The benefits of recent regulatory reforms are clear. Victoria’s Department of Treasury estimated that the $75 million investment made in the 2020 Victorian Budget on regulatory reform achieved $200 million in annual ongoing benefits through better and faster approvals and simplified processes, delivering a $2.67 return for every dollar spent.

As businesses and households battle rising taxes and the increasing costs of living and doing business, maximising state productivity has never been more important.

A high performing, fit-for-purpose regulatory environment is essential for business success, reducing unnecessary time and cost while increasing confidence, productivity and investment.

The recent 2023-24 Victorian State Budget saw a commitment of $45.2 million for ongoing regulatory reform. The Victorian Chamber’s Regulatory Reform Policy Paper provides the Victorian Chamber’s view on what that reform should look like.

The Regulatory Reform Policy Paper provides a summary of the broad implications of regulatory burden in Victoria and four significant policy reform recommendations that, if implemented, would enhance productivity, competitiveness, and the overall business environment in the state.

The key recommendations are:

• Commence the next phase of Victorian regulatory reform using our three-tiered approach to increase efficiency, productivity and competitiveness in Victoria.
• Create a forward plan over the next four years to fast track the use of secure digital platforms and processes to decrease time spent on applications and renewals.
• Empower Better Regulation Victoria to address business approval escalation and deliver coordination and regulatory improvement, including culture change.
• Develop a mechanism to scope and thoroughly assess large, complex projects to ensure efficient and comprehensive decision making, which will decrease the regulatory cost for business.

These recommendations intertwine with the findings and recommendations from the Victorian Chamber’s Cost and Ease of Doing Business report, an Australian-first index that ranked the cost of doing business across all states and territories, first released in February 2022.

The Paper has been informed through ongoing stakeholder and consultation as well as extensive member engagement via regulation-focused roundtables, and ongoing member feedback.

Victorian Chamber of Commerce and Industry Chief Executive Paul Guerra said: “Victorian Chamber members have been clear and vocal in their support for regulatory reform measures, particularly since the release of our Cost and Ease of Doing Business report, which demonstrated that Victoria is perceived as the most expensive place in Australia to do business.

“The current economic headwinds and cost-of-living escalations go hand in hand with rising business costs and we must start implementing policies and strategies now to improve business productivity.

“One clear way to do this is by improving efficiencies on business regulation experiences. Based on previous benefits that saw a $75 million investment return more than $200 million in ongoing benefits, we could see similar returns on investment again.

“The Victorian Chamber has been recommending improvements for regulatory reform for years, including in previous budget submissions and more. This campaign is the next step in implementing our recommendations and making a tangible impact on the business landscape. Now is the time for government to cut the red tape for business to make it easier and more efficient for them to do what they do best – run businesses, create healthy communities and support the economy.”

The full document is available via the Regulatory Reform Policy Paper page.