Loading
Countries that get there faster will deliver better and more outcomes for their citizens, and that’s why we’re determined to work constructively with the government on implementing federal project approvals reforms that get it right for both the environment and for business.
While this should be one of the first cabs off the rank, there’s also a broader opportunity to make our regulation better and more conducive to getting things done.
This is something governments all over the world are grasping with both hands. Indeed, British Prime Minister Keir Starmer has committed to reducing the regulatory burden on British businesses by 25 per cent by the end of his first term.
This is the level of ambition we also need in Australia. If we want to be a more productive nation, we would do well to follow the British example.
To that end, the Business Council of Australia is currently developing a “to-do” list of commonsense improvements to everyday regulation that we will launch and advocate for in coming months. These will be practical and achievable steps for government that can cumulatively deliver substantial benefits. They will focus on the principle that we should regulate only where necessary and, when we do, keep burdens to a minimum.
Loading
Lastly, we cannot ignore the role of technology and innovation in our productivity growth to date, and into the future.
That means encouraging our major businesses to conduct much more research and development, and at minimum, increasing our R&D tax incentive expenditure threshold to an indexed $250 million.
It also means taking an optimistic and nationally entrepreneurial approach to the AI evolution.
Driven by incredible leaps in computing power and data, AI has reached a tipping point. It’s by no means an exaggeration to say that what we do now will determine whether our nation is playing catch-up for decades to come or gains a competitive edge that improves all Australian lives.
These points represent a snapshot of the policy fronts on which government, businesses and workers must be united if we’re to improve our productivity in the coming decade. There are other priority areas that would yield significant improvements, including addressing our retrograde taxation system.
It’s also important to note that the business community has long seen fair and balanced industrial relations reform as central to becoming more productive. Our workplace policies must encourage innovation and investment in areas like AI rather than stifling it.
If, however, we want to achieve real change, the most important thing we need is a real mindset shift. Intergenerational equity through higher living standards must be our objective, and that necessitates decisive, substantive productivity-enhancing reform – and we have no time to waste.
Bran Black is Business Council of Australia chief executive
