Stocks

Business SA has acknowledged that the State Government has been restricted in what it has been able to deliver in this week’s State Budget.

Business SA has supported the actions that look like maintaining the State’s triple A credit rating, which is important for the future borrowing ability of South Australia.

Business SA Chief Executive Officer, Peter Vaughan, said that the State Government had little room to move in this year’s Budget. 

“In the current economic climate this was always going to be a tough budget to formulate,” Mr Vaughan said.

“The Government has had little alternative but to deliver a Budget which is in a holding pattern, however we support a return to surplus by 2012-2013.

“The significant fall in GST earnings for South Australia was a concern in the lead up to the Budget, limiting the ability to address any wish lists.”

Taxation

“It is disappointing that the Budget did not provide any tax relief for business.

“We’ve made our views very clear about the taxation burdens being faced by South Australian businesses and recent economic data indicates we are performing poorly compared with the rest of the country.

“We are not competing on a level playing field with the other States and current taxation burdens are having a direct impact on jobs and investment.

“The Government is aware of the taxation anchors weighing down economic growth and we will be pushing very hard for taxation reform in the second half of the Labor Government’s term in office.”

Magnifying GlassPublic Sector efficiency

“We welcome the tough calls in the Budget to address the excessive public sector growth and the benefits that will flow through to the local economy.

“While steps have been introduced to address public sector inefficiency, red tape and layers of bureaucracy, we look forward to continuing action on the removal of permanent tenure.”

Infrastructure

“The Budget outlined new and previously announced infrastructure projects and we welcome the opportunities that will be generated for local businesses.

“Infrastructure is an important driver of economic growth and improved infrastructure, from the Southern Expressway to critical CBD development, such as the Adelaide Oval, will accommodate and drive a growing population.”

Skills Development

“With skill shortages looming, we are pleased that adequate funding for education and training is committed to ensure that many of the reforms outlined in the Skills for All paper can be implemented successfully.”

Adelaide Office

Level 1
136 Greenhill Road Unley
South Australia 5061

P 08 8300 0000
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Business SA is a proud member of the Australian Chamber of Commerce and Industry (ACCI)