AGP Executive Report

CGT/negative gearing shake-up: Australia’s tax landscape is set to change with proposed CGT discount replacement, tighter negative gearing for new builds, and new work-related deductions/offsets—sparking urgent “year-end” planning for small business. SME AI adoption gap: A federal-backed AI adoption centre says many small and medium businesses still can’t turn AI hype into practical outcomes due to time, skills and guidance gaps. Scam crackdown for texts: New rules aim to make SMS impersonation harder, but small businesses that rely on texting are being told to review protections and processes. Hospitality pressure: Sydney restaurants and cafes brace for a “bloodbath” winter, with operators warning closures could accelerate through 2026. Energy & jobs in Queensland: Stanwell’s $70.5m Unit 3 overhaul will take the unit offline until July while adding hundreds of trades and boosting local demand for services. AI data-centre debate: A report argues Australia has leverage in the AI future via data-centre potential and critical minerals, while warning regulatory and clean-energy gaps need fixing. Regional business finance: A UK SME-backed by White Oak and UKEF funding support is expanding international demand—another reminder that export finance can move growth. Construction sector M&A: DYWIDAG’s planned acquisition of Interspan (post-tensioning and concrete repair) signals continued consolidation in specialist engineering services.

Scams & Payments: New text-message verification rules aim to make it harder for scammers to impersonate banks, businesses and government, but small firms that rely on texting are asking how it will work in practice. Tax & Compliance Pressure: CPA Australia warns proposed CGT changes could create a compliance bill up to $825m in transitional costs, with ongoing costs potentially far higher than the government’s estimates—raising stakes for founders and SMBs. SMB Tech & AI Adoption: A new push highlights that many SMEs still can’t turn AI hype into outcomes due to time, skills and practical guidance gaps, even as AI tools spread. Startup Funding for Founders: Startmate lands an $8m Minderoo Foundation boost to back more women founders, while a strong week of Australian startup capital includes NRF-backed Silicon Quantum Computing and funding for Dentroid and Earlytrade. Jobs & Local Spend: Stanwell’s $70.5m Unit 3 overhaul in Central Queensland brings about 400 extra workers, lifting demand for local hospitality and services. Construction Safety: An ACT case fined a contractor and director $110k after an excavator incident at a Gungahlin site amputated a worker’s toe. Energy & Industry Uncertainty: Tasmania’s Liberty Bell Bay manganese smelter faces fresh deal trouble, putting 216 jobs at risk again. Roads for Regional Growth: NSW’s Sturt Highway taskforce says renewable-energy freight is rising but federal budget funding for upgrades is missing, despite a worsening crash record. Business Finance Stress: Creditors of NT iron ore miner Nathan River Resources (owed $360m+) criticise oversight after the company collapsed, leaving suppliers and workers out of pocket. SMB Growth Support: A new Florida Small Business Development Center is opening (US-based), but the theme is clear: more no-cost consulting and training for local entrepreneurs.

Energy & Jobs: Stanwell’s $70.5m Unit 3 overhaul in Central Queensland will take the unit offline until July, while other units keep generating, bringing about 400 extra workers and boosting local hospitality, retail and services. Roads & Small Business Disruption: A 150-metre closure on the Great Western Highway at Victoria Pass has dragged on for 100+ days, hitting wide-load freight and forcing a western NSW housing supplier to cut staff and lose about $6m a year. AI for SMEs: SMEC AI says many small businesses still can’t turn AI hype into practical outcomes due to time, resources and know-how gaps. Cyber & Sport: A Darktrace report finds most pro sports orgs have had cyber incidents, with AI expected to raise risk—relevant for stadium, ticketing and fan-tech vendors. Workplace Safety: An ACT case fined Fed Consulting Services and its director $110,000 after an excavator incident at Gungahlin left a worker needing toe amputation. Policy Watch: Treasury’s Stage 1 Scams Prevention Framework sets out regulated sectors and draft code obligations for banks, digital platforms and telcos. Mining & Local Impact: Mining is again framed as a regional jobs and procurement engine, with $660m invested in local programs last year. Retail & Community: A Mooroopna store expansion is speeding up donations to shelves and improving volunteer conditions, aiming for better access to affordable goods.

CGT Shock for SMEs: Australia’s proposed capital gains tax overhaul is under Senate review, with critics warning it could damage investment confidence by replacing the 50% CGT discount with inflation indexation and a 30% minimum tax on gains from 1 July 2027—plus tighter negative gearing rules for new builds. SME Confidence Slides: New Prospa/YouGov data shows SME confidence has “taken a real step back” (60% confident on positive cash flow vs 70% in February), with more businesses delaying investment and 46% raising prices to cope with cost pressure. Superannuation Cost Pressure: CPA Australia is urging Treasury to rethink CSLR levy changes that would shift more costs onto SMSFs, arguing it penalises investors without fixing the upstream causes of losses. Local Business Hit by Costs: The Coolangatta Pie Shop will close after 62 years, blaming rising rents, ingredient costs and competition. Cybersecurity Strategy: The government’s Horizon 2 plan scales cyber maturity across the economy, aiming to reduce real-world impacts as AI-driven threats grow. Digital Receipts for Retailers: 1receipt’s integration with Clover lets Australian merchants deliver barcode-based digital receipts without asking customers for email or phone at checkout. Roadworks Disruption: Queanbeyan’s Monaro Street refresh is delayed again after a century-old stormwater drain issue, extending traffic pain and pushing councils to seek more funding.

Supercharge for SMB payments: 1receipt has integrated with Fiserv’s Clover, letting Australian retailers offer barcode-based digital receipts via the Clover App Market from 9 June—aimed at cutting paper and speeding checkout while giving merchants SKU-level data. ATO super change hits small employers: The ATO’s free Small Business Superannuation Clearing House closes permanently from 1 July 2026 as “Payday Super” ramps up, pushing many firms toward payroll software or paid clearing services. Cyber “human firewall” push: Home Affairs Minister Tony Burke is expanding cybersecurity training for office workers under the Horizon 2 program, after fears that AI-enabled scams could cause major losses for small and medium businesses. Specialty insurance leadership: Market Lane Insurance Group appoints Bobby Major to lead its expanding ML Specialty unit, focused on niche exposures including product contamination and SME product recall. EV charger demand in WA: Dr Sparky Electrical marks 15 years in Perth, saying EV charger installs are now one of the fastest-growing electrician services as the WA EV Network drives uptake. Digital travel convenience: Virgin Australia adds reward-seat search inside ChatGPT via its Velocity app, reducing the need to visit the airline website. Local business resilience: A North Adelaide bakery reports rising counterfeit cash attempts and has introduced UV checks and staff training to protect customers and staff. SMB growth play: Pax8 expands Google solutions in its marketplace for MSPs, starting with Chrome Enterprise Premium and Cameyo.

High Court Tax Ruling: The High Court has backed Melbourne accountant Steven Bendel, rejecting the ATO’s view that unpaid present entitlements owed by trusts to corporate beneficiaries are automatically “loans” under Division 7A—potentially opening the door for other small business and private group taxpayers to challenge past assessments, though other anti-avoidance rules still apply. Small Business Costs & Pricing Pressure: Australia Post has hiked parcel prices by 4.95%, pushing more delivery costs onto small sellers who may need to pass charges on to customers. Workforce Pipeline Warning: Baking Association of Australia says Australia’s baking boom is masking a growing skills crisis, arguing decades of steering young people toward university over trades is weakening the future baker and bakery owner pipeline. Digital Banking Push: ING is rolling out a global subscription banking model across multiple markets, a sign banks are competing on bundled “everyday” value—something small business owners should watch for as it reshapes fees and features. Creator Economy & AI Marketing: Constant Contact reports “SMB creators” are rapidly adopting AI to capture attention, with shopping-small intentions rising even as consumers cut spending. Cyber & AI Litigation Risk: Norton Rose Fulbright’s survey flags cybersecurity and data privacy disputes as the top litigation exposure area, with AI and employment risks also rising—relevant for any Australian SME handling customer data.

Tax Pressure & Policy Uncertainty: PM Albanese stayed coy on whether more tax carve-outs are coming as opposition slams Labor’s rush to push controversial changes through a two-day Senate inquiry, with small business groups warning the reforms could hit reinvestment and growth. ATO Crackdown: The ATO is urging Australians to stop incorrectly claiming personal expenses as work deductions, citing hundreds of thousands of community tip-offs since 2019 and warning most office workers can’t claim much beyond genuine work-related costs. Small Business Cashflow Shock: A case study highlights how a “tax-effective” fully franked dividend can trigger a CCS estimate recalculation and slash childcare support, leaving families facing a big after-tax hit. EOFY Retail Push: Officeworks reports shoppers are planning EOFY buys earlier and more deliberately, with tech upgrades the top priority—good news for SMBs selling office and IT essentials. Energy Transition for Firms: ABC reports businesses are ramping up renewable energy financing as fuel and supply pressures bite, with banks seeing increased lending for green equipment and EVs leading uptake. Local Tech & Data Use: City of Melbourne selected Databricks to unify data and speed up AI services, including a pedestrian chatbot that lets local businesses and residents explore foot-traffic patterns in plain language. Workplace Safety & Community Impact: A Logan bakery was forced to close after a teen attack, underscoring the real-world risks facing local operators. Innovation for Hospitality: UNSW’s “ultrasonic espresso” approach claims espresso-strength coffee in under three minutes using less energy—potentially relevant for cafes watching costs. Media & Franchising Moves: Vinyl Group agreed to acquire Time Out Australia for nominal consideration via a long-term franchise deal, adding a major brand to its local media portfolio.

Retail Rescue Fails: Barbeques Galore will close 62 company-owned stores and wind up operations after a last-ditch deal collapsed, putting hundreds of jobs at risk. Small Business Costs & Wages: The Australian Restaurant and Cafe Association warns menu prices could jump about 10% next year as wage rises and other cost pressures hit hospitality. Housing Supply Reality Check: A new AHURI-backed argument says Australia’s 1.2m homes by 2029 target is blocked by construction productivity problems, with SMEs facing low margins and high insolvency risk. Digital Tax Pressure: Inland Revenue’s push toward more digital, earlier tax reporting raises concerns about leaving small taxpayers behind. Regional Infrastructure: Albury Airport gets a $2.88m taxiway extension to improve safety and efficiency, supporting future growth. Startup Funding: Construction fintech Earlytrade raises about $14.2m to expand in the US and add agentic AI for subcontractor payments. Community Events Support: NSW’s Permit/Plug/Play model helped Lakemba Nights cut stallholder costs and boost turnover, with a new grants round for councils. Energy Skills: Pacific solar training is building local capability to install and maintain systems as fuel costs squeeze households and small businesses.

Startup Funding Cuts: Labor scraps its Startup Year program after just eight participants, despite $15m allocated and plans for 2,000 HELP-style loans a year. SME Sale Watch: If you’re selling soon, check staff leave balances—excess leave and long service leave can reduce the final sale price as buyers treat it like debt-like liability. Scam-Proofing SMS: From 1 July, texts that don’t use “sender ID” will be marked “unverified,” with small businesses urged to register quickly or risk messages being ignored or flagged as scams. Procurement & Governance: KPMG’s misconduct fallout is triggering contract reviews across federal, state and local governments, with data security assurances now front and centre. Cyber Contract Red Flags: Queensland’s $15m cybersecurity deal to a politically connected firm is under scrutiny after an audit found serious warning signs before the contract unravelled. Channel Expansion: PagerDuty appoints Ingram Micro as its first authorised Australian distributor to speed AI-ops adoption via the partner network. Energy Skills in the Region: Pacific communities push ahead with solar training and installs as fuel costs and unreliable power bite households and small businesses. Ag-Tech Collapse: Canberra ag-tech Goterra enters voluntary administration after running out of runway while seeking investment to scale.

Workforce & payroll support: ACE WFM is expanding its UKG managed services for Australian businesses, offering post go-live help with rostering, time capture, approvals, configuration changes, access and reporting—aimed at reducing operational friction after implementation. Regional banking access: Westpac is rolling out its Community Banking Service to six regional Queensland towns (Clifton, Pittsworth, Malanda, Ravenshoe, Clermont and Laidley), with $10m in branch upgrades and fortnightly in-person support to complement digital banking. Energy costs & business confidence: Queensland’s regional power bills are set to fall after a regulator ruling, while separate coverage highlights ongoing pressure on regional economies from policy uncertainty. Water policy pressure on SMEs: Campaspe Shire Council has demanded stability in Murray-Darling Basin water recovery rules, warning irrigation-dependent towns face job losses and declining confidence. Local growth via events: Docklands is set to run two winter activations—Harvest and Ignite—designed to draw visitors and support local traders. Micro-business mindset: A piece challenges the idea that micro businesses are “by default,” arguing many women choose the scale for purposeful income and wellbeing. Construction pathways: A Coolum Beach training provider is proposing a Civil Academy with schools and industry to build entry pathways into construction and civil works.

Small Business Spotlight: Single mum Barbara Klewaki turned a home hobby into Nuah Bee – Papua New Guinea Wig Makers, selling customised wigs online via TikTok/WhatsApp and building a niche customer base across Australia and NZ. Local Crime & Costs: Outback Mount Isa cake decorator Ishani Harney says repeated break-ins and vandalism are crushing a small family business, with repairs running into thousands. Women in Micro-Business: An educator/mentor argues micro businesses are often a deliberate, purposeful choice for balance and wellbeing—not a “default” for lack of ambition. Politics Meets Business: The “Ditch the Witch” billboard campaign targeting Victorian Premier Jacinta Allan has sparked condemnation from PM Anthony Albanese and Julia Gillard, while a Melbourne brothel owner admits helping fund the ads. Power Relief for SMEs: Regional Queensland households and small businesses face lower power prices from 1 July after the QCA’s 2026-27 determination, with renewables and storage cited as key drivers. Live-Site Boosts: Brisbane’s South Bank FIFA World Cup live site is set to lift local hospitality and tourism, with similar “watch party” guidance also circulating for businesses in other cities. Insolvency Watch: Australia’s first music school empire, Stormer Music, has collapsed owing $1.8m to creditors as locations shift under another name. Industry Pressure: Brewers warn more closures are likely after Lion’s shutdown of the historic James Boag brewery, pointing to taxes, compliance and rising input costs. Digital Presence: VentraIP highlights how small firms can build and manage online operations without specialist know-how, pushing its free website-building tools.

Energy Relief: Regional Queensland households and small businesses are set for lower power bills from 1 July after the QCA’s 2026-27 price determination, with renewables and battery storage cited as key drivers. SME Cashflow Pressure: “Date-night economics” is hitting cafes, restaurants and retailers as younger Australians cut discretionary spending amid cost-of-living strain. Local Trading Boost: Brisbane’s South Bank is reviving a FIFA World Cup live site, expected to lift hospitality and tourism spend for surrounding businesses. Market Access Win: Lakemba Nights stallholders say council fee changes have saved them thousands and made the market more “professional”. Business Failure Watch: Australia’s first music school empire, Stormer Music, has collapsed owing $1.8m to creditors, with liquidators reporting minimal cash on hand. Insolvency Debate: ASIC data shows first-time insolvencies up sharply since 2022, sparking political pushback over whether the rise is driven by business control or broader economic settings. Digital Presence: VentraIP highlights how small businesses can build and manage online presence without specialist know-how, as online competition keeps intensifying. Workforce Support: AMES-backed employment mentoring helped a Melbourne migrant single mother move from barriers into stable work, pointing to the value of tailored support for jobseekers.

Local Pride Push: Atherton locals are banding together through the Atherton Enhancement Group to tackle a run-down CBD, with volunteer working bees aimed at cleaning up graffiti and rubbish and rebuilding town confidence. World Cup Boost for SMEs: Brisbane’s South Bank is reviving its free FIFA World Cup live site for Socceroos matches, with organisers explicitly pitching the crowds as a lift for bars, restaurants, hotels and tourism operators. Insolvency Pressure on Small Business: ASIC told Senate estimates insolvencies have surged, with first-time corporate failures up sharply since 2022, and MPs pushing back on whether the cause is business mismanagement or broader economic settings. Brewing Squeeze: Brewers warn more closures are coming after Lion’s decision to end brewing at the 145-year-old James Boag site, citing excise, compliance and rising input costs. Energy Relief in Regional QLD: Regulator rulings mean regional Queensland electricity bills should fall from July 1 (about $151 less for households and $212 less for small businesses). NDIS Compliance Costs: Avaana launched a readiness program to help disability providers meet expanded mandatory NDIS registration requirements by July 2027. Tech/Payments Upgrade: Fusion Markets extended payment processing to 24/7, cutting weekend withdrawal delays for traders.

FIFA World Cup Boost for SMEs (Brisbane): Brisbane’s South Bank South Bank Cultural Forecourt will run a big-screen live site for Socceroos matches from 7am Sunday June 14, with more match days later in June—good news for nearby food trucks and hospitality. Tourism Spend Lift (ACT): Floriade’s 40th birthday gets extra ACT funding ($749,000 over two years) to open earlier and run longer from 2027, aiming to add 10,000–20,000 visitors and more trading nights. Cost Relief for Business (Queensland): Regional Queensland electricity bills are set to fall from July 1—about $151 less for households and $212 less for small businesses—though renewables delays could threaten the savings. Insolvency Pressure (Policy/Regulation): ASIC told Senate estimates it links rising small business insolvencies to poor financial control, as first-time insolvencies jumped 207% since 2022—sparking political pushback. NDIS Compliance Costs (Disability Services): Avaana launched a National Registration Readiness Program to help providers meet expanded mandatory NDIS registration by July 2027. Payments Upgrade (Trading Tools): Fusion Markets extended payment processing to 24/7, cutting weekend withdrawal delays to under an hour. Brand & Compliance Watch (ASIC): ASIC cancelled registered agent status for reg.com.au-linked Registration Pty Ltd and Biz Australia Pty Ltd. Local Business Spotlight (Canberra): Floriade expansion and World Cup live sites point to a busy events calendar that can drive foot traffic for small operators.

Energy Relief for Regional Queensland: The QCA says regulated power bills will fall from 1 July, with households down about $151 (6.9%) and small businesses down about $212 (8.1%), though renewables-industry groups warn delays could undermine savings. NDIS Compliance Push: Avaana has launched a National Registration Readiness Program to help disability providers meet expanded mandatory NDIS registration requirements by July 2027, offering policy, audit prep and governance support. Search Changes for SMBs: Google’s latest shift moves SEO beyond visibility toward helping AI systems understand, trust and recommend businesses in context—so firms may need stronger brand and data foundations. Small Business Insolvency Scrutiny: ASIC told Senate estimates insolvencies are rising, while Senator Jacinta Nampijinpa Price challenges the agency’s framing and points to a sharp jump in first-time insolvencies since 2022. Payments Upgrade: Fusion Markets extends payment processing to 24/7, cutting weekend withdrawal delays to under an hour. Tourism Boost in the ACT: Floriade’s 40th birthday gets extra ACT funding to open earlier and stay open later, aiming to lift visitor numbers and local hospitality spend. Trade and Ethics in Focus: A forced-labour tariff debate continues after the US proposes new tariffs tied to forced labour claims, raising questions for Australian exporters and supply chains. Local Business Spotlight: A Canberra nail salon model is challenging “cheap and fast” norms with higher-priced, hygiene-focused services.

Electricity Relief for SMEs (Queensland): Regional Queensland households will pay about $151 less and small businesses about $212 less from 1 July after the QCA’s final regulated price determination. Energy Transition Watch: Renewable industry groups warn bill drops could be undermined if large clean projects are delayed. NDIS Funding Cuts (Work Access Risk): Disability advocates say proposed NDIS social participation cuts could reduce access to work, medical appointments and community support. ASIC Crackdown on Registered Agents: ASIC cancelled the registered agent status of Registration Pty Ltd and Biz Australia Pty Ltd linked to reg.com.au after earlier suspension. Small Business Tax Pressure (CGT/Concessions): Capital gains tax reform passed the Lower House, but small business concession amendments failed—setting up likely Senate fights. Regional Business Boost (SA Infrastructure): South Australia says $1bn+ in River Torrens to Darlington contracts are already awarded to 300+ local businesses. WA Trading Hours for Sport: WA plans to make extended trading for licensed venues during major sporting events permanent, starting with World Cup fan periods. Payments Upgrade (Fusion Markets): Fusion Markets moved to 24/7 payment processing with median withdrawals under an hour. Local Growth & Community: New Shepparton venues and pop-up live music events point to continued investment in regional hospitality and foot traffic.