$11k incentive for big ideas

Sweeteners in Albo’s budget reply

TWO thousand entrepreneurial youths will be offered 12month loans worth up to $11,300 under a Labor plan to turn their big ideas into big businesses.

In his budget reply speech on Thursday night, Anthony Albanese will unveil “Start-up Year”, an initiative designed to match graduating tertiary students with universities and private-sector incubators to help commercialise their inventions and innovations.

“It is Australian start-ups in areas like manufacturing, medicine, IT and clean energy that will build the Australian industries of tomorrow while also solving some of our toughest domestic and global challenges,” Mr Albanese said.

The taxpayer-funded support will be provided through the existing university loan system to cover the costs associated in young people participating in accredited programs.

They will receive mentoring and professional development to work on their ideas and create sustainable businesses out of them.

Opposition industry and innovation spokesman Ed Husic said it was part of Labor’s plan to increase the number of “high-growth firms that are creating economic growth, innovation, and good quality jobs for the future”.

“This policy harnesses the ideas and energy of young Australians and focuses on the huge potential our younger generations have to lead us into the future,” Mr Husic said.

“We need to back our next generation of ideas and inspire and empower an ever-greater diversity of communities and individuals to build great Australian companies that become world-leading in emerging global markets.”

If elected, Labor would work with universities, incubators and accelerators to establish selection rules, with the program to focus on start-ups across a range of backgrounds, areas and industries.

Under Education Minister Alan Tudge, who took over the portfolio at the end of last year, the government has increased its focus on encouraging universities to commercialise their research. But Labor will argue the government has failed to provide adequate support for local innovators.