Businesses name Queensland the "Red Tape State"

Monday 8 August | Categories: ,

Queensland has become a “nanny state” with red tape destroying businesses ability to innovate and grow, according to a new survey.

The Chamber of Commerce & Industry (CCIQ) Inform poll found that 94 per cent of business owners said red tape had impacted on their operations, with three-quarters saying they would not employ extra staff because of the cost and time involved in compliance.

One survey respondent recounted his red tape experience, which required his new shed, built to house 60 pigs, to have a fire hose, an illuminated “Exit” sign above each of the two doors and an evacuation procedure displayed in a prominent position.

“The biggest difficulties were teaching the pigs to read the signs and procedures, conducting fire drills so the building could be evacuated in an orderly fashion and training the four most intelligent pigs as fire fighters,” the respondent joked.

CCIQ President David Goodwin said with more than 80,000 pages of regulations in force, Queensland had more than any other state in Australia.

“While red tape generally starts through good intentions, ultimately it ends up making doing business harder.  Regulations in Queensland grew 10.3 per cent from 2007/08 to 2009/10 and this is putting unnecessary constraints on business growth as they have to devote time and money to compliance, rather than spend this time and money on running and growing their business,” he said.

“Some Queensland business owners are spending up to a day a week embroiled in what they call red tape: paperwork, accounting, tax – all the administration to run the business and manage the employees.”

Mr Goodwin said while rules and regulation were essential in business and the economy, there needed to be a balance, and CCIQ was keen to work with all levels of government to identify ways to reduce red tape on businesses.

The Chamber of Commerce in Queensland (CCIQ) Blueprint for Fighting Queensland’s Over-regulation proposes seven action steps, including establishing political leadership and commitment, reducing existing regulations, restricting the flow of future regulations and improving government customer service and communication.

Businesses can register to receive the free Inform newsletter at www.cciq.com.au/inform.

Founded in 1868, Chamber of Commerce and Industry Queensland is the peak association for the state’s employers across every industry. It provides support, advice, training and advocacy for more than 25,000 businesses.