Many business leaders are giving the economy and coalition Government a positive report card heading into election year, but most see room for improvement.
Curia polling of 200 leaders, commissioned by technology firm Datacom, has found 43% believe the Government has been doing a good job supporting local businesses.
Respondents are becoming more optimistic: 65% expect economic conditions to improve over the next 12 months, and 35% identify growth as their top priority this year.
The survey found 71% of surveyed leaders believe the Government needs more time to deliver on its promises and 58% would like to see the Government focus more on modernising the way it delivers services.
The “brain drain” remains a big concern, 43% of respondents saying they’re worried about the recent surge of skilled workers moving to Australia and elsewhere offshore.
Datacom New Zealand managing director Peter Nelson said the results signal a “change in gear” and “a move to a growth mindset” compared to results from the same survey in previous years.
“People will naturally be a little cautious after some good signs early on in 2025 that didn’t translate into the growth we were expecting. I understand a bit of nervousness but at least people are being positive.”
The increased positivity is also evident in NZIER’s latest Quarterly Survey of Business Opinion, which found business confidence had reached a nearly 14-year high.
NZIER deputy chief executive Christina Leung said while manufacturing was the most optimistic sector, the survey found confidence was improving across every sector and region, pointing to a broad-based recovery.
“With lower interest rates supporting stronger demand, firms are finally starting to see this come through when it comes to activity in their own business, and that’s supporting the expectation that things will continue to improve over the coming year.”
Leeann Watson, the chief executive of the Business Canterbury chamber of commerce, said businesses will be hoping for more certainty through the election year, including a good pipeline of infrastructure projects and strong consumer confidence.
She said she’d received good signals from the political parties Business Canterbury had been speaking to, including the potential for bipartisan agreements.
“We certainly don’t want to see that pendulum swing if we do happen to see a change of government. We don’t want a pendulum swing to take us back three years.
“We want to make sure that we continue to invest ahead of demand so that we can keep up with that growth, make sure that we’ve got the right infrastructure to support that growth, and make sure that regulations keep up with innovation.”
Viv Beck, the chief executive of Auckland’s Heart of the City business association, said she hoped this year’s opening of the City Rail Link and International Convention Centre would mark the start of a “new era” after what had been a “long hard haul” for many businesses.
“The big thing we want to see here is growth. Coming to the end of the mass of construction in the mid-town area is positive and to see the economy growing again will be so good to bring some optimism back.
“We think the long-term prognosis here is very positive once we get more people living here, the infrastructure in place, the transport options improved, and improved accessibility.
Mark Knoff-Thomas, the chief executive of Newmarket Business Association, said confidence had been continuously building in the past few months and foot traffic had been increasing in the latter part of last year.
“Hospitality and retail are setting themselves up very well. I think we can all look forward to positive growth and a bit more happiness in the country in the year ahead.”
Michael Sergel is Newstalk ZB’s business reporter, covering the daily life of business and the business of daily life. He’s been covering business, politics, local government and consumer affairs for over a decade.