Kevin Rudd (Griffith, Australian Labor Party) Share this | Link to this | Hansard source

Over the last four years, Australians have faced one of the toughest global economic challenges in our lifetime. As we look back, Australia's success in navigating the global financial crisis is a testament to the ability of the whole community—businesses, families and government—to pull together.

For Queensland it has been even tougher. In early 2011, local business owners were hit by the consequences of the Brisbane floods. Not only did this have a physical impact on the businesses concerned but it affected their customers as well.

Most recently, the cuts to Queensland public services have hurt Queensland's economy even further. There are over 9,000 public servants in my electorate of Griffith. If we cut local jobs then we lose local businesses, and that is what is happening. I recently met with a number of small businesses at the annual general meetings of the West End Traders Association and the Gabba Business Association. Peter Marinelli, President of the West End Traders Association, owns the Swiss Gourmet Delicatessen in the heart of West End. He has had many years of experience running a small business and now assists other local businesses by running this association. He does good work in the community.

The Gabba Business Association is another great organisation that works to build successful business partnerships in the Woolloongabba community under the leadership of its President, Glendon Young. I recently addressed them and discussed how the dollar fares on currency markets and as a consequence its impact on the local economy including the export sector, and also what federal and state governments were doing in the area of international export promotion. Local business owners informed me of their own goals to build their businesses up, and we discussed the importance of the National Broadband Network in bringing people to the local area because it is essential for doing business.

The National Broadband Network will connect small businesses with the world. Under the three-year rollout plan, construction of the fibre network will commence in South Brisbane, Woolloongabba, West End, Bulimba, Morningside and Cannon Hill between 1 April 2012 and 30 June 2015. This will connect over 47,000 households and businesses to the Woolloongabba and Camp Hill exchanges. This is terrific news for the community and for business.

Furthermore, to ensure that the next generation of kids is fully wired, we now have more than 7,365 computers, which have been delivered to my local secondary schools through the National Secondary Schools Computer Fund—training our next generation in a manner which makes them technically literate for the demands of the future. The National Broadband Network will provide essential telecommunication networks to these schools and small businesses enabling them to engage with suppliers, customers and investors in new and innovative ways.

We value the important contribution small businesses make to national prosperity and supporting jobs. They are the heart of the Australian economy. Australia also has a large number of non-employing small businesses, mainly micro-businesses and independent contractors. They also contribute hugely to our nation's prosperity.

Running a small business can be a tough job at the best of times. I know that from my own experience, having run one once myself. In my electorate of Griffith, there are more than 14,000 small businesses. They are the drivers of employment, enterprise, innovation and they help create and build strong local communities. Many of them are represented by the South East Brisbane Chamber of Commerce under the leadership of Penny Cutting. I have attended many meetings of the chamber, which brings together over 100 businesses each month to share experiences and discuss ways to improve the operation of businesses. They also involve local high schools—building the next generation of entrepreneurs.

I am proud that many of our local small businesses are now benefiting from the instant assets tax write-off. Because of this government, small businesses are now be able to immediately deduct assets costing less than $6,500, up from just $1,000. This means that if a business purchases a new computer based cash register system, for $3,000 they can claim the entire tax deduction over one year instead of over three or more years. This means a lot in terms of cash flow for a business. It also means that if a business buys a motor vehicle costing more than $6,500, they can immediately deduct the first $5,000. There is no limit to the number of assets costing less than $6,500 that businesses can write off. This means less paperwork and it also means a better cash flow. It also means that when you invest in your small business you get the tax benefits that year—freeing you up for the next investment in growing your business further.

On the ground, we are providing up to $5,000 in business skills training to newly qualified tradespeople to help them establish their own business. As they finish their apprenticeship, they will learn business and finance skills that are critical for running a successful small business. I recently met with two young men in my electorate office who at the age of 20 and 21 have decided to start their own small telecommunications business—good on 'em. They are determined, enthusiastic and willing to learn. These young individuals are the entrepreneurs of tomorrow.

I know that small businesses are the lifeblood of local community and I will continue to support them on Brisbane's southside.