Australia’s governing Labor Party (ALP) has adopted a platform commitment to doubling the size of the country’s co-operative and mutuals sector.
National sector apex, the Business Council of Co-operatives and Mutuals, welcomed the move by Anthony Albanese’s government “as a major advocacy milestone”.
“The commitment reflects years of sustained advocacy for greater recognition of business model diversity in national economic policy,” it said, “and supports efforts to address barriers to growth and create a more level playing field with other corporate structures.”
The policy statement reads: “Labor will support diverse business models which bring innovation, new products, competition and quality jobs to the market. These will include co-operatives, mutuals, credit unions and customer-owned banks.
“We recognise and support the cooperative and mutual sector’s ambition to double in size and will work to address barriers it faces to ensure an equal playing field with other corporate structures.”
The commitment is a significant policy milestone for Australia’s co-operative and mutual sector, said BCCM, adding: “It recognises the contribution of member-owned businesses to competition, quality jobs, innovation and economic participation, and gives policymakers a stronger foundation for reform.”
Apex CEO Melina Morrison said the focus will now now be on working with government and policymakers to help co-operatives and mutuals reach their potential across key parts of the Australian economy.
“Even modest reform from the federal government could unleash potential across industries such as agriculture, finance and care,” she added.
“There is now a significant opportunity to strengthen the role of co-operatives and mutuals in our economy. A legislative environment for co-operatives and mutuals to prosper and grow allows them to work harder in the interests of their members, markets and communities around the nation.”
Australia has 1,810 co-operatives and mutuals, with combined turnover of more than AU$55bn, more than 37 million active memberships and direct employment of around 95,000 people. The sector also supports nearly 367,000 small business members, showing that co-ops and mutuals are an established part of Australia’s economic infrastructure.
Targeted policy reform has already shown what is possible, said BCCM, noting that mutual capital instruments (MCIs) reform has helped unlock nearly $700m in new capital, “demonstrating how practical changes to policy settings can release latent investment and growth potential in member-owned businesses”.
The Australian commitment follows a similar move in the UK, where the Labour government has committed to doubling the size of its co-operative and mutual economy, which is worth nearly £180bn and employs 1.5 million people.
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Andrew Pakes MP, the UK government envoy for co-operatives and mutuals, said: “It’s great to see the ALP matching the British government’s ambition to double the size of the co-operative economy.
“In today’s fractious world, people want a stake in the goods and services that shape their communities and lives. Co-operatives offer an antidote to global capital and populism through a long-term approach that is owned by workers and members and focused on keeping profits within local communities.”
The commitment came as Pakes joined the BCCM at LaborEngaged’26, the fringe programme of the ALP’s 50th national conference in Adelaide. On 24 July, the panel What Australia can learn from the UK’s agenda to double the co-operative and mutual economy, featured the MP and Morrison alongside Michael Pilbrow, delegate for Riverina; and Linda Scott, delegate for Sydney.
The BCCM said it will continue working with government, policymakers and sector partners to turn this important policy recognition into changes that help co-operatives and mutuals form, grow and compete.
Main image: Anthony Albanese at the ALP conference (Getty)
