New data confirms that capital expenditure had continued to collapse in the March quarter, before the worst of the virus outbreak and before the large-scale lockdowns began.
 
Billion dollar budget bungles from Frydenberg and meaningless slogans from Scott Morrison will do nothing to address long-standing domestic economic challenges, restore business confidence or get the private sector investing again.
 
Capital expenditure has now fallen for five consecutive quarters, its longest downturn since the 1990s recession, with investment plans slashed for next financial year.
 
Today’s figures show that private new capital expenditure has plunged by a further 1.6 per cent in the March quarter to be 6.1 per cent lower over the past year.
 
Capital expenditure is now 35 per cent lower than when the Liberals first came to office and business investment is around its lowest levels since the 1990s recession.
 
Expected capital expenditure for 2020-21 has been downgraded by a massive 8.8 per cent, highlighting the longer term impacts of the crisis on business investment and jobs.
 
The less done to protect jobs, support vulnerable workers, businesses and communities, and boost business investment, the harder and longer the recovery will be.
 
Australians need the Morrison Government to do a much better job managing the recovery than they did of managing the economy before the virus outbreak.
 
THURSDAY, 28 MAY 2020