Morning Briefing: Services boom ahead says Westpac chief

Services boom ahead says Westpac chief  

Westpac chief Brian Hartzer has said a long-lasting "services boom" is on the horizon which will compensate for the resources slump and offer growth opportunities to SMEs, according to an article in the Sydney Morning Herald.

Hartzeris among those business leaders who align with the new Prime Minister Malcolm Turnbull's positive outlook toward "digital disruption".

"The big story is the shift to a service-led economy, rather than a resource-led economy," said Hartzer, referring to the services sector which provides 80 per cent of jobs in Australia. 

"The rise of a huge middle class across Asia will create a services boom for innovative and competitive companies that will last far longer than the initial phase of the mining boom,"  he said.
 
Highest spread across mortgage products rates in 18 months 
An analysis by Canstar, which compares borrowing and savings' rates, found the spread between highest and lowest rates on offer is the widest in the last 18 months, the Australian Financial Review reports, revealing an increase in competition for business.

Managing director of mortgage broker Capital Home Loans 
Chris Foster-Ramsay, said big lenders are competing for owner-occupiers with low loan-to-value ratios, typically below 80 per cent, a record of disciplined repayment and regular income.