A third of Australian businesses spend nothing on innovation: ABS data

Australian business innovation has dropped six percentage points compared to the last recorded measure, according to new data from 2021-23 released by the Australian Bureau of Statistics (ABS).

Economic pressures were identified as a leading barrier to innovation, with one in five Australian businesses (19%) reporting to the ABS that a lack of access to funds was an impediment.

Another 16% of businesses cited a lack of skilled workers in the labour market, and 14% a lack of skilled workers within the business as additional barriers to innovation.

ABS head of business statistics Robert Ewing said nearly half of all businesses (46%) reported some innovation activity in the two years up to June 30, 2023, but that this was a marked decline compared to the last reporting period.