State Budget, 2022-23

The Malinauskas Labor Government has handed down its first budget. 

Read the South Australian Business Chamber’s Budget Summary

The 2022 – 2023 State Budget is sound. The Malinauskas Government delivered as expected, based on its health-focused election campaign. Delaying some larger, long-term projects and higher than anticipated tax receipts has helped return South Australia to surplus quickly which gives the business community confidence. After a tumultuous two and half years coping with the pandemic and uncertainty, no new taxes and no major hikes on fees and charges is good news.

Post-COVID recovery in the business sector is paramount and the budget performs well here. The $100m Economic Recovery Fund to support South Australian businesses is the most notable allocation, but we await further detail about its distribution.

While we welcome an increase of GST dollars into the state economy, we remain equally concerned about Western Australia’s disproportionate portion of this tax. We will continue to monitor and raise this with both State and Federal Governments.

Skills and labour shortage has been identified by business in SA as our most significant concern. Investment in skills must be prioritised and this budget moves toward delivering this. Identifying new workforce sources and skilling them– in areas critically affected such as construction, horticulture, aged and community care is paramount and while this budget goes some way to resolving this, attracting workers to South Australia is an ongoing issue.

Long term skill development in South Australia is addressed in this budget with a focus on vocational education in high schools, including some regional focus. Shorter term initiatives include funding for subsidised training in areas of serious skills shortage. Women in small business initiative is very pleasing with $4m over 4 years to grow female-owned businesses and boost our economy.

Keeping the greatest proportion of taxpayer dollars in South Australia is extremely important and the Budget’s procurement measures are pleasing to see. Not only do they put a focus on SA businesses winning government work, but they also help businesses get the work in the first place.

Money being allocated to regions is always positive. The return of Country Cabinet is a welcome opportunity for regional businesses and communities, and we will continue to advocate for regional chambers to be included. 

Infrastructure funding and additional investment in roads is always good news for local businesses who can benefit from contracts.

Our members tell us housing is a major obstruction to bringing workers into the regions to fill jobs. Further budgeted housing projects are pleasing given the tight rental market and increasing house prices.