Time for Commerce Minister Role to be Taken Seriously Again

Andrew Bayly’s self inflicted knife in the back is bad news for the millions of consumers and thousands of small businesses who are the victims of market failure in this country.

Bayly’s behaviour cant be excused and one can only wish him well for his next move. But the timing is very unfortunate just days after Finance Minister Nicola Willis finally lost patience with our supermarkets and promised action – a process in which as Commerce Minister Bayly would have been very much engaged. She gave us hope and was praised accordingly.

But new Commerce Minister Scott Simpson, like Bayly, will be outside Cabinet.

Therein lies the problem. Commerce, once a portfolio for heavy lifters, has dropped down the pecking order to no longer be at the top table, right at the time when consumers are screaming that failed markets are their top concern. Since first created in 1987 the Commerce role has averaged a new incumbent every couple of years.

Now that the Finance Minister has unambiguously flagged the problem, the Commerce Minister must be front and centre of the solution. According to most experts that solution means a breakup of the existing duopoly – the duopoly cynically destroyed the possibility of a third entrant major years ago through land banking and other anticompetitive practices.

That’s not a job for an outside-Cabinet Minister with one arm tied behind their back.

The Prime Minister would do well to reconsider the optics of leaving Commerce as an entry-level portfolio. If we ever needed a fully-armed heavy-hitter in that role, now is the moment.