The 2025 Australian Election: What It Really Means for Small Business Owners
Last updated: 2 May 2025
By Michael Pajar | Business Finance Broker | Casey Asset Finance | Estimated Read Time: 5 minutes
Why This Election Matters More Than You Think
If you run a small business in Australia, the 2025 Australian election isn’t just a vote — it’s a decision that could shape whether your business thrives, struggles, or shuts its doors in the next 12 months.
Right now, small business owners across the country are juggling inflation, crime, staff shortages, and rising operating costs. And while politicians debate headlines, you’re thinking about survival.
This guide breaks down what each party is promising small businesses, what’s actually useful, and how you can make the smartest decision for your livelihood.
What Labor and the Coalition Are Offering Small Business Owners
Here’s what you really need to know — broken down into what matters most for small businesses like yours:
1. Tax Relief & Cash Flow
Labor:
$1,000 automatic tax deduction for work-related expenses (no paperwork needed).
Future tax cuts for low and middle-income earners.
$150 electricity bill relief for eligible businesses.
Coalition:
Up to $1,200 cost-of-living tax offset for individuals earning under $144,000.
$30,000 instant asset write-off — made permanent.
25c/L fuel excise cut proposed for 12 months to ease logistics costs.
What this means:
If you’re cash-strapped or looking to invest in equipment soon, the Coalition’s offer is more immediately beneficial.
2. Energy Costs & Sustainability
Labor:
$2.3 billion investment in household batteries, with flow-on benefits for small businesses.
Focus on renewable energy and sustainability for long-term cost reductions.
Coalition:
Plans for nuclear energy development — long-term vision with little short-term impact.
What this means:
Labor’s approach could lower long-term energy bills and align with businesses looking to go green. But short-term relief is still limited for both parties.
3. Industrial Relations & Staffing
Labor:
Supports penalty rate protections.
Backs ‘same job, same pay’ reforms.
Greater protections for gig workers and casual staff.
Pushes for multi-employer bargaining.
Coalition:
Aims to simplify individual employment agreements.
Plans to reintroduce an industrial watchdog.
Promises to crack down on union activity (targeting CFMEU).
What this means:
Labor supports workers’ rights and structured pay — ideal for stable businesses with permanent staff.
The Coalition wants to reduce red tape — appealing if you rely on flexible workforces or casual labour.
4. Innovation & Start-Up Support
Labor:
No specific small business programs, but broader investment in local manufacturing and green tech may benefit innovative SMEs.
Coalition:
Launching an “Entrepreneurship Accelerator”.
Promises tax offsets for tech upgrades and deductions for start-up costs.
What this means:
If you’re starting a new business or investing in growth tech, the Coalition has a more direct benefit for you.
Key Issues That Are Still Being Ignored
Despite the election noise, many critical small business issues are being overlooked by both major parties:
Soaring insurance premiums that are crippling retailers and hospitality venues.
Business crime and theft with little on-the-ground support.
Skilled worker shortages, especially in trades, transport, and customer service.
Overregulation, especially for sole traders and contractors.
Blunt Truth: Right now, neither party has a clear, practical roadmap to solve the pain small business owners are actually feeling on the ground.
What Should Small Business Owners Actually Do?
Here’s the honest, no-spin advice:
Vote for Labor if: you prioritise longer-term stability, staff protections, and sustainable growth through manufacturing or green investment.
Vote for the Coalition if: you need cash flow relief, want to claim back equipment purchases, or value flexibility over regulation.
This election won’t fix everything — but it will shift the conditions you operate in. Choose based on where your business is now, not where you hope it will be in 5 years.
Disclaimer: This article is for general information only and does not constitute financial, tax, or legal advice. Please consult with a qualified accountant, tax advisor, or financial professional before making any decisions for your business.
What I’d Do If I Were You (And What I’m Doing)
I work with small businesses every day — from café owners to tradies to transport operators. I’ve seen how policy changes affect your loan options, cash flow, and tax deductions in real life, not just on paper.
That’s why, whether it’s Labor or Liberal that wins — knowing where you stand today is the smartest move you can make.
If you’re unsure about:
How these policies impact your ability to finance equipment…
Whether you should wait or move before July 1…
Or how to access available write-offs and offsets…
Just reach out. No sales pitch. No agenda. Just one business owner supporting another.
