The Canberra Business Chamber says it is concerned about the implications of the downgrading of the ACT’s Credit Rating by S&P Global.

“While there are real and obvious pressures on parts of the ACT Government’s budget, many in the business community will be concerned that the solution will be to hike taxes, putting further pressure on businesses and households. This would likely limit economic growth, at a time when we desperately need to grow the economy,” Canberra Business Chamber Chief Executive Greg Harford said today.

“Any business or household facing massive cost blowouts has to start looking at how to operate more efficiently, cut costs, and defer non-essential spending. Most businesses review their budgets for the year on a line by line basis, and we’d like to see the ACT Government follow this approach.

“While it is important to keep investing in the Territory for the future – and some capital investments such as the new Convention Centre offer clear long-term economic benefits – but we would like to see a review of whether efficiencies can be made in the way services can be delivered.”