No, the sky didn’t fall the day the carbon tax arrived, not that anyone said it would, but its effects are already starting to emerge.
(Council of Small Business Australia) executive director Peter Strong said the survey results show the “real concern from the real people who run small businesses in Australia”.
“Due to competition policy and the dominance of a few landlords and a few retailers they are unable to pass on the increases from the carbon tax,” he said.
“These increases are real and will impact on the income of the person who runs the business. That impact may be as high as 10% of their personal income and is not acceptable. It is not easy to pass on the increase when others do not or when, in the case of the big landlords, the increase is passed on unfairly to small businesses and not to the duopoly.”
He goes on to describe the competition from larger firms as “unfair”, which is an interesting point. In a more free market system, this would be a cop-out, however when government intrudes in the economy with something like a carbon tax, this is a legitimate concern. Big government is the friend of big business. Excessive taxes and regulation kill off their competition, which is the what the carbon tax is starting to do.
Some businesses claimed the effect of the tax is so bad they may have to close some operations.
“We have to consider closing one business down to keep the other business open because of the carbon tax,” said Doug Cush, the owner of Bellata Gold Pasta, in the northern NSW electorate of New England.
A very telling point:
Only 7 per cent of those surveyed said they would vote Labor at the next election. Eighteen per cent voted for the ALP at the 2010 federal poll.