The 2022-23 State Budget sets up WA for a bright post-pandemic future, delivering significant improvements to the State’s net debt position and solid reform measures called for by CCIWA.
This financial year, State net debt will fall below $30 billion for the first time since 2015, driven primarily by record commodity prices.
“This is a good Budget, the Government’s delivered a quinella. They’ve significantly reduced net debt … and at the same time the Government has delivered some good reform initiatives,” CCIWA Chief Economist Aaron Morey said.
Here’s what the State Budget means for your business:
Positioning WA internationally
- The Budget provides $652 million to boost WA’s climate credentials, including $60m for an electric vehicle package and $31m for climate research and planning.
- WA will establish four more overseas trade offices in Frankfurt, Chennai, Ho Chi Minh City and Kuala Lumpur.
- $121m will support rebuilding our tourism and international education sectors.
Keeping the costs of doing business low
- A further $400m investment in the Digital Capability Fund to drive efficiencies in government service delivery.
- Tweaks to the tax system include allowing more businesses to pay payroll tax quarterly, removing the 2 per cent surcharge for paying land tax in three instalments, and reducing the general rate of transfer duty.
- A payroll tax waiver for hospitality businesses with a 40 per cent drop in turnover between January 1 and April 30.
Ensuring a skilled workforce
- $189.5m is committed from 2022 to 2025 to provide WA children with 15 hours per week of kindy, with funding to follow the child.
- An overseas marketing campaign to attract workers from the UK and Ireland.
- $11m to build WA’s defence industry workforce, and $2.4m to attract international students to regional WA to alleviate skills shortages.
Investing in infrastructure
- Over $1.4b for regional roads, rail freight and telecommunications infrastructure.
- $500m investment in regional ports, including Geraldton and Port Hedland.
- $50m to develop strategic industrial land precincts.
Morey said CCIWA calls on the Government to ensure some of the digitisation money is used to improve the interface between government and business, such as through more streamlined licensing processes.
On investment, he said: “CCIWA calls on the government to go further and establish a trade and investment office in the United States to ensure we can bolster investment flows from our No.1 investment partner”.
“All up, the State Government has made good decisions as part of this budget. CCIWA commends them for the decisions made, and looks forward to further cooperation to drive more reform opportunities,” he said.
For more on CCIWA’s Advocacy work see cciwa.com/advocating-for-change/.