AGP Executive Report

Data Centre Backlash: A new US study finds AI data-centre environmental impacts are the strongest driver of people moving from concern to action, with anger the emotion most linked to willingness to act—useful context for Australia’s own AI infrastructure debates. SMB Payments Pressure: From 1 October, the RBA will scrap surcharges on debit/credit card payments, aiming to cut costs for small businesses (and potentially reshaping how banks fund rewards like frequent flyer points). Workplace Justice Reset: Labor has pledged to consult on a new Fair Work Court to speed up underpayment and employment disputes, reinstating a specialist workers’ court model. Super for Teen Workers: Labor adopted super for under-18s into its national platform, including scrapping the 30-hour threshold that currently blocks many young workers from super. Local Retail Fight: McDonald’s is escalating its Newtown (Sydney) plan to the NSW Land and Environment Court, with locals arguing it will harm the suburb’s character and independent businesses. Shipping Brand Returns: Sendle’s brand is coming back under new ownership after its collapse, signalling demand for reliable, affordable delivery for small business. AI for Industry: UTS research highlights “industrial AI” (like using AI to improve manufacturing quality and productivity) as a practical path beyond hype. Housing & Planning: Plans lodged for a 15-storey mixed-use development in Oakleigh (Melbourne) include ground-floor retail—another reminder that zoning decisions can make or break local shopfronts.

Banking Awards: ANZ has won Canstar’s Small Business Bank of the Year for a fifth straight year, plus Outstanding Value awards for its business credit cards. Workplace Justice: Labor has pledged a new Fair Work Court to help workers escalate employment and underpayment disputes faster and at lower cost, alongside the Fair Work Commission. Regulatory Pressure on Retailers: The ACCC has launched Federal Court proceedings against Dusk over alleged breaches of mandatory button battery safety and information standards affecting 66,453 products. Superannuation Change for Teens: Labor’s conference platform backs scrapping the 30-hours threshold so employers must pay super to all workers under 18, regardless of hours. Housing & Skills: Australia’s construction workforce shortage is still a major constraint on housing supply, with economists warning there’s no single fix. Regional Economy Boost: Moreton Bay’s visitor economy topped $2.03b in the year to March 2026, supporting accommodation, attractions and hospitality. Cybersecurity Watch: Origin Energy is investigating a potential data security incident and has notified millions of customers as a precaution. Transport for SMBs: Cairns Airport will get a new 50c capped bus route to the city, starting by year-end.

AI Agents & Cyber Readiness: A new cross-agency guide warns SMBs to lock in controls before letting autonomous AI systems touch sensitive data and critical systems, as AI-driven traffic surges and many agent projects stall at pilots. Payments Pressure: ASIC data shows a sharp rise in external administration and controllers, with cash flow the top failure trigger—while the “reset” call grows louder as Australia’s 60-day payment culture keeps squeezing small businesses. eInvoicing Momentum: eInvoicing adoption is accelerating, with NZ registrations more than doubling and productivity gains now backed by measured savings per invoice—another push for faster, simpler invoicing in Australia. SME Hiring Support (QLD): Queensland’s TradieStart and expanded apprenticeship support will pay small businesses $10,000 plus add-ons to hire apprentices, targeting construction skills shortages. AI Upskilling (VIC): La Trobe’s AI Business Studio pilot will help 1,000+ SMEs assess readiness and build practical AI workflow improvements. Night-Time Economy (MEL): Melbourne’s after-dark economy is the fastest-growing in Australia, with food driving most new venues and jobs. Xero Leadership: Xero’s CTO Rick Carragher resigns in early August, adding to recent leadership churn as software firms face AI disruption fears.

Workforce Pressure: New ScotPac research says one in three SMEs saw higher staff attrition over the past year, with leaner headcounts raising recruitment, onboarding and working-capital strain—while stable teams are more likely to grow revenues and win bigger orders. Working Capital Reality Check: The same findings point to a clear funding need: businesses with churn face disruption costs, but stable teams often want flexible finance to expand. Climate Disclosure Watch: Australia’s first year of mandatory climate-related financial disclosure is underway, with ASIC and Purpose Bureau flagging uneven readiness and calls for better governance, clearer risk reporting and stronger use of climate info in decisions. Local Jobs Boost: Melbourne’s night-time economy is the fastest growing in Australia, with the food sector driving most new venues and jobs. Cost-of-Living Squeeze: Beer prices are set to rise again as the “beer tax” (excise) increases, and NSW Health is pushing for an urgent tobacco excise review amid a thriving illegal market. SME Cyber Risk: WatchGuard survey results highlight unsanctioned AI use, password reuse and weak software inventories among SMB employees—raising the stakes for cyber hygiene. Regional Business Opportunity: Western Victoria’s WRL project is earmarking $170m for local procurement, with “Meet the Builder” events next month for suppliers. Community Support: A Penrith real estate agency is launching a Community Food Drive starting August 2 to help locals facing tough times.

SMB Comms Flex: 8x8 has launched 8x8 Small Business, a self-serve, consumption-based UC offering for under-100-user firms in Australia (and UK/Ireland), with no fixed seat counts or annual licences and provisioning in as little as five days. Advisers Back in Growth Mode: Moore Australia promoted David Considine and Katherine Gardner to directors (plus four associate director upgrades), while Pitcher Partners added six new partners across Sydney, Newcastle, Adelaide, Melbourne and Brisbane. Trades Talent Spotlight: Central Coast/North Newcastle plumbing-electrical-A/C operator Fluid Plumbing, Electrical & Air Conditioning founder David Mikkelsen won the 2026 Australian Trades Small Business Champion Trade Entrepreneur Award. Local Demand Signals: Shopfully/YouGov research says 49% of Australians value buying local groceries, with price and convenience still key. Skills Pipeline (QLD): Queensland’s TradieStart program will help small businesses take on construction apprentices, including $10,000 base payments plus extra support for eligible cohorts. Transport for SMEs: BusBank and BusCharter.com.au partnered to expand charter bus coverage across the USA, Canada, Australia and New Zealand. Tech for Growth: Zoom appointed Carlos Quaderi as Head of APAC to drive go-to-market strategy across ANZ and wider Asia, with a focus on SMB and channel expansion.

Banking for SMEs: Revolut becomes Australia’s newest bank after getting an ADI licence from APRA, launching business savings accounts with variable interest up to 4.25% (balances up to $5m) and a government-backed deposit safety net. Business sales readiness: Experts say buyers are increasingly paying for proven free-cash-flow businesses, not founder potential—so “sale-ready” work starts long before listing. SME lending pressure: Lenders report more SMEs seeking cashflow support just to keep operating, with demand for working-capital buffers as costs rise and customer payments slow. Retail experience push: Books Kinokuniya is opening in Melbourne, while Oz Hair & Beauty buys Beauty Works to expand its service-led model. Tech for growth: Zoom appoints Carlos Quaderi as Head of APAC to drive AI-powered growth, with a focus on the SMB segment. Cashflow & compliance: Telix posts strong Q2 momentum and updates guidance, while Harris Farm Markets becomes a certified B Corp after a year-long process. Local business resilience: A drought-born firewood side hustle in NSW has grown into a multi-million-dollar supply chain across four states. SMB marketing events: News Australia launches All Access 2026 for SMEs and agencies in Melbourne, Sydney and Brisbane.

SME Lending Pressure: Banjo Loans and BOQ’s second-tier lender say more SMEs are borrowing just to keep operating, not to grow—cashflow flexibility matters more than headline rates as costs rise and customer payments slow. Cashflow Buffers: SMEs are seeking revolving facilities and reserves to handle wage pressure, energy, insurance and supply delays. Construction Apprentices Incentive (QLD): Queensland’s Tradie Start program offers eligible small construction businesses up to $16,000 to hire a first apprentice, with extra support for older apprentices and priority groups. Cyber Compliance Push: CyberCert’s free SMB Cyber Resilience Summit series (starting Brisbane July 28) offers certification credits and targets SMEs supplying government with cyber controls. ASIC Levy Backlash: Financial Advice Association Australia calls ASIC’s projected levy rise “crippling” for small businesses, warning costs could exceed $5,000 per adviser. AI “Answer Gap” for Local Firms: Snowball Productions finds Australian businesses are missing from nearly half of AI responses to everyday queries, with Reddit cited more often than local sites. Frontline Workforce Friction: Research highlights how rostering and pay disputes force frontline managers into constant on-the-fly decisions, driving unplanned overtime and hurting worker wellbeing. Night-Time Economy Boost (VIC): Melbourne’s night-time economy is fastest-growing, with food driving most new venues and jobs. Telstra Outage Fallout: Telstra admits warnings about a server issue before the July 8 outage, with a Senate inquiry probing how documentation and maintenance failures contributed.

ASIC levy backlash: The Financial Advice Association Australia says projected ASIC cost-recovery levies could become “crippling” for advice businesses, warning costs may jump beyond $5,000 per adviser if Compensation Scheme of Last Resort charges are added. Cyber compliance push for SMEs: SonicWall and CyberCert are teaming up to help managed service providers map customer security setups to the SMB1001 certification controls, aiming to make cyber proof easier for small and medium businesses. AI visibility gap for local firms: Snowball Productions finds local Australian businesses are missing from nearly half of AI answers to everyday consumer questions, with Reddit cited more often than local sites—raising concerns for SME marketing and discovery. Telstra outage accountability: Telstra CEO Vicki Brady told a Senate inquiry the July 8 outage stemmed from an undocumented server design change, with ACMA also seeking stronger investigative powers after the disruption hit businesses and Triple Zero services. Cashflow pressure in the spotlight: SBAA says small businesses are in their worst stretch for decades, with lack of cash flow and late big-company payments still driving failures. Regional business stress: NSW is leading the country in insolvencies, with Nationals pointing to payroll tax and cost pressures. SME finance support update: RIC will lift its variable loan rate from 5.18% to 5.71% from 1 August 2026, while stressing concessional rates for eligible farm and farm-related small businesses. Local growth stories: Port Kembla Golf Club’s Swing Factory redevelopment has lodged a development application, and Brisbane’s Move Well program is expanding with more than 20,000 free/low-cost sessions and a bigger pool of local providers. Tech for bookkeeping: A new look at how AI is quietly changing bookkeeping—especially receipt capture and reconciliation—highlights practical time savings for small operators.

SME Cyber Focus: Federal opposition MP Mary Aldred has joined a parliamentary select committee on cyber security risks and barriers for small and medium businesses, with the first meeting already underway and a clear focus on time, tools and resources. Tax Pressure on Founders: Labor’s capital gains tax changes are pushing some Australian space entrepreneurs to consider a US listing instead, with warnings that the reforms could chill retail investor interest and reduce startup formation. Regional AI Adoption Gap: An AI educator says the national AI framework risks leaving regional businesses out of the rollout, citing lower adoption rates outside metro areas and calling for regional training built into the plan. Cost-of-Living Support (WA): WA’s $90m Student Assistance Payment claims open for a third round, offering $250 for secondary students and $150 for primary/Kindergarten via the ServiceWA app. Energy & Solar Shock: Battery installs fell more than 70% after tighter federal subsidies took effect, highlighting how quickly small businesses and households react to incentive changes. Local Business Spotlight: A Sydney signwriting firm says demand is rising for custom, hand-crafted honour boards and lettering over mass-produced options. Community Events: Docklands will host the Motorcycle Riders Association Toy Run on Dec 12, expected to draw up to 30,000 people and boost local retail while supporting Salvation Army toy donations.

Cost-of-living support: WA has opened claims for the $90m WA Student Assistance Payment, offering $250 for each secondary student and $150 for primary/Kindergarten, with parents able to apply via the ServiceWA app until 25 Sept 2026. SME cyber focus: Federal opposition MP Mary Aldred has joined a parliamentary select committee on cyber security risks and barriers for SMEs, with the inquiry set to look at preparedness, guidance and practical support (including regional needs). Tax pressure on founders: Labor’s planned capital gains tax changes are already pushing some space entrepreneurs to consider a US listing instead of the ASX, with warnings that carve-outs may not go far enough for startups. Regional AI adoption gap: A national AI framework has been criticised for not spelling out how regional businesses will be trained to adopt AI, despite lower uptake outside metro areas. Energy transition in the Hunter: Muswellbrook’s Liddell coal site is shifting to batteries, with the Liddell Battery expected to come online within weeks as multiple Hunter battery projects progress. Workplace safety in childcare: An ACT childcare centre in Higgins has been ordered to close after regulator action tied to serious incident concerns, raising questions for families and operators. Local business spotlight: A Surrey artisan bakery story highlights how small, long-running makers build loyal local demand—from tractor-shed origins to a 15th birthday. Community events: Docklands is set to host the MRA Toy Run on 12 Dec, expected to draw up to 30,000 people and boost local retail and dining while supporting Salvation Army toy donations.

Cybersecurity Focus: Monash MP Mary Aldred has been appointed to a federal parliamentary select committee on cyber security risks and barriers for SMEs, with the inquiry set to look at preparedness, guidance and regional support. Childcare Safety Crackdown: An ACT regulator ordered Edge Early Learning in Higgins to close after concerns raised by a Canberra mother over safety incidents and staff turnover, following a serious medical incident. AI Adoption Gap: A warning that regional businesses are being left behind on AI uptake, with only 29% adopting AI in regional areas versus 40% in metro, and calls to embed regional training in the national AI framework. Telstra Outage Fallout: A parliamentary inquiry heard Telstra repeatedly ignored warnings about a software update for a $30,000 server that triggered a nationwide outage, with compensation claims now open for customers and small businesses. Energy Costs & Solar Shock: Battery installations fell more than 70% after federal subsidy changes to the Cheaper Home Batteries Program, highlighting how quickly demand swings when rebates shift. SME Growth & Cash Flow: A reminder that cash flow timing—not just profit—drives many small business failures, pushing the need for quick working-capital access. Local Business Boost: Docklands’ Motorcycle Riders Association Toy Run will finish in Docklands on Dec 12, expected to draw up to 30,000 people and support Salvation Army toy donations.

Cybersecurity Oversight: Federal MP Mary Aldred has joined a new parliamentary select committee focused on cyber security risks and barriers for Australian SMEs, with the first meeting already underway and attention on preparedness, guidance, and regional realities. AI Adoption Gap: An educator says the government’s national AI framework misses a key promise—how regional businesses will be trained to adopt AI—citing lower uptake outside metro areas. Childcare Safety Fallout: An ACT childcare centre in Higgins was ordered to shut after regulator concerns, following reports from a parent about safety issues and incidents, raising questions for small providers about compliance and staffing stability. Energy Policy Shock: Battery installs fell sharply after changes to the Cheaper Home Batteries Program scaled back rebates, a warning for small solar and battery installers about demand swings tied to subsidies. Telstra Outage Accountability: A parliamentary inquiry heard Telstra was warned repeatedly about an impending software issue in a $30,000 server that contributed to a nationwide outage, with compensation claims now in play for affected customers and small businesses. Funding for Builders: Emergent announced a $130m Series C valuing it at $1.5b, highlighting growing appetite for AI tools that let founders and small business owners build apps.

Telstra outage fallout for SMEs: A Senate inquiry in Canberra heard Telstra repeatedly ignored warnings about an ageing $30,000 server and a missing software update, with a GPS card and undocumented design change blamed for the nationwide outage that hit triple-0 calls, trains, and eftpos. Telstra says it’s “deeply sorry” and is accepting compensation claims, while COSBOA is pushing for a simple, proportionate SME compensation scheme. Cyber hygiene and “shadow AI”: WatchGuard research says 64% of SME employees admit using unauthorised AI tools at work, alongside risky habits like password reuse and public Wi-Fi, highlighting a growing compliance and security gap for small firms. Cash flow pressure point: A new piece zeroes in on why profitable businesses still fail when revenue timing doesn’t match cash collection, and argues for earlier planning and faster working-capital access. Digital competition policy watch: A brief on digital antitrust laws notes Australia is among countries considering new rules aimed at big-platform bundling harms—relevant for local SMEs competing online. Business growth and funding: Emergent’s $130m Series C values it at $1.5b, while BitMart’s H1 report frames resilience through market volatility.

Telstra outage fallout: A Senate inquiry in Canberra heard Telstra was warned repeatedly by US supplier Microchip Technology that a Network Time Protocol server needed urgent updates to avoid a “rollover problem” that could take systems down; Telstra also admitted a GPS card issue after maintenance wasn’t properly documented and a software update wasn’t applied, leaving customers unable to dial triple-0 and many SMEs unable to process EFTPOS payments. SME compensation push: Cosboa is calling for a simple, proportionate compensation scheme so small firms aren’t left to absorb losses from failures in essential services. Regional AI adoption gap: An AI educator says the federal AI framework risks leaving regional businesses behind unless training and rollout support are built into the policy, noting regional uptake lags metro areas. Small business pressure: New BizCover research finds almost 64% of owners are under financial stress and more than half have considered closing or selling. Solar recycling pause: Australia’s flagship solar PV recycling pilot is on hold after a complaint over procurement administration, leaving businesses in limbo. Retail competition test: Coles is challenging the ACCC before a tribunal under tougher merger laws after the watchdog blocked a Kalgoorlie supermarket and liquor development. Canva for SMBs: Canva launched “Code 2.0” to help businesses build websites via text inputs faster, aiming to reduce generic “vibe coded” lookalikes. Food traceability upgrade: Altinteg says it’s strengthening traceability-as-a-service for food and regulated products as item-level recordkeeping requirements tighten.

AI Adoption Gap: An AI educator says the Albanese government’s national AI framework risks leaving regional businesses behind, calling for explicit funding and training support so communities can build trust and capability from the start. Telstra Outage Fallout: Telstra executives, including CEO Vicki Brady, face a parliamentary inquiry after a nationwide outage disrupted triple zero calls, EFTPOS payments for about 80,000 businesses, and public transport in NSW and Victoria; Telstra is taking compensation claims. SME Cashflow & Tax Pressure: Insolvency specialists warn small business owners to tackle tax debts early, noting director penalty notices and personal guarantees can quickly expose personal assets. Regional Connectivity Boost: Tasmania’s west and far north west coast will get $9.8m under the Mobile Black Spot Program to expand mobile capacity and improve access to emergency services for local tourism and small business. Business Formation Surge: New ASIC data shows 43,393 new businesses registered in June—more than 40,000 in a month for the first time—highlighting continued SME churn even as insolvencies remain a concern. Australia Post for eCommerce SMEs: Australia Post launches “Big Boss Energy” to help micro and small eCommerce businesses grow via in-store activations, digital campaigns and events like a Melbourne Making Moves Market. Night-Time Economy Jobs: A report finds Melbourne’s night-time economy is adding jobs and venues fast, with food driving most new businesses—good news for hospitality and retail operators. Mobile Payments Disruption: Milkrun temporarily suspended new orders across Australia and New Zealand while fixing a payments outage, with some transactions reversed. Industry Shock for Workers: Tasmania’s Liberty Bell Bay manganese smelter has shut after an acquisition deal failed, leaving 200+ workers redundant and raising supply-chain questions for steel and battery inputs.

Superannuation Politics Backlash: Anthony Albanese says Australia’s $4.5tn super pool should be treated as a “national asset”, with Daniel Andrews pointing to uses like housing, infrastructure and energy transition—prompting pushback from super funds over legal duties to act in members’ best interests. Tax Debt Warning: Insolvency experts urge small business owners to tackle ATO debt early, warning that director penalty notices and personal guarantees can quickly expose personal assets. Regulators Told to Back Innovation: Treasury has told APRA and ASIC to avoid over-regulation and keep rules proportionate to support growth and productivity, including modernising digital payments and AI use. Night-Time Economy Boost: A report finds Melbourne’s night-time economy is adding jobs and venues fast, with food driving most new businesses—good news for hospitality and retail operators. Insurance Code Fight: Broker commission disclosure is under fire as consumer groups walk away from consultations and an expert argues draft rules still reflect “broker self-interest”. Cyber/Payments Disruption: Milkrun paused new orders across Australia and New Zealand after a payments outage, with some transactions reversed. Modern Slavery Compliance Tightening: Federal plans would expand criminal sanctions and enforcement for large companies failing to take reasonable steps in supply chains.