Legislative Council Fifty-Fifth Parliament, First Session (55-1) 55 1 Parliament of South Australia Legislative Council published Matters of Interest Cost of Doing Business Cost of Doing Business The Hon. B.R. HOOD Legislative Council The Hon. B.R. HOOD (15:40): I rise today to speak on an issue that is becoming more dire by the day: the cost of doing business crisis that is crushing South Australian businesses under this Labor government. Across our state, the message from business owners is loud and clear: 'We are struggling to keep our doors open and our staff employed.' According to ASIC insolvency data, 319 South Australian businesses entered external administration or had a controller appointed in the financial year to 31 December 2024. That is 319 businesses forced to make a gut-wrenching decision, businesses that once thrived now pushed to the brink because of skyrocketing costs and government inaction. This economic decline is not an accident, it is a direct result of a government that has failed to step up, failed to offer real solutions and failed to shield businesses and families from financial stress. One of the biggest culprits in this crisis is a relentless rise of power prices. The Australian Energy Regulator's quarterly report lays it out in black and white. Since Peter Malinauskas took office, power prices have soared by 28.3 per cent. South Australians are now paying some of the highest electricity costs in the nation and this government's only energy policy, one which they admit was not even going to reduce power prices anyway, has been scrapped. For hospitality businesses, cafes, pubs and restaurants, this is the difference between keeping the lights on and shutting up shop. The statistics from CreditorWatch show that hospitality industries have been hit hardest by business insolvencies, and what is this government doing about it? Well, not much. It seems their only solution in this term to ease the burden on businesses is Small Business Week, a week of free networking events. That is their solution while businesses shut down in droves. Let's hear what an actual business owner had to say about this. Oliver Brown, an Adelaide hospitality operator, responded to the government's inaction by saying he has not used any of these so-called programs in the past six months, and why? Because, in his words: Attending an annual Small Business Week isn't really going to help me fight rising wages, cost of goods, increased insurance, or reduced patronage due to a reduction in consumer spending. What business owners really need is real relief. They need cost-of-living solutions, or cost-of-business solutions, that help them keep their doors open. They need a government that will act to bring down electricity costs, not stand idly by while the bills spiral out of control. They need a government that will address payroll tax and excise tax, not funnel taxpayer money into sporting ovals while businesses are left to rot. Labor's rhetoric does not match reality. The Premier wants the public to believe that the South Australian hospitality industry is growing, but tell that to the owners of Four Sides Bar and Kitchen, Fishbank, Miss Viet Kitchen, Gang Gang, Lost in a Forest, Crack Kitchen, Big Shed Brewing, Midnight Spaghetti, Stem restaurant, Bali Thai—the list goes on. More than 20 hospitality businesses have shut their doors recently. This industry is vital to our state's economy. Hospitality is more than just a sector; it is the heartbeat of our communities, both metro and regional. It provides jobs, fosters local culture and brings people together. It employs young people like my daughters and yet under Labor we are watching the heartbeat fade. The Premier is happy to front up to cameras for LIV Golf and Gather Round—and do not get me wrong, they are great events—but where is he when business owners need him? Nowhere to be found. The SA Liberals, though, do have policy. A Tarzia Liberal government will boost group training. We will guarantee funding for construction training. We will provide mentors for apprentices and supervisors. We will reduce payroll tax exemptions for trainees and apprentices, with many more complementary policies coming in the pipeline. Without real leadership businesses will continue to close, jobs will continue to be lost and our communities will suffer. South Australians cannot trust the government to bring hope to struggling businesses, but I can tell you one thing: a Liberal government will step up to the plate. We will deliver. We know and will support small business, because many on our side have actually run small businesses. To the small and family business community in South Australia, we have your back. We will not let you and the South Australian economy be suffocated under the weight of Labor's failures.