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Industry leaders engage in political scaremongering in Queensland

Hung Queensland parliament bad for business, according to industry doomsday forecasters.

A HUNG parliament in Queensland would be the worst possible election outcome for businesses, industry groups say.

THE Chamber of Commerce and Industry Queensland (CCIQ) says the state's business community needs the certainty of a government that can rule in its own right, and soon."(Minority government could) create a degree of uncertainty over the three-year term that could erode small business capacity to plan and make investment decisions," CCIQ general manager of advocacy Nick Behrens said.

However with at least three seats still too close to call, a Labor minority government appears to be the most likely outcome.

The party has 42 seats and is predicted to pick up two more, falling just shy of the 45 needed to govern in its own right.

Australian Retailers Association executive director Russell Zimmerman said broadly speaking minority governments don't auger well for businesses generally, including the retail sector.

"Business wants certainty and once business gets certainty you tend to see that flow through to the consumer and the consumer will then spend money in the retail stores," he told AAP.

"But when you've got a parliament that finds decisions very difficult to get through then that breeds uncertainty.

"That tends to follow through to the consumer and the consumers tend to close their wallets up."

Mr Zimmerman said business tended to slow down in the lead-up to an election and in Queensland would currently be in a hiatus period until a result becomes apparent.

Queensland's retail figures for October last year - before the G20 - were average, he said.

"Hopefully there will be a clear-cut (election) decision, hopefully the government will be able to govern in its own right and we'll see some positive retail sales," Mr Zimmerman said.