Recent IPA research shows estimates that red tape costs the Australian economy $176 billion per year. This is a stretch higher than the Commonwealth Government’s current estimate of $65 billion per annum.
Red tape costs translate into a staggering $19,300 per household.
At 11 per cent of GDP, red tape is a larger industry than:
- Mining – 7 per cent of GDP
- Manufacturing industry – 6 percent of GDP
- Agriculture – 2 per cent of GDP
Australia is ranked 80th in the world for burden of government regulation, according to the World Economic Forum’s Global Competitiveness. This pits Australia behind many of our major competitors including Singapore, the United States and Canada.
