Retail associations urge gov’t to address rising costs, retail crime in Australia

A key concern is the impact of U.S. tariffs.

The Australian Retailers Association (ARA) and the National Retail Association (NRA) have called for immediate government action to address critical issues facing Australia’s $430 billion retail sector as the Albanese government begins its new term.

ARA CEO and CEO Designate of the Australian Retail Council (ARC) Chris Rodwell  highlighted the urgent need for policies that will support investment, growth, and job creation in the industry, which employs one in 10 workers and contributes nearly 20% of the nation's GDP.

“Retail performance impacts every Australian and it’s clear that we need strong economic leadership to support the sector through a challenging climate,” he said. “Alongside the cost-of-living crisis, retailers have battled through years of rising costs – from rent and wages, to energy, insurance, transportation and all kinds of supply chain impacts.

A key concern for the ARA is the impact of U.S. tariffs, which have added extra financial strain. “For many, especially smaller retailers there is limited capacity to absorb these costs. It will be tough for them to stare down the pressure to raise prices in the coming months.”

Both the ARA and NRA are calling for a national effort to improve productivity, which they view as key to strengthening the economy and living standards.

It is critical we seize the moment in this term of government as our nation can’t afford for the agenda to slip into the 2030s. The state of our economy and national finances reflect it is already overdue.

Moreover, the associations are also calling for a national retail crime strategy to protect businesses and workers.

The ARA and NRA also expressed support for Labor’s election commitments on small business, workforce development, and digital transformation but raised concerns about government intervention in penalty rate decisions.