Australians face falling property prices, higher rents, potential job losses and reduced state revenue under federal Labor's economic agenda, three state treasurers have declared.
The treasurers of South Australia, NSW and Tasmania have written to Opposition Leader Bill Shorten calling on him to reveal what they say is the true impact of his election policies.
They have also sought assurances their states would be compensated for any loss of GST revenue.
Rob Lucas from SA, Dominic Perrottet from NSW and Tasmania's Peter Gutwein said Labor's policy to reduce access to negative gearing and to lower the capital gains tax discount had the "potential to further slow the housing market, which will have significant implications for our constituents and also our local economies".
"The Reserve Bank has observed that the substantial softening of the housing market appears to have already had a negative economic effect on consumer spending, hampering economic growth and reducing revenue forecasts at the state and federal levels," they said in their letter.
"We are aware that your policies are likely to place further downward pressure on property values, directly affecting homeowners and those working in the construction industry, while also giving rise to broader negative economic consequences that threaten to undermine the jobs and living standards of all Australians.
"We write to seek your urgent advice on the impact of your policies on home values, rents, the construction industry, the economy, wages and jobs."
Mr Lucas said it was time for Mr Shorten to "come clean about the true impact of his destructive economic policies".
