WESTERN Australia's rapid population growth, driven largely by migrants attracted by opportunities in the resources sector, means the ageing of the population will be less pronounced in WA.
WESTERN Australia's rapid population growth, driven largely by migrants attracted by opportunities in the resources sector, means the ageing of the population will be less pronounced in WA.
The impact of demographic changes on Australia's small to medium-size enterprises has been analysed in a new report, 'The Business & Population Monitor', which was commissioned by chartered accounting and business advisory firm, PKF.
The report, by Access Economics, found that international migration to WA had created the highest level of population growth in the country, well ahead of the five-year national average, and showed no signs of slowing.
Seven out of every eight workers arriving in WA were from overseas.
This was creating a huge opportunity for business, with the migrants needing to acquire most of the physical possessions for setting themselves up in a new country.
Significant benefits for the housing industry are expected to result from this, with the report tipping a nation-wide spur in housing construction for the second half of 2009.
Benefits would also flow on to related businesses, such as local building product manufacturers.
In addition, the accommodation industry is expected to benefit from the increased demand from migrants.
The report says WA was one of the three big contributors to the country's overall population increase, along with the Northern Territory and Queensland.
"These demographics reaffirm the so-called 'two-speed economy' we've seen emerge in recent times," PKF Enterprise Advisers national chairman Chris Allen said in a statement.
The report's data and analysis indicates that the issue of an ageing population may not be as pressing in WA in comparison to other states.
Retirement of workers was considered unlikely to be much of an issue in regions where there is a strong mining presence, of which WA made up considerable numbers.
In addition, by attracting skilled migrants to the workforce, WA is increasing its working-age population at a rate well ahead of the national average; an age group tipped to dramatically decrease in the next five to 10 years.
The report also touted that the strong demand for retirement homes seen across Australia, with investment topping $1.4 billion, may not be matched in WA, with many WA regions featuring among those with a comparatively low share of the 50-64 and 80+ age groups.
The report focused on both the opportunities and challenges associated with a national ageing population.
Australia's working-age population is expected to significantly decrease in the next five to 10 years, while the number of Australians aged over 85 is projected to increase by 500 per cent over the next 40 years.
"These will be the largest structural shifts in the Australian economy since World War II," Mr Allen said.
"They will present both considerable opportunities and challenges to the Australian business community."
