Businesses Backed Through Investment Boost
Business Canterbury welcomes the delivery of Budget 2025, which appropriately signals the importance of business in the recovery of our economy with the centrepiece 'Investment Boost' initiative.
Business Canterbury Chief Executive, Leeann Watson says, "The key measures of success in this budget for businesses were, does it provide a platform for growth, does it help keep inflation and interest rates low, and does it continue to address our infrastructure deficit."
"Businesses have been hesitant to invest and grow recently, despite growing confidence in the future strength of the economy. The 'Investment Boost' initiative announced today will provide an incentive and give businesses confidence to activate their growth plans, knowing they can reduce the financial impact at a time when cash is still tight.
"This is particularly important for small businesses, which contribute 40 per cent to GDP and employ 600,000 New Zealanders.
"We know that in certain sectors like manufacturing, automation and efficiency gains come at a significant cost. 'Investment Boost' will be a great platform for productivity gains that will enable growth right across the economy. It is business growth that will drive economic recovery, job creation and income growth for all New Zealanders.
"Infrastructure will continue to challenge us as a growing region. Infrastructure deficits require a constant and expanding pipeline of work so that when the economy turns a corner, we have the infrastructure in place to support it.
"Overall, this is a sensible Budget that does not jump the gun on growth, with sensible spending limits and reprioritisations made where spending was not getting the best bang for buck.
"Businesses have already been budgeting this way, doing more with less and spending smarter, not more.
"While this was clearly signalled by the Minister in pre-Budget announcements, it was important that restraint in spending was followed through with, as a key role for the government right now is providing the conditions that keep interest rates and inflation falling and stable."
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ADVERTISEMENT Wellington The Beehive (Source: Wellington has been going through tough times with the government cutting back on spending but the data still shows it has the highest incomes in the country. According to Stats NZ, it had the highest median weekly income of $2870 last year. MBIE said the average household income was $162,400. Almost 30% of Wellington's population reported having a degree-level qualification or higher. Infometrics said the annual average unemployment rate to March was 4.8%. Historically, the capital had much lower unemployment than the rest of the country but that is no longer the case. ADVERTISEMENT MBIE said the Wellington region's GDP per capita was $92,776. Wellington house prices are 25.1% below their peak. The big fall in house prices has helped affordability a lot. Cotality said prices were at pre-2017 affordability levels, with a value-to-income ratio of 6.5. 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