The Federal Government is avoiding answering questions on expected price increases as the result of its mining tax, according to The Nationals Senator for New South Wales John Williams.

Senator Williams has questioned the Minister representing the Minister for Resources and Energy Senator Carr on whether quarries were subject to the new tax, and what effect it would have on the price of sand, cement, bricks and building products.

Senator Carr appeared uncertain, at one stage turning to advisors asking if anyone had information on it.

“He then proceeded to talk about everything except the question, and after being asked on two occasions to answer the question, Senator Carr did admit that all mining and petroleum projects will be subject to the 40 percent tax.

When pressed on how much this tax would increase the cost of housing, the Minister suddenly went mute and referred to a report that does not even mention housing construction costs.

This justifies what I have been saying. The mining tax is not just on every quarry, sand pit and major mining project, it is a tax and another burden on all Australians but the Government does not want that made public.

You can be sure housing and construction costs will rise and will lead to higher inflation figures and higher interest rates.

The Coalition will oppose this great big tax all the way”, Senator Williams said.