Tax reforms could be left out of a long-awaited Victorian economic growth plan, with the business sector warning the state risks losing out to its northern rivals.
The Economic Growth Statement was foreshadowed in May's Victorian budget and featured six pillars, including "a more efficient tax system".
After a week of housing announcements, Premier Jacinta Allan confirmed she would release the document in November and it would declare Victoria was "open for business".
"This week I said I was a builder - not a blocker," she said in a statement on Sunday.
"It's why the statement will focus on cutting the red tape holding too many businesses back, while outlining our priority sectors including manufacturing.
"I want to build the workforces we need for the future, drive growth in wages and ensure no Victorian is left behind."
Despite budget papers specifically outlining each of the six pillars, the Herald Sun reports tax relief will not be part of the plan.
The Allan government did not respond to questions on whether the document would include plans for changes to the tax system.
The Victorian Chamber of Commerce and Industry has been leading an advisory committee to inform the statement.
Its chief executive Paul Guerra said the state was struggling and Treasurer Tim Pallas must "loosen the reins" on tax or businesses would flee interstate.
"Business will start to move," he told Melbourne radio station 3AW.
"You've seen a change of government in Queensland overnight. They've got an Olympics to look forward to and we all recall how far ahead Sydney went when they had the Olympics.
"If Brisbane do the same and Victoria's left flat-footed, we're going to be in a world of pain down here."
Victoria's net debt is forecast to hit $187.8 billion by mid-2028 and its unemployment rate stands at 4.4 per cent, the highest of any Australian state or territory.
Opposition Leader John Pesutto suggested dumping tax reform from the growth statement would stymie the state's economic recovery.
"Massive debt and the highest taxes in Australia are driving businesses and investors away from Victoria," he told reporters.
"For Premier Jacinta Allan to come out today and say that the economic growth strategy is going to solve the problem won't cut it."
