A plunge in economic confidence for the region is primarily due to concerns affecting Taranaki and Manawatū.
The Westpac-McDermott Miller survey for the June 2018 quarter shows a net 11 per cent of households in the Taranaki/Manawatū-Whanganui region expect their economy to strengthen over the coming year. This is a sharp drop on the 23 per cent posted in March.
Westpac chief economist Dominick Stephens said confidence was likely to have been adversely affected by the Government's decision not to grant any more deep sea oil and gas exploration permits in the area.
"The possibility that New Plymouth's Yarrow stadium will be closed because it is an earthquake risk will also have dampened the mood," Stephens said.
"Reports that the M. Bovis cattle disease has been found in the southern Manawatu will also have not gone down well."