That‘s Victoria: the furthest below trend, and also losing momentum faster than any other state or territory.
Whilst the report is now a month old, the story remains true:
📉The only state where final demand fell in Q2 this year: -0.3% against +0.3% nationally.
📉Private capex dropped 13.9%.
📉Business conditions were the nation’s only negative reading at -3.0pt.
📉Labour index is at its lowest since late 2020.
Nobody in a Melbourne business is surprised. The conditions are the toughest here and they will only get tougher without significant change.
The state with the heaviest tax and debt burden in the country is watching its whole economy follow #housingsupply down.
Meanwhile, as things continue to get worse across the country due to recent Federal changes, expect Victoria to keep leading the downturn.
🤔A result that far from the pack is not bad luck. It’s a deliberate outcome of over a decade of poor policy decisions.