Vic. seeks red tape savings
The Victorian Government has unveiled a plan to halve the number of state business regulators by 2030.
The reform, detailed in the state’s newly released Economic Growth Statement (PDF), promises to streamline interactions between businesses and government, and save businesses $500 million over five years.
However, despite these changes, businesses hoping for tax relief will need to wait longer, as the government confirmed no immediate plans to adjust current tax rates.
Premier Jacinta Allan has framed the initiative as a necessary shift in how the state regulates commerce, to balance oversight with efficiency.
“Regulation should be a guard rail, not a stop sign,” she said.
If the plan can be carried out, Victoria will have the fewest regulators of any state.
While the roadmap for implementing these changes will not be released until 2025, the reform is part of a broader strategy focusing on five key sectors expected to drive Victoria’s future growth: advanced manufacturing and defence, health technologies and medical research, the circular economy, digital technologies, and agribusiness.
The statement details Victoria’s economic performance over the past decade, framing it as a national leader in job creation and business investment growth.
Treasurer Tim Pallas acknowledged, however, that rising inflation, high interest rates, and sluggish productivity pose challenges.
He said the reforms are designed to ensure that businesses can innovate and thrive in an increasingly competitive global environment.
Beyond regulatory cuts, the government will also focus on boosting business investment by unlocking new industrial land, expediting planning processes, and supporting high-growth ventures through a $20 million Victorian Industry Development Fund.
It also aims to make the state more attractive for entrepreneurs and international businesses through a new Investment Coordinator-General, who will oversee major projects and ensure timely approvals.
Addressing workforce needs is another pillar of the plan, with initiatives aimed at skilling workers for emerging industries.
Free TAFE courses will be expanded, and projects such as AI-assisted recognition of prior learning will be trialled to accelerate the transition of workers into high-demand roles.
The government’s broader growth agenda is designed to play to Victoria’s existing strengths.
It says Melbourne leads the nation as a hub for medical research, startup innovation, and major events, while regional areas play a key role in agribusiness and renewable energy.
Regional communities will see targeted investments, including upgrades to infrastructure and support for industries like food production and advanced manufacturing.
Despite the ambitious plans, some business leaders remain concerned about the lack of immediate tax relief, arguing that high tax rates may hinder the benefits of reduced red tape.
However, the government is banking on its collaborative approach to policy, reinforced by the establishment of a Premier’s Business Council and industry-led forums, to deliver lasting economic growth.