Labor’s red tape killing productivity and costing billions

Senator Andrew Bragg
Shadow Minister for Productivity and Deregulation 
Shadow Minister for Housing and Homelessness
Liberal Senator for New South Wales

It can be revealed the cost of complying with the new laws initiated by the Albanese Government during their first term is a staggering $4.8 billion.

This is the total, conservative cost of the government’s own impact analysis statements from their laws as conducted by the Office of Impact Analysis which sits inside the Prime Minister’s department. 

The Office of Impact Analysis is the government office dedicated to analysing new regulation. While Labor mired the economy in red tape and new compliance costs, they gutted this office.

Under Labor, the OIA has seen its headcount fall from 21 people to 16 in just 3 years.

Labor has regulated the economy into a pulp. Everyone working in a business feels the crushing impact of Labor’s re-regulation of the Australian economy.

In Labor’s economy there is:

• 5,000 new regulations

• 400 new laws 

• Productivity plummeting by 5% since the beginning of their government

• The prospect of more regulation and more red tape 

• No focus on law enforcement of the existing laws 

• A rent seekers’ paradise, but nothing for the little guy 

• A collapse in our international competitiveness 

Australia is now one of the most heavily regulated countries in the world. According to the Parliamentary Library, the Albanese Government introduced 5,034 new regulations in their first term alone. This sits alongside their 400 new laws.

This has brought the total number of legislative acts currently in force in Australia to 1,241. By comparison, New Zealand has 1,057 acts in place, while Canada has just 880.

The Productivity Commission has been scathing in its latest report on the Office of Impact Analysis under Labor. It recommends the appointment of an independent statutory commissioner to oversee the Office of Impact Analysis and raise the standards for impact analyses.

This is a failure of the Prime Minister. It is his department.

A course correction is required—and can only be achieved through a sustained and methodical approach to red tape reduction. Previous attempts at deregulation have failed and we will learn from these mistakes. 

The Coalition’s deregulation agenda is about asking whether a regulation is really needed. 

We are reengaging with businesses of all sizes. Backing small business is in our DNA, but we also understand the importance of larger businesses.

Governments should be working hand in hand with industry to boost our productivity and international competitiveness, not miring them in red tape.

As part of our deregulation agenda, we are in the process of identifying priority areas that will make the most significant impact on the Australian economy.

Each deregulation proposal to cut red tape must be accompanied by a rigorous costing as we seek to relieve the red tape burden from Australia’s economy. 

We are releasing a short issues paper today to guide targeted submissions - you can see it here. 

The Coalition is committed to cutting red tape to boost enterprise, investment and jobs.