After 25 Years, Excuses Are No Longer Enough

On the Sunday evening of the King’s Birthday 2026 long weekend, the ACT Government quietly announced it would push back infrastructure projects and save $700 million over four years. Chief Minister Andrew Barr blamed labour shortages, supply chain disruptions, escalating construction costs and the future impact of the Brisbane Olympics.

These challenges didn’t cause the problem. They revealed it.

Just as successive Australian governments failed to build enough housing for the population we always knew we would have, the ACT Government has failed to build the economic foundations needed to support a growing Territory. It has failed to secure alternate revenue streams, failed to create an environment where businesses can thrive, and failed to develop the education and training pathways needed to build a strong local workforce.

If you speak to businesses operating in the ACT, many will tell you the same story. Years of increasing regulation, rising insurance premiums, growing compliance burdens and higher taxes have made it harder to operate, invest and grow. For some businesses, particularly in construction, the decision has been to relocate across the border or close altogether.

The data suggests this isn't simply anecdotal.

According to .ID (informed decisions), construction is the dominant industry across the ACT's surrounding regions. It is the largest industry by number of registered businesses in Queanbeyan-Palerang (23.9 per cent) and Goulburn Mulwaree (20.4 per cent), both well above the NSW average of 17 per cent. In Yass Valley and Snowy Monaro, construction ranks second only to Agriculture, Forestry and Fishing.

These regions sit on Canberra's doorstep.

If the ACT Government's explanation is simply that there are not enough tradies or construction businesses available, then why are the surrounding regions continuing to support such significant construction sectors? The question is not whether construction capability exists. The question is why the ACT has failed to cultivate and retain enough of that capability within its own borders.

The Territory has a history of overreliance on interstate capability, and it’s not limited to construction. Across infrastructure, health services, the public sector and even waste management, the ACT has become increasingly dependent on expertise and labour sourced over our borders.

That dependence comes at a cost. The resulting revenue leakage is significant, with wealth, jobs and economic opportunity flowing out of the Territory.

Recently, Independent MLA Thomas Emerson’s questioning revealed that the ACT Government is not adequately tracking procurement outcomes. If the government cannot accurately determine how much work is awarded to local businesses, how can it genuinely assess whether its procurement policies are strengthening the local economy?

It also raises serious questions about the effectiveness of initiatives such as the Secure Local Jobs Code, which was intended to support local businesses and workers.

Meanwhile, other states are strengthening local industry through strongly targeted policy settings.

The NSW Government recently announced its Local Jobs First policy, designed to prioritise local businesses and workers on government-funded projects. In June 2025, Victoria strengthened its Local Jobs First framework through legislative amendments that provide stronger enforcement powers to ensure government spending benefits Victorian businesses and workers.

After nearly a quarter-century of Labor government, Canberrans have every right to expect stronger economic foundations, greater workforce capacity, and a more resilient local business sector than the one we see today.

Instead, the ACT Government will now find itself competing with larger states for the workers and contractors needed to deliver major infrastructure projects, adding further pressure to project budgets and public finances.

For years local businesses have done the ‘heavy lifting’ to attract and retain workers in a difficult labour market while navigating rising costs and regulatory complexity.

The irony is that the ACT Government now finds itself competing for the very workforce it failed to help develop.

We deserve a government that is committed to our future prosperity, where wealth is retained, local businesses thrive and communities are supported. Canberrans must stop accepting excuses and start demanding accountability.