AI Impact Scenarios Australia

AI IMPACT: SYDNEY Real Gross Value Added, annual % change

• Sydney has the heaviest concentration of financial and professional services, two of the industries with high AI exposure.

2025 2026F 2027F 2028F 2029F 2030F

S1: Upside - Expansion

1.6% 2.8% 2.9% 3.9% 4.2% 4.4%

• The upside case lifts growth to above 4% by the end of the decade as AI-enabled services expand into new client segments. The AI Bust case produces a contraction in 2027 followed by a robust expansion through 2030. • The composition of Sydney’s workforce means that it is where the scenarios become visible first, making Sydney's labour market the bellwether for which path is unfolding.

S2: Baseline

1.6% 2.6% 2.2% 2.7% 2.7% 2.6%

S3: Downside - AI Bust

1.6% 2.0% -0.6% 3.1% 3.8% 3.3%

S4: Downside - Displacement

1.6% 3.0% 3.0% 3.1% 2.4% 1.7%

Source: Cushman & Wakefield Research

Cushman & Wakefield

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