Increased use of information and communications technology (ICT) is one proven way to boost labour productivity. But the industry requires significant investments to upgrade and expand the existing ICT infrastructure, and these investments are costly. Accelerating the capital cost allowance (CCA) rate is one way to lower the user cost of capital and increase investment. This briefing shows that in increase in the CCA rate from 30 to 50 per cent would produce a permanent lift in real investment of $225 million per year. It would also lift GDP by $163 million and employment by 1,660 jobs (on a full-time equivalent basis).