The state’s peak business organisation, Business NSW, believes NSW is getting back on track, with its quarterly Business Conditions Survey revealing the first bounce in business confidence in a year.
The survey shows business perceptions about the performance of the NSW economy rebounded strongly from the record low recorded in June.
“The outlook has also improved, with businesses expecting further lifts in the economy for the remainder of 2020,” said Business NSW Regional Manger Kellon Beard.
“The strong bounce in business confidence is a welcome boost and gives a big tick to government decisions that have backed a business-led recovery,” Mr Beard said.
“It should also give governments confidence that their policy responses – such as providing support to make it easier for employers to protect jobs and easing restrictions on trade – are working.
“However, while fewer businesses are scaling back their capital spending and staffing levels, fewer businesses are in a position to expand.
“That is why Business NSW is calling on the NSW Government to continue the jobs push by announcing a payroll tax rebate in next month’s Budget.
“The survey also examined some of the factors common to businesses most affected by COVID-19.
“While business services, hospitality and tourism businesses have been heavily impacted overall, business performance in these industries varies dramatically depending on location and type of customers serviced.
“Unemployment is one of the areas highlighted by the survey that remains an issue for the region, with the Mid North Coast and the Coffs Grafton areas, recording the highest unemployment in the State.
“Whilst business confidence across the entire Mid North Coast is rated as average, reducing the unemployment rate will have a positive impact on business.
“While many businesses are about to enter a difficult period as support measures are tapered back, its promising to see a strong foundation for recovery emerging in NSW,” Mr Beard said.
About Business NSW
Formerly the NSW Business Chamber, Business NSW is the peak policy and advocacy body which has been representing businesses in NSW since 1826.