Tuesday 12 May 2026

Transcript - Interview with SBS News 12 May 2026

Topics: Federal Budget

E&OE ...

Anna Henderson: Tim Wilson, thanks for joining SBS.

Tim Wilson: Thanks for having me.

Anna Henderson: We’ve just had the budget news of a $250 tax offset that’s going to come into people’s tax returns in 2028. Is that a sensible decision giving the inflation environment?

Tim Wilson: Well, the inflation environment, it’s going to be completely wiped out whatever is provided. What we know is this budget is built on broken promises, higher taxes, lower living standards, and more shockingly, fewer homes. The government’s proposed a series of new tax measures which are going to hit the incomes and wealth of Australians. And of course, they’re offering a little sweetener to try and soothe the pain, but all of the tax measures they’ve taken today have been wiped out with inflation already.

Anna Henderson: We’ll get to those property tax changes, but just in terms of that $250 tax offset, you are critical but in the end will you stand in the way of it in the parliament?

Tim Wilson: We’re not going to stand in the way of it in the parliament, but this government has a consistent record of offering sweeteners, then wiping them out with their active inflation agenda. So whatever offer is provided, it doesn’t stop the problems that households are experiencing. That’s why this budget is built on broken promises, higher taxes, lower living standards, and more shockingly, fewer homes.

Anna Henderson: Let me go to those property tax changes. Are you opposed to young people getting into a home earlier? I mean, this is what this is designed the government says to do.

Tim Wilson: It’s not what their own government documents show. Under their own government documents, these new taxes will actually lead to 35,000 fewer homes being built across the decade. Their own documents admit that it will lead to higher rents. People who want to go and buy their first home tend to rent beforehand and they’re going to be kneecapped on their journey. The higher taxes on capital gains will mean that people who invest their deposits will be hit as well. This is not a budget of intergenerational fairness. This is an attempt to intergenerationally kneecap young Australians.

Anna Henderson: That sounds like you’re intending to vote against these changes. Is that correct? Will the opposition—

Tim Wilson: That’s a very fair assumption because we cannot support an agenda that openly admits it will lead to building fewer homes, which is only going to have a negative impact on prices in terms of higher prices, and the government’s own documents clearly outlined will lead to higher rents.

Anna Henderson: So that means that you’re intending that the opposition will vote against the changes to negative gearing, capital gains tax discount, and trusts?

Tim Wilson: Well, the measures that will be taken in this budget around negative gearing, around capital gains, around trusts are going to lead to fewer homes being built and higher rents. The government’s own documents admit it. And so it seems implausible if you want to build a budget that looks to the future of the Australian economy, these young Australians’ aspiration, hope that not just they can save, they can invest, but they can go on and buy their first home. This government is kneecapping them.

Anna Henderson: So no—no amendments potentially being sought, no tinkering around the edges, just the opposition’s outright—

Tim Wilson: Absolutely opposing these measures that are going to undermine and kneecap young Australians.

Anna Henderson: And finally, there is also mention in this budget of changes to the points test for the migration system. The government says it’s going to prioritize English language skills. Is that a good move?

Tim Wilson: Well, we’ve always believed that English language is a central pathway to economic participation, integration for new Australians. And so we see this as a step in the right direction. But one of the problems with this budget is while they’re reducing the amount of homes that are going to be built by 35,000, they’re exceeding their target on migration by more than 90,000. So we have this discrepancy where they say one thing, but they do another thing, including on the basic test of migration.

Anna Henderson: You are being warned about the potential dangers of your party of getting into the same territory as One Nation on migration. Are you concerned about that, that the Liberal Party has to walk a different line?

Tim Wilson: We need to walk a pathway which is making sure that new Australians can successfully integrate into the Australian way of life, and everybody wants that. But the government is very clear in their own—they’re overshooting their own estimates on migration in these budget numbers to pump up their numbers, their economic numbers, by more than 90,000 over two years. Their own budget papers admit that, just like they admit they’re going to build fewer homes and increase the cost of rents.

Anna Henderson: Tim Wilson, much more to discuss over the coming days. Thanks for your time.

Tim Wilson: Thank you.

[ENDS]