Ballarat’s Economy Shows Steady Growth as Visitor Spending and Local Employment Rise

Ballarat’s economy continues to demonstrate resilience and steady expansion, with the city’s Gross Regional Product (GRP) hitting $7.69 billion in 2022/23, according to the latest economic data from City Compass. The figures, released this week, paint a picture of a diversified local economy underpinned by strong health care employment, a booming tourism sector, and a growing business community.

Economic Output and Employment

The city’s total economic output now sits at approximately $18 billion, supported by 67,917 modelled jobs. Health Care and Social Assistance remains the largest employment sector, accounting for 21.9% of the 62,005 local jobs recorded in 2023. This sector’s dominance reflects Ballarat’s role as a regional health hub, anchored by Ballarat Health Services and its ongoing capital investments. The residential population reached 118,137 in 2023, up nearly 10% from 2018, adding 10,529 new residents over five years. Median income in Ballarat stands at $49,697, according to economy.id data.

Tourism Driving Visitor Economy

Tourism continues to be a major economic driver, with 2.9 million visitors in 2023 injecting over $772 million into the local economy. Visitor spend is forecast to climb to $1.13 billion by 2033, according to the City of Ballarat’s Local Area Action Plan. Sovereign Hill remains a key attraction, drawing families and history enthusiasts to its gold-rush era re-creations. The upcoming growth in visitor numbers is expected to benefit local hospitality businesses along Sturt Street and around the Ballarat Railway Station precinct.

Local Business and Industry Mix

Ballarat is home to 10,133 registered local businesses as of 2024, a number that has grown steadily as the city diversifies beyond its historical reliance on gold mining. Manufacturing contributes 23.6% and Construction 13.1% of the $16 billion annual economic output, according to economy.id. These sectors are concentrated in industrial estates near the Western Freeway and the Ballarat Airport, where new warehousing and light manufacturing operations have opened in recent months.

Population Growth and Future Outlook

The city’s 9.78% population increase between 2018 and 2023 underscores a sustained influx of residents attracted by Ballarat’s affordability relative to Melbourne and its improving transport links. The Ballarat Now and Into the Future enabling growth plan highlights the need for additional housing and infrastructure to accommodate this expansion. While specific new developments remain under council review, the overall trajectory points to continued moderate economic expansion, supported by a stable health care workforce and a growing visitor economy.