Date issued: 31 July 2008

Australia can secure a future as a financial services hub by improving tax incentives, addressing skills shortages in key industries and removing regulatory and trade barriers.

CPA Australia CEO Geoff Rankin who attended the Financial Services Hub Summit in Sydney today said the meeting had charted a path along which to address these key issues.

'The summit represents an important step toward establishing Australia as a financial services world leader. The establishment of a Financial Services Advisory Committee will give it even greater momentum and indicates an all-important political will,' he said.

'It sits well with CPA Australia's global approach to strengthen the accounting profession and create opportunities for Australian businesses.

'We put forward the idea of Australia as a services hub in our submission to the Australia 2020 summit and the issues discussed today, especially taxation and skills shortage, are matters we raised in that submission.

'Tax incentives will be integral to increasing Australia's desirability as a provider of sophisticated and robust financial services.

'The necessary tax changes could come about through the comprehensive Henry Review commissioned by the Federal Government earlier this year and CPA Australia looks forward to contributing to this review.

Mr Rankin said addressing the skills shortage was equally important, 'A world class financial services sector needs sufficient skilled workers and the accounting profession  forms a significant segment of this workforce.

'A skills shortage in the accounting profession can seriously inhibit growth in this sector as it limits capacity building. The government's own discussion paper cites the skills shortage in accounting as a serious challenge to overcome.

'The accounting profession is as important  to an economy's infrastructure as road, rails and ports because it underpins the capital market and provides the confidence which drives direct foreign investment.

'CPA Australia is already working with government, the higher education sector, recruitment firms and business to increase the supply and retention of qualified accountants.

Mr Rankin said the Federal Government's proposal to lead a financial services sector 'roadshow' through Asia was another welcome initiative.

'CPA Australia has a significant and growing presence in the Asia – Pacific region so we understand the importance of being seen and heard in these growing markets. We have been active in establishing links with business, government and other professional bodies in this region.'

Mr Rankin said CPA Australia would welcome the opportunity to lend its expertise to the government's newly-established Financial Services Advisory Committee.

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