Hospitality industry on govt's two new work visas
Farmers, winemakers and tour operators are welcoming the government's announcement of two new work visas to help bring workers into the country - but the hospitality industry says it's been left out in the cold. Restaurant Association President Mike Egan spoke to Tuwhenuaroa Natanahira.
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RNZ News
a few seconds ago
- RNZ News
A boom in businesses going bust
Dragonboat restaurant opened in the 1990s, and is now going into liquidation, owing at least 1.4 million dollars to creditors. Photo: RNZ / Yiting Lin New Zealand is riding its highest wave of company liquidations in more than a decade, with thousands of businesses folding and countless livelihoods caught in the crossfire. Many more are holding on, but just. In the first half of this year alone, 1270 businesses have shut their doors - a 12 percent increase on this time year. It's now anticipated that the total number of liquidations for the year will surpass 2024's 10-year high, when 2500 companies folded. That was an increase of nearly 700 compared to 2023. The numbers have been soaring since the pandemic. Deloitte partner Rob Campbell, who specialises in business restructuring, turnaround and cost transformation, tells The Detail the country "is getting closer to the peak but there is still a bit to play out". "There is no sector that's immune, no business too big or too small to fail," he said. "And [the debt] can be as simple as a few thousand dollars through to several million dollars." Newsroom business reporter Alice Peacock told The Detail that construction and hospitality are the worst-affected industries. "Small businesses have been hit harder from what I have seen in liquidation lists ... I think that's because for that size of company, it's harder for them to recover those costs and move on financially. "Probably what we are seeing hit the headlines doesn't fully represent what's actually happening. "Hospitality businesses ... are consumer-facing, they are the company names that people know, so they're more likely to be reported on than the smaller, local, maybe family-run scaffolding companies or your local roofer." One of those hospitality businesses is Auckland's Dragonboat Restaurant, which announced this week that it is going into liquidation. Opened in the 1990s, it now owes at least 1.4 million dollars to creditors. And it's these sorts of debts that can leave suppliers and subcontractors chasing unpaid invoices, triggering further closures, Campbell said. And this domino effect can be devastating. "It also has flow-on impacts to affected suppliers; they're out of pocket, that impacts their own business," he said. "They might be going through a period of stress as well, and the last thing they need is to, one, lose a customer and also have that customer not pay them as well. "So it can have a bit of a spiral effect." The cost of living crisis, rising unemployment, high interest rates, and a lingering Covid-19 impact are behind the increase in businesses folding. "Some of this feels like it was playing out two or three years ago, and there is a real lag effect from when stress is first experienced by a business to when it may become ultimately insolvent," Campbell said. But he and Peacock believe there is hope on the horizon. "Businesses are closing down, but businesses are also opening up," Peacock said. "I was at a hospitality conference a couple of months back in Wellington, and there were some really amazing stories to come out of that. "No-one was trying to pretend that it hadn't been a tough few years but there was one lead speaker who mentioned the number of liquidations but then was also trying to debunk a perception about the industry that it was all doom and gloom... and pointed to numbers that show... company incorporations, so those cafe and restaurant businesses that are opening, have also risen. "I don't think anyone would say the economy is clearly in a recovery phase yet. But there definitely do seem to be signs that things are improving... people have been speaking of better times on the horizon." Check out how to listen to and follow The Detail here . You can also stay up-to-date by liking us on Facebook or following us on Twitter .
RNZ News
a few seconds ago
- RNZ News
Kiwisaver provider Simplicity to build 600 long-term rental houses in Queenstown
Simplicity Living directors (from left) Shane Brealey, Anna Brealey, Sam Stubbs, and Andrew Lance on site at an earlier development in Auckland. Photo: Supplied Kiwisaver provider Simplicity is to spend hundreds of million dollars on building up to 600 long-term rental houses in Queenstown. It has bought a six-hectare site on Ladies Mile for the build-to-rent development aimed at answering the need for affordable housing in the central Otago town. The head of Simplicity, Sam Stubbs, said the development stacked up financially and socially, and was the sort of investment that Kiwisaver funds should be looking at . "This is another example of the sort of thing our Kiwisaver scheme can help make possible. We think it's a good long-term investment for our members and helps provide warm, dry homes for Kiwi families, in a region that urgently needs them." He said it was the first development outside of Auckland for its housing arm, Simplicity Living. "We've been looking around the country, and Queenstown is the obvious place, which needs good long-term rental options for people who work in the town -- nurses, teachers and cops some of whom are now commuting from Cromwell now." Stubbs said Simplicity had looked at expanding into Wellington and Christchurch, but was not convinced at the moment. He said the capital had infrastructure risks such as earthquakes and water, while the commercial return in Christchurch did not not stack up because an oversupply of properties has lowered returns. Location of the planned Simplicity housing development in Queenstown. Photo: Supplied / Simplicity Living Queenstown mayor Glyn Lewers said the development was "much-needed". "The addition of up to 600 new Build-to-Rent homes will be a game changer for our community, offering secure long-term rentals. "It's a tangible step forward in delivering [part] of the Joint Housing Action Plan - working with developers to facilitate and deliver diverse housing options." The development site is located near Remarkables Park, close to planned schools, shops, and transport links. The homes would be built primarily using concrete, brick, and local schist, with high thermal and acoustic ratings, solar panels, rainwater harvesting and common use facilities. The Shotover Bridge is a 10-minute walk away, and Queenstown Airport is just a five-minute drive away. Simplicity is currently building just under 900 homes in various parts of Auckland. Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
Scoop
10 hours ago
- Scoop
Exporter Confidence Holds Strong Despite Trade Tensions, According To Export NZ DHL Export Survey
The majority (two-thirds) of New Zealand exporters have increased or maintained their export levels over the previous 12 months Concerns about an ongoing international trade war have increased, but exporters are looking to diversify and mitigate the effects of possible future tariffs Auckland, New Zealand, 13 August 2025: Despite rising global trade tensions and looming tariff changes, New Zealand exporters remain optimistic and resilient, with two-thirds (79%) maintaining or growing their export volumes over the past year, according to the 2025 ExportNZ DHL Export Barometer. The annual survey, which tracks exporter sentiment and trends, reveals that 59% of Kiwi exporters expect to increase their exports in the coming 12 months, even as concerns over trade wars and proposed tariffs intensify. Selina Deadman, Vice President, Commercial at DHL Express New Zealand said, 'It's encouraging to see that the majority of New Zealand exporters have continued to ship internationally over the past year. International trade has faced increased scrutiny due to upcoming barriers, it's a positive indication that exporters are optimistic about cross-border trade, and it will be interesting to see how these expectations evolve in 2026. This also reflects the confidence that DHL Express has in globalisation and its importance in economic growth.' Recent trade policies enacted by the USA have dominated headlines this year. When this survey was completed, New Zealand was at the baseline 10% tariff level and the elimination of the 'de minimis' was scheduled for 2027. This resulted in 53% of survey respondents remaining relatively focused on the US market through 2026. However, now that New Zealand's reciprocal tariff has increased to 15% and the elimination of the 'de minimis' has been brought forward to August 2025, the rest of the year will serve as a test to that exporter confidence. Advertisement - scroll to continue reading Executive Director of ExportNZ Joshua Tan said exporters who may be affected by proposed tariffs have sought to diversify by entering other markets. 'This year's survey results show strongly that Kiwi businesses are considering new markets outside their traditional, with the likes of the United Kingdom (41%) and Japan (27%) both seeing an increase of 4% in exporter interest. In the case of the UK, this shift is likely influenced by the New Zealand-UK Free Trade Agreement, which came into effect in mid-2023 and is starting to deliver outcomes'. Exporters identified the largest barriers to exporting as the cost and availability of transport and logistics (49%), as well as the high cost of doing business in New Zealand (31%). However, the most notable shift from last year was a sharp rise in concern over an escalating trade war, cited by 27% of respondents. 'Increased concern around trade wars becoming a barrier was expected, with a 15% rise from last year. Concerns over high tariffs due to a lack of trade agreements also saw a 7% increase,' said Tan. Exporters remain divided on the level of external support they were willing to accept, with a quarter (25%) of respondents saying they didn't require any assistance from NZTE in overseas markets. Meanwhile, 22% indicated they would like more help, with 20% seeking support for R&D and another 20% wanting access to market research. In this year's survey, exporters voiced strong support (32%) for 'More Free-Trade Agreements with new partners', alongside 'Support for attending trade shows' (32%) as the most desired forms of government assistance to help boost export activity. The full 2025 ExportNZ DHL Barometer Report will be released in late August, following an online webinar on Wednesday, 20th August, hosted by DHL and ExportNZ. Speakers Selina Deadman and Joshua Tan will discuss the key findings of the report and provide exporters with advice on how to reduce their exporting costs. Further information on the upcoming webinar can be found on DHL Discover. 2022 Export Barometer Report 2023 Export Barometer Report 2024 Export Barometer Report About the ExportNZ DHL Export Barometer A joint initiative between ExportNZ and DHL, a total of 333 New Zealand exporters were surveyed for the 2025 ExportNZ DHL Export Barometer. The ExportNZ DHL Export Barometer is an initiative aimed at analysing export confidence in New Zealand and identifying export trends. It is based on nationwide research, examining the business outlook of exporters, highlighting changes in overseas market demand, and providing insights into the factors impacting New Zealand's export trade. The research was conducted between 01 June and 30 June 2025. The increase in participation was accounted for mainly by an upsurge in the number of responses from the Auckland region. The number of responses from Canterbury remained unchanged, but the number from the Wellington region fell. There was also an increase in the number of sole-traders and small businesses participating. As in previous years, the respondents were most likely to have been in business for more than 20 years, but there was also an uptick in the proportion of those who had been in business for 10 years or less. DHL – The logistics company for the world DHL is the leading global brand in the logistics industry. Our DHL divisions offer an unrivalled portfolio of logistics services ranging from national and international parcel delivery, e-commerce shipping and fulfillment solutions, international express, road, air and ocean transport to industrial supply chain management. With approximately 400,000 employees in more than 220 countries and territories worldwide, DHL connects people and businesses securely and reliably, enabling global sustainable trade flows. With specialized solutions for growth markets and industries including technology, life sciences and healthcare, engineering, manufacturing & energy, auto-mobility and retail, DHL is decisively positioned as 'The logistics company for the world'. DHL is part of the DHL Group. The Group generated revenues of approximately 84.2 billion euros in 2024. With sustainable business practices and a commitment to society and the environment, the Group makes a positive contribution to the world. DHL Group aims to achieve net-zero emissions logistics by 2050.
