7 August 2017

For the second time in less than a week, surveyed South Australian businesses have responded overwhelmingly to reject the Weatherill Government’s proposed bank levy, with 65 per cent of small business owners opposing the tax in a Galaxy Poll released today.

The Galaxy poll is the fourth survey to show that confidence in the state’s economy in falling, with confidence taking a nose dive since the June State Budget.

A staggering 81 per cent of small businesses believed the bank tax would worsen the state’s competitiveness versus other states which did not have such a tax.

“Once again we call upon the Weatherill Government to recognise the compelling evidence from repeated polls, like the Galaxy poll, which show us that this is not the way to go for South Australian businesses,” Business SA Chief Executive Nigel McBride said.

“It’s time to send signals that we want our economy to grow, and as the Premier has said in the past; “We want South Australia to be the best place to do business in the nation”.

“Regrettably, the polls show that this is not the best place to do business and we want to change that, starting with getting rid of the proposed bank tax.”

The Galaxy poll of 400 small business found 70 per cent believed the consumer confidence would worsen because of the bank tax, 69 per cent thought the state’s economy would deteriorate and 65 per cent feared unemployment would rise.

The bank levy, which could deter investment in South Australia, punish small business owners, mum and dad investors, and anyone who has a superannuation account, will be debated in Parliament later this week.

Of the businesses which participated in the Galaxy poll, 70 per cent believed the tax would increase their business banking costs and 54 per cent thought it would harm opportunities for growth.

Mr McBride said the tide had turned and the public did not support the bank levy, despite Treasurer Tom Koutsantonis believing the populist tax would be waved through parliament.

“The tax should be dropped to avoid further punishing struggling small business owners and to send the right signal to boost the state’s faltering economy,” Mr McBride said.