short-term accommodation bookings from platforms such as Airbnb and Stayz from 2025.
“How can you say it’s a modest levy when it’s the highest short-stay tax in the world?” asked a journalist at a press conference.
Mr Andrews replied: ‘Well, it’s a modest charge.’
Victorian Premier Daniel Andrews has hit out at a reporter who disputed his claim that his government’s new levy on short-stay hosts such as Airbnb was a ‘modest’ charge
“Other jurisdictions have put it at 2, 3, 5 percent – this is the highest,” the reporter responded.
Mr. Andrews responded, “Well, $7.50 per $100 is a modest fee….”
The reporter hit back, saying: “It’s not modest” before the Prime Minister continued.
“It’s a modest charge – I’ll say it a hundred times if you want, and we don’t agree on that, but it’s a modest charge,” Andrews said.
The fiery debate continued, with the reporter describing the fee as possibly the ‘straw that broke the camel’s back’ for homeowners.
“I’ll leave the camels to you because there are a few lumps in your argument, mate,” Mr Andrews said.
“Seriously, if you want to tell me that $7.50 per hundred dollars – and because it’s higher than what’s happening in Florence, New York or Auckland, moms and dads are worse off – that’s not right. People need a place to live. Everyone needs a place to live.”
Michael Crosby, head of public policy for Airbnb Australia and New Zealand, said the levy gave hotels a free pass and that an amount of three to five percent, in line with international standards, would have been more appropriate.
“Such a high rate could have a negative impact on Victoria’s appeal as a tourist destination, and could also disadvantage everyday Victorians looking for a local holiday, with many already struggling with the cost of living,” he said .
The Victorian Tourism Industry Council fears the levy will delay the state’s recovery from the COVID-19 pandemic, pointing out that tourism spending in regional areas has already fallen 21 per cent in May compared to the same time last year.
“Why are consumers who support the state’s critical visitor economy being asked to fund the government’s social housing policy,” asked Felicia Mariani, CEO of the peak body.
The Victorian Premier (pictured, with his wife Catherine) announced on Wednesday that his government will introduce a 7.5 per cent consumer tax on all short-term accommodation bookings from platforms such as Airbnb and Stayz from 2025.
The Prime Minister has admitted the levy will not be popular with everyone, but expects the ‘modest’ levy to raise $70 million a year for the construction and maintenance of social housing.
In a bid to speed up planning reviews, the Planning Minister will review developments worth more than $50 million in Melbourne and $15 million in regional Victoria rather than in local councils.
The only condition is that developers must reserve at least 10 percent of the total number of homes as affordable housing to qualify.
The Municipal Association of Victoria, a peak body representing 79 municipalities across the state, said it had not been consulted on the changes and questioned the flexibility of the minimum requirement.
“Communities will rightly be concerned that the Secretary has been given the power to reduce or eliminate this requirement without guidance on when that would be appropriate,” Vice President Joseph Haweil said.