Industry, lobby groups lay out expectation from new Prime Minister Morrison

REINING in electricity and gas prices, launching a broader tax reform push and investing more in jobs training tops the business wishlist for the nation’s latest prime minister.

REINING in electricity and gas prices, launching a broader tax reform push and investing more in jobs training tops the business wishlist for the nation’s latest prime minister.

Corporate Australia also hopes new Prime Minister Scott Morrison will be able to usher in a period of political stability, calling for long-term policy to be put ahead of short-term politicking.

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The Australian dollar and stock market both lifted after yesterday’s leadership ballot, with the benchmark ASX 200 share index breaking a three-day losing streak.

The Australian Industry Group said Mr Morrison should focus on building a “stronger economy and inclusive society”.

“We hope the new administration will, among other things, focus on navigating a way to broader tax reform, delivering affordable energy, and addressing the gaps in our education and training system which are contributing to ongoing skill shortages,” chief executive Innes Willox said.

Australian Industry Group chief executive Innes Willox

The Australian Chamber of Commerce and Industry said businesses and the broader community “need political stability and policy certainty to allow Australia to prosper”.

“Long-term policy must be put ahead of short-term politicking,” acting chief executive Jenny Lambert said.

Ms Lambert said Mr Morrison should work to reboot the National Energy Guarantee, fast-track tax cuts for small and medium-sized business, boost apprenticeship numbers and encourage skilled migration into regional areas.

Rio Tinto Australia managing director Joanne Farrell also called out energy as a key issue for the nation’s 30th prime minister. “We look forward to working with the Morrison Government on a number of issues across the economic reform agenda, including reliable and secure electricity supply, business competitiveness, global trade and the future workforce,” Ms Farrell said.

Rio Tinto Australia managing director Joanne Farrell.

The Association of Superannuation Funds of Australia, which represents both industry and retail funds, said it did not expect any major change in policy around super.

“We don’t anticipate a major change in direction for retirement policy from the new Prime Minister, but that is ultimately a matter for the government,” chief executive Martin Fahy said.

The Australian Retailers Association said retailers wanted stability, while the Council of Small Business Organisations Australia said Mr Morrison had, as treasurer, shown strong support for small businesses.

“Thanks Malcolm, welcome to the new team, now let’s get on with it,” chief executive Peter Strong said.

Council of Small Business Organisations Australia chief Peter Strong.

Speaking ahead of yesterday’s leadership vote, Medibank Private chief Craig Drummond said he was looking forward to a quick resolution to the leadership crisis.

“Of course it’s disappointing what’s going on,” he said.

“A quick resolution would be a really good outcome so we can all get on and focus on what we need to focus on.”

Australian Council of Trade Unions secretary Sally McManus took aim at Mr Morrison, saying he was “behind the failed corporate tax handout that sought to take billions from pensions, hospitals and schools to feed big business greed”.

JP Morgan Australia chief economist Sally Auld said the leadership decision provided some relief for the Australian dollar and share market.

Australian Council of Trade Unions secretary Sally McManus.

“Morrison is a known quantity and is generally viewed as having performed well in the portfolio (of treasurer),” Ms Auld said.

But she cautioned that Mr Morrison’s slim winning margin of five votes in the leadership ballot was a “lingering concern” and it “remains to be seen whether recent animosities (in the Coalition) can be put to bed”.

Ratings agency Moody’s said the leadership change did not have any implications for the nation’s triple-A credit rating, which was supported by a strong economy and moderate level of government debt.

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