Queensland ranked 6th in Australia: Commsec State of the States report

Queensland’s inability to compete with its bigger southern rivals, and the state’s lack of an ‘X-factor’ has been blamed for its low placing in the Commsec State of the States report. SEE WHERE WE RANK

QUEENSLAND lacks the “X-factor” of its southern rivals, according to a report released today ranking the states by their economic performance.

The Sunshine State has placed sixth in the December Commsec State of the States report, finishing last on the East Coast and behind only the Northern Territory and Western Australia, and well behind first-placed Victoria.

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Among its weakest measures were economic growth, where Queensland fell two spots over the quarter.

The unfolding coronavirus pandemic had minimal impact on the data, with Commsec chief economist Craig James saying the shockwaves were only felt in the second half of March.

But Mr James said Queensland’s poor ranking was due to the state’s inability to compete with its bigger southern rivals.

“Basically it hasn’t got the X-Factor,” he said.

Deputy opposition leader Tim Mander said the report was proof that economic performance had “gone off a cliff” in Queensland. Picture: File

Mr James said Victoria and New South Wales had ramped up population growth several years ago, sucking away economic opportunities from Queensland.

“That created a driver in terms of more demand for homes … more offices, more shops. You can see the tee-off event sort of going off the broader economy,” he said of the southern states.

“That meant slower population growth in Queensland.”

Queensland consistently ranked between fifth and seventh in most benchmarks, with the second lowest wages growth in the country.

Mr James however said Queensland had performed strongly in reducing unemployment in the lead up to the pandemic, putting the state in an enviable position for weathering the coronavirus pandemic.

Australian Bureau of Statistics, Commsec and Corelogic data is used to analyse state performance every quarter.

A spokesman for Deputy Premier Jackie Trad dismissed the report, saying it didn’t capture Queensland’s strength in weathering the coronavirus storm. Picture: Shae Beplate

LNP Deputy Leader Tim Mander said Queensland’s low scores were proof that the state government had mismanaged the state’s economy.

“This report shows Queensland’s economic performance has gone off a cliff under Labor – and well before the present coronavirus crisis,” Mr Mander said.

“Queensland used to be an economic powerhouse, but thanks to Labor we’re flatlining.”

A spokesman for Deputy Premier Jackie Trad defended the state’s performance, saying strong employment growth before the pandemic meant Queensland “has not been hit as hard as states like New South Wales and Victoria.”

“A report comparing the December 2019 quarter with decade-long averages bears little resemblance to the economic challenges Queensland and Australia face today,” the spokesman said.

Originally published as Queensland ranked 6th in Australia: Commsec State of the States report