Economic Update - NSW

Providing essential updates, analysis and information for our members from Business NSW's Chief Economist and Policy Managers.

Summary: $2.3b stimulus package

The NSW Government has adopted key proposals put forward by Business NSW in response to the unfolding disruptions caused by COVID-19.  Business NSW has been working with key economic agencies on the needs of business and will continue its engagement and advocacy as the situation evolves.

Notably, the NSW Government has adopted Business NSW’s calls for substantial payroll tax relief for NSW businesses. Measures include: 

  • $700 million in extra funding for NSW Health
  • $450 million for a three-month waiver of payroll tax for businesses with payrolls of up to $10 million (for three months)
  • $56 million to bring forward previously announced payroll tax cuts (tax-free threshold will increase to $1 million in 2020-21).
  • A deferral of payroll tax for the rest of 2019-20 for businesses with a payroll of up to $10 million
  • $80 million to waive a range of fees and charges for small businesses
  • $250 million to employ additional cleaners of public infrastructure (including schools and public transport)
  • $250 million to bring forward maintenance on public assets (including social housing)
  • $500 million to bring forward capital works and maintenance

For more information:
Business NSW Media Release on the NSW Governments' stimulus package 17 March, 2020.
Official NSW Treasury website.

For further questions or comments, please email Business NSW's Chief Economist, Mark Frost.