Regulatory Perceptions Survey
It is important to understand the impact of the Government’s regulation reform program on the perceptions of Victoria’s regulatory environment because of the influence regulations can have on investment decisions and regulatory compliance.
The inaugural survey was conducted as part of the second quarter National Australia Bank (NAB) Quarterly Business Survey (QBS) conducted in June 2016. Each quarter approximately 900 firms respond to the NAB QBS across Australia, including small businesses.
The questions included in the survey were general in nature and encompassed the impact of all regulations by state governments. The questions focussed on four issues:
- The impact of state government regulation on businesses.
- The compliance cost of state government regulation and how has this changed over the last year.
- The main reason why businesses considered that compliance costs had changed.
- How effectively were changes to regulatory requirements communicated to businesses.
The surveyed businesses reported that Victoria had the lowest regulatory burden on business of all of the mainland states, both in terms of the impact and the change in compliance costs. This was consistent for all businesses, including small business.
The survey results indicated that there is scope for the Government to more effectively communicate changes to state regulation. A small number of businesses reported that they were not told about changes, while more than a fifth of businesses said they did not even know if changes had been made or not. It also identified the industries where Victorian regulation has the greatest impact. Where businesses reported an increase in compliance costs, most pointed to additional regulatory requirements as the major factor.
DTF uses this information as an input to advise Government on the impact of regulation and red tape reduction initiatives, and opportunities to further improve Victoria’s regulatory performance.
The responses that were provided to DTF are included in the attachment below. This serves as a baseline for future annual perceptions surveys. The second annual survey will take place during the June quarter in 2017.