South Australia’s peak business body has expressed disappointment over the limited allocation of funds to the small business sector in the 2024 – 2025 federal budget, as announced by Treasurer Jim Chalmers tonight.
Andrew Kay, CEO of the South Australian Business Chamber, emphasised the need for the state government to step up its support for businesses following what he described as negligible assistance provided in the federal budget.
“While we appreciate the extension of the instant asset write-off, an energy rebate of $325 falls far short of addressing the challenges confronted by SA businesses who have been experiencing the highest energy bills in the country.
“This rebate equates to around 3% of the average electricity bill for small businesses. Last year, the state government matched the energy rebate provided by the federal government for South Australian businesses. This year, we have advocated for a further doubling to $1300 in 2024 – 2025, given the substantial energy price hikes small businesses have endured over the past two years.”
Additionally, Mr Kay reiterated the Business Chamber’s call for its proposed reforms to payroll tax and urged for significant investment in the small business sector to help unlock productivity in the upcoming state budget.
“We have submitted a comprehensive set of 12 recommendations ahead of the state budget announcement in June. We urge the South Australian Government to prioritise the urgent needs of the business community,” said Mr Kay.
The Chamber’s March Quarter Survey of Business Expectations, conducted in partnership with William Buck, revealed that 77% of respondents identified the cost of doing business as their foremost challenge.
“Given the reported surpluses in both federal and state budgets, there is a clear opportunity for both governments to support businesses during this prolonged period of challenging trading conditions,” Mr Kay concluded.
