Victoria has been named Australia’s worst state for doing business, finishing last for the second year running in the Business Council of Australia’s annual comparison of taxes and red-tape burdens.

Despite recent planning changes in the state designed to slash housing permit-approval times and spur construction, the 2025 report ranks Victoria eighth, citing high property taxes, uncompetitive payroll tax settings and onerous business licensing requirements.

Victorian Premier Jacinta Allan and SUBCO chief executive Bevan Slattery at the announcement of a submarine cable laying project. Credit: Joe Armao

Labor-led South Australia topped the Business Council’s comparative analysis of state and territory tax and regulatory systems for the third year running. It was praised for low payro

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