Australia needs to cough up its ‘regulatory hairballs', declares PC boss

Sydney Morning Herald

18 hours ago

Productivity Commission boss Danielle Wood is calling on all levels of government to launch a war on red tape and bureaucracy, describing an avalanche of laws over recent years as 'regulatory hairballs' that have held back living standards.
Before the federal government's three-day economic roundtable, which Treasurer Jim Chalmers says will tackle red tape in areas from housing to mining approvals, Wood will use a speech on Monday to argue that politicians have sought to over-regulate the country at the expense of economic growth and opportunities for all Australians.
Wood is one of the key attendees at the roundtable that will include business, community and union leaders who will canvass issues ranging from the shape of the tax system to the rise of AI to the lack of competition across parts of the economy.
In an address to the National Press Club, Wood will say that economic growth has fallen down the list of priorities. Governments at all levels have instead focused on other policy goals.
This had contributed to 'regulatory creep' where governments feel they have to respond to any issue with new laws or red tape, as voters looked to a 'Canberra fix' that ultimately led to decisions that slowed growth.
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She will argue all governments should follow the lead of the administration of former American president John F. Kennedy, which put up signs in the US Commerce Department asking: 'What have you done for growth today?'
'Perhaps it's time to distribute that sign to government agencies and ministerial offices all around our country,' she will say.
'Regulatory hairballs have found their way into almost every corner of our economy. Growth has simply fallen down the list of priorities in policymaking.'