Andrew Laming (Bowman, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer outline to the House how the government is ensuring that the National Innovation and Science Agenda helps drive investment and jobs for hardworking Australians?

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Bowman for his question, because he is, like all members of this side of the House, absolutely committed to implementing the national economic plan that we outlined again in this year's budget, and in the previous year's budget, which included, amongst many things, the defence industry plan that the Minister for Defence Industry has just been outlining to the parliament again today; expanding the trade frontiers, as the government have done since we were first elected; making sure we put in place our $75 billion infrastructure plan over the next 10 years; and, of course, ensuring that our tax system for companies is competitive around the world and that we do not export jobs and investment offshore.

I am pleased to report today some good results as a result of the work being done by the National Innovation and Science Agenda, which members will recall included putting in place tax incentives for angel investors, a 20 per cent tax offset, a 10 per cent capital gains tax discount for investment in those new start-up companies of 12 months or more and a 10 per cent offset for the early stage venture capital limited partnerships. Today, a report by Australian Private Equity and Venture Capital Association Limited will be launched by the Minister for Industry, Innovation and Science. In that report, they will highlight that, over the last 12 months, our venture capital markets raised around $1 billion, including sizeable investments by institutional investors. On top of that, Australian venture capital funds raised a record $568 million last financial year, and venture capital firms invested $347 million. That is up 50 per cent on the previous year. This is part of our national plan to drive the jobs that are needed in our economy to support the wages and the wages growth that are needed to support Australian households.

Today, Fran Kelly had Mr El-Ansary, who is the head of Australian Private Equity and Venture Capital Association Limited, on her program. She said, 'The report you're releasing into the impact of venture capital on the economy is good news. It shows strong growth in venture capital.' She asked, 'Is that linked to the Prime Minister's innovation statement?' He responded: 'It is. In fact, more than that, Fran, it is linked to jobs and growth, to put it simply. It's linked to jobs and growth because funding the future of the Australian economy is really what venture capital is all about. It's funding great businesses that are new to market and doing novel things.' He went on to say that, because there is a pipeline of dynamic start-ups emerging and more funding entering the market, there is huge potential for Australian venture capital to back the next Apple or Cochlear. The Turnbull government's plan to drive our economy forward is being implemented, and it is getting results.