Will budget help accom “grow, thrive and create more jobs”?

Two leading industry bodies have given this week’s federal budget a resounding thumbs up.

Tourism Accommodation Australia and the Accommodation Association of Australia have been quick to praise the opening gambit of the government’s federal election campaign for its approach to job creation and tax incentives.

[pro_ad_display_adzone id=”15046″ align=”left”]TAA acting chief Bradley Woods says industry-specific moves such expanding the Asset Write-off Scheme to medium-sized businesses and raising of its threshold from $25,000 to $30,000 would be “warmly welcomed” by the sector.

“This highly successful initiative has been used effectively by businesses around the country to expand, improve efficiencies and boost sales,” he said.

An increase in Export Market Development Grants funding will support accommodation providers marketing to international visitors, says Woods, while 80,000 new apprenticeships and training incentives will help address critical hospitality shortages such as a dearth of chefs.

And reforms to visa categories making it easier for skilled migrants to stay and work in regional Australia will “allow regional hospitality businesses to attract much-needed workers to areas where they have traditionally been hard to secure”.

Looking at the national picture, AAoA chief Richard Munro says tax cuts pledged by treasurer Josh Frydenberg will deliver wage growth and create consumer demand for domestic tourism.

Munro says the organisation welcomes both tax rate cuts and raised tax thresholds, saying each ensures “more Australians have additional discretionary funds to spend”.

“Structural change of the income tax system is fair, equitable and overdue,” he said.

Munro argues road and rail infrastructure developments outlined in the budget will prompt tourists to explore beyond the big cities and, like Woods, he welcomes new visa regulations, asset write-off extensions and particularly training development initiatives.

“The AAoA…is working closely with the federal government Department of Jobs And Small Business and we support any measure that encourages more unemployed youth or mature age workers into employment,” he said.

Woods argues the budget leaves “much to be pleased about”.

“TAA congratulate the treasurer and the federal government for measures that will see hotels and hospitality businesses grow, thrive and create more jobs,” he said.