The Tasmanian Chamber of Commerce and Industry is the voice of business in Tasmania and is calling for a renewed focus on the state’s business climate following the release of ABS data showing slowing growth and mixed fortunes across key industries. *

 

The ABS Counts of Australian Businesses report confirms Tasmania’s business community continues to expand, with total businesses reaching 44,244 in June 2025. This represents growth of 3,523 businesses since 2021. However, annual growth has slowed sharply from 4.2% in 2021–22 to just 0.5% in the past year.

 

At the same time, survival rates remain a concern. Of the businesses operating in June 2021, only 65.6% remain active today, placing Tasmania in the middle of the national pack.

 

TCCI CEO, Michael Bailey, said the data underscores both opportunities and risks for Tasmania’s economy.

 

“The slowdown in new business growth is a warning sign,” Mr Bailey said.

 

“While overall numbers are higher than four years ago, fewer Tasmanians are taking the leap into business, and too many of those who do are failing to survive beyond the first few years.”

 

Mr Bailey said the results show why Tasmania must strengthen the conditions that support business resilience and growth.

 

“Agriculture is resilient because it is built on stable demand and long-term markets. Manufacturing and construction, by contrast, are showing high turnover, with lots of new businesses starting, but too many closing down.

 

“The TCCI is calling for all tiers of government to cut red tape, streamline approvals, and ensure Tasmanian businesses can access the workers and finance they need.

 

“With momentum slowing, we must take steps now to restore business confidence. That’s how we lift survival rates, attract new investment and build a stronger Tasmanian economy.”

 

Key figures

• Agriculture, Forestry and Fishing: While showing one of the strongest survival rates (74.9%), total business numbers have actually fallen slightly since 2021.

• Manufacturing: Has grown modestly (+5.7% since 2021), but faces challenges with only two in three firms surviving.

• Construction: Continues to add the largest number of new businesses, but survival is the weakest — only 61% of construction firms from 2021 are still operating.

 

 

* https://www.abs.gov.au/statistics/economy/business-indicators/counts-australian-businesses-including-entries-and-exits/latest-release