South Australia tops nation for business investment

24 July

South Australia has topped the nation on business investment, according to today’s CommSec State of the States report.

The quarterly report form Australia’s largest bank found that business investment on plant and equipment in South Australia increased by 19.3 per cent compared to a year earlier, more than any other state or territory. South Australia also ranked highest when States were each compared to their average performance over a ten-year period.

The report follows the release of the latest NAB Monthly Business Survey, which showed that business confidence in South Australia improved following the announcement of the SA major bank levy.

This is despite claims made as part of a major advertising campaign funded by the banks that the major bank levy would hurt business confidence and investment in South Australia.

Acting Treasurer Peter Malinauskas said we are seeing daily ads from the big banks talking down South Australia, yet their own reports and surveys tell a very different story.

“This Government has invested substantially in creating an environment where businesses can invest and grow, by cutting stamp duty and payroll tax and through our Job Accelerator Grants to help businesses take on additional staff,” Mr Malinauskas said.

“This report from the Commonwealth Bank shows that those investments are paying off and businesses are looking to invest and expand their operations.

“It follows NAB’s Monthly Business Survey, which revealed business confidence in South Australia actually improved following the announcement of the major bank levy. That is in direct contradiction to what we are hearing from the banks in their paid advertising.We face strong headwinds as the closure of Holden approaches, which is why we are using our $200 million Future Jobs Fund to invest in the sectors of our economy with the capacity to grow.

“The major bank levy is a tax on five big banks that will fund job creation initiatives set to benefit thousands of South Australian small businesses.”