Examining the state of the regions

Mayor Troy Pickard ALGA President

For 18 years, the State of the Regions report series has presented the latest statistical indicators on the performance of Australian regions and analysed the trends in inequality between regions, providing an authoritative description of the reality of regional economics and offering local government useful planning tools.

This year’s report, launched at the Australian Local Government Association’s (ALGA) Regional Cooperation and Development Forum on 19 June, shows continuing and concerning trends of a widening gap in employment rates, household incomes and productivity between and within Australia’s regions and cities, which is intensifying the inequality across Australia’s regions.

The report highlights that without policy action to expand productivity growth outside of Australia’s knowledge economies such as Sydney, four-fifths of the Australian population that lives outside Sydney and the resource-rich regions will face declining opportunities for work and real incomes.

The report also finds that regional income ranges from $20,000 to $30,000 above average in high-income regions and dips to $13,000 below average in the lowest income region. On top of this, the unemployment level across regions ranges from a low three percent for the best performing regions to between 10 percent and 17 percent for many other regions, illustrating a deepening inequality at a regional level and threatening economic growth at a national level.

Statistically, the report highlights the facts that local government feels on the ground, that there is considerable unevenness of economic growth across the country, which needs to be addressed. A definitive and comprehensive regional development policy is now crucial with more strategic stimulus needed from the government to help boost all of Australia’s regions. Many regions in Australia are being left behind and the State of the Regions report shows that the challenges faced by these regions need commitment and leadership now.

It’s essential that the Government provides more information and clarity on its vision and plans for our regions, how it will accomplish a more even spread of prosperity for our communities, and how it proposes to undertake this policy development work and facilitate better coordination between the three levels of government to assist Australia’s struggling regions.

ALGA looks forward to pursuing this issue with the Government.
If you would like to access this year’s State of the Regions report, please visit alga.asn.au