There has been a rise in excessively stringent regulation across the Australian economy, creating a complex, overlapping and growing web that burdens business and hinders productivity. Australia will need to reform these regulatory systems to meet its goals to increase housing supply and manage the energy transition.

To date, no analysis has tracked Australian regulatory restrictions by industry. This paper presents a starting point for a new measure.

The findings show the increase in rules to which organisations must adhere, which creates additional costs and complexity to produce the goods and services that Australians want and need. The analysis does not measure the quality of regulation, and it is acknowledged that there could be net positives from the increase in regulation if it drives better outcomes for society.

Key findings

• Restrictive terms in federal Acts have increased by around 30% between 2003 and 2025.
• There has been a 39% increase in regulatory restrictions that directly affect Australian industries.
• Estimates show that the stringency of federal legislation has increased over the past couple of decades, with particularly steep increases in key infrastructure, health care and education industries.
• Governments should prioritise simplifying or reducing regulation where it is not contributing to better economic or social outcomes for Australia.