South Australian businesses have made a final plea to the Treasurer to present a business-friendly State Budget on Thursday 6 June, by acting on a series of recommendations proposed by the South Australian Business Chamber.
In April, the South Australian Business Chamber announced a comprehensive set of recommendations, highlighting the urgent need for the government to reduce cost burdens on businesses and provide support to drive productivity, entrepreneurship, and growth.
The submission outlined 12 key initiatives to address critical needs within the business community.
Chief Executive Officer Andrew Kay emphasised that given the absence of business support in the Federal Budget, the upcoming State Budget must include measures to bolster small businesses, including payroll tax reform and increased investment.
“Businesses are facing cost pressures that are at generational highs. Increases in energy prices, insurance premiums and wage costs have been higher than most small business owners have experienced in their lifetime,” said Mr Kay.
“Today’s annual wage review will likely see a further rise in wages, pushing some businesses over the payroll tax threshold, which hasn’t changed since the Marshall Government lifted it in 2019.
“With the State Government now reporting a surplus fuelled by increased payroll tax, GST and stamp duty receipts, it must act to prevent a rise in business closures in the 2024 – 2025 financial year,” he added.
“The business community will continue to do the heavy lifting and strive to boost productivity; however, the government must help create an environment that enables that to happen.
“Business has been a major contributor to the State Government’s financial recovery since COVID-19. As we reach the halfway point of its term, the time is right for the Malinauskas government to invest back into business,” he concluded.
The recommendations presented to the government are grouped under two major priorities:
Reform payroll tax to make it work for the state:
Investing in South Australian small businesses
For further details on each recommendation, the full submission can be downloaded here.