ON Monday, shadow finance minister, Senator Jane Hume, accompanied by Wannon MP, Dan Tehan, visited Hamilton seeking firsthand information on the effect the cost-of-living crisis has had on small regional businesses.
Senator Hume and Mr Tehan visited four local businesses including Elders Real Estate and Sportspower before continuing to Ararat to participate in a cost-of-living forum allowing business owners to share their ideas and recommendations to help address the issue without adding to inflation.
Mr Tehan said it was wonderful to have Senator Hume visit Hamilton regarding such an important issue.
“The cost of living and cost of doing business is the number one concern which is being raised right across the electorate,” he said.
“Senator Jane Hume … is heading a cost-of-living, cost of doing business senate inquiry and so I wanted her to be able to hear firsthand from businesses here in Hamilton and businesses in Ararat about the pressures they’re facing.
“What we’re seeing is that those costs are now blowing through to the cost of housing, whether it be rent or whether it be being able to purchase a home … we’ve got to be able to find solutions for these issues.”
Elders Real Estate Hamilton branch manager, Anna Delany said, “Whilst residential investment properties continue to be an excellent way of getting into the market, the increasing pressure from Victorian State law is making this challenging for owners.”
“There are added costs of land tax, high interest rates, providing minimum standards and safety compliance checks that have forced owners to increase rents, or alternatively to sell and choose a different method of investment,” she said.
“Hamilton is currently seeing a decreased number of available rental homes, at higher rental than ever, which creates barriers and stress for renters.”
Ms Delany expressed her gratitude to Senator Hume for her time in listening to these issues and added that she looked forward to hearing that Senator Hume had shared these with policy makers.
Sportspower principal owner, Keven Quinn also spoke on a number of issues his business has faced including having lost staff to government funded businesses due to the competing salaries they are able to provide.
“It’s hard to compete, pay the wages we want to pay and then be competitive in the marketplaces,” he said.
Senator Hume said that the cost-of-living is the number one issue right across the country, but particularly in regional towns.
“It’s not just the cost-of-living, it’s the cost of doing business that’s really beginning to bite,” she said.
“It seems that small business owners are in a pincer movement, they have rising rents, rising wages, rising compliance costs and they’re still paying tax.”
She added that in a town like Hamilton, things such as increased freight costs and increased fuel costs are having dramatic effects on small businesses saying, “(The cost-of-living is) making them not just worry about the future of their small businesses, but decisions about employing more people, about whether they can take people on full time or part time and importantly whether they can pay themselves too.”
“What we’ve seen in other parts of the country is that small businesses are the canary in the coal mine for the economy,” she said.
“They’re not just deciding to sell their businesses but they’re actually just shutting the doors and that’s a real concern because it doesn’t bode well for Australia’s prosperity.”
