When Rodney Miller first came to Canberra as an accountant, most of his work was for mum-and-dad businesses and government agencies wanting a box ticked.
Now, as the new managing partner of RSM's Canberra office, he is staring down an increasingly complex local economy that is faced with an financial downturn and the possibilities and pitfalls of artificial intelligence.
"Canberra's economy has matured," Mr Miller said. "It has become less reliant on the government."
"Government departments increasingly want advice on how they run their businesses."
Having worked in auditing and accounting for public and private sector clients since 1990, Mr Miller said he has watched more companies opening up in Canberra to service the federal government, particularly in the defence and consulting spaces.
The auditing and accountancy expert currently works as an agent for the Commonwealth Auditor-General to conduct audits of public sector entities on his behalf.
Mr Miller said the boom in the ACT's private sector was advancing the local economy, but also leaving it more exposed to the ups and downs of the national economic cycle. Historically, Canberra has largely been protected from severe economic shocks by the consistency of public service employment.
A 2025 report from RSM noted Canberra's private sector had become the city's biggest employer, but the territory's small businesses had one of the highest failure rates in Australia.
The biggest current threat to Canberra's economy was the continuing national economic downturn, Mr Miller said, with the pressure of increasing interest rates and high inflation.
The managing partner said it was unclear whether the territory economy was simply returning to an equilibrium after decades of unprecedented growth.
"Maybe we're returning to a normal where ups and downs are more common," Mr Miller said.
The insolvency branch of RSM Canberra had experienced an increase in inquiries, he said, particularly from retail and hospitality businesses. The Australian Taxation Office was still pursuing debts left over from COVID-19, and that, combined with increasing costs, was pushing some businesses into the red.
"[The insolvency wave] has kind of worked its way through the construction industry, leaving it a bit more stable," Mr Miller said.
The impact of AI also remains an uncertain factor in Canberra's economic fortunes. While at first it seemed AI could do everything, the "hype bubble" appears to have popped, the accountant said, and many businesses were waiting for others to test the technology before they jumped on board.
The take-up of AI was similar to desktop computers and Excel in the 1990s, Mr Miller said.
"There's people who know a lot about AI and people who know a lot about business, but it's about bringing those two things together," he said.
The future role of RSM is set to change too, Mr Miller said. Clients are increasingly able to use AI for their compliance needs, meaning the firm's "box-ticking" accountancy services will be less in demand.
"It's a change we've been aware of for 10 to 15 years", Mr Miller said. "Compliance is taking up a smaller part of the business ... the question is how we train our staff to adjust."
RSM's future role will be more focused on providing business advice to clients, rather than basic auditing, he said.
However, Mr Miller said RSM was still optimistic about the ACT economy: "Canberra is still a good place to do business".
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