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Consider super for housing plan: minister


Cabinet minister Matt Canavan wants his colleagues to at least consider a proposal to allow young people to use superannuation savings for a house deposit.

Labor and some crossbenchers have already labelled the idea "crazy", as the government plans to unveil a housing affordability package in next month's budget.

But Senator Canavan wants his government to at least give the suggestion due consideration, telling ABC radio on Wednesday: "This is I think a legitimate idea ... it's been used in other countries and it's something we should certainly consider".

But prominent economist Chris Richardson said the idea would just drop extra dollars into an already overheated market.

It wouldn't blow out housing prices by much, but there could be up to a one per cent increase.

"Super is for retirement not for housing," Mr Richardson, from Deloitte Access Economics, told ABC radio.

© AAP 2017

Image: Sam Mooy