Industry Groups Back 25 Percent Red Tape Cut
The Alliance of Industry Associations has welcomed the Coalition's commitment to reduce regulatory burdens by a quarter.
Updated on Nov. 9, 2026 in Economic Policy
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The Alliance of Industry Associations welcomed the Coalition's commitment to reduce red tape by 25 percent. The Federal Government has also committed to cut regulatory costs by more than A$10 billion annually.
Why it matters
The Alliance considers reducing regulatory requirements necessary at a time when productivity and living standards are stagnating. Excessive regulatory requirements increase business costs and place additional pressure on businesses across Australia.
Regulatory compliance costs for Australian businesses are estimated at A$160 billion annually, almost six percent of GDP, according to the Australian Institute of Company Directors. A 25 percent reduction could save approximately A$40 billion a year, though the timing and method of achieving this remain unclear.
The players
Alliance of Industry Associations
A coalition of around 30 industry groups that advocates for lower regulatory costs across Australian business sectors.
Australian Institute of Company Directors
A professional body for company directors whose estimate of A$160 billion in annual compliance costs is widely cited in regulatory debates.
The details
The Alliance of Industry Associations, which brings together around 30 industry groups, has previously called on all governments to reduce unnecessary regulatory costs by 25 percent by 2030. The group said it is prepared to work with governments to implement regulatory reforms.
Timeline
9 November 2026: The Alliance welcomed the Coalition's red tape commitment.
2030: Target year for a 25 percent reduction in regulatory costs.
Economic Policy Context
Australia's proposed 25 percent reduction mirrors targets already set by the United Kingdom and European Union. The European Union is also aiming for a steeper 35 percent cut for small and medium-sized businesses.
Businesses facing lower compliance costs could pass savings on to customers or reinvest them in operations. Reduced regulatory burdens may also ease administrative workloads for small operators.
The takeaway
Reducing red tape is a policy goal with measurable targets, and the 2030 deadline gives a clear benchmark against which progress can be judged. Readers can track whether governments meet these commitments over the coming years.
Further reading
Explore more on Economic Policy to see how regulatory reform fits into the wider policy agenda.
More information
Visit the National Farmers' Federation website for further information on industry positions.
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Do you support cutting Australia's business red tape by 25 percent?
