Source: Canterbury Employers Chamber of Commerce
Businesses are expecting a Budget on Thursday that strikes the balance between reduced unnecessary spending to ease inflation, and clear signals the Government will back businesses to invest and grow.
Canterbury Employers’ Chamber of Commerce Chief Executive, Leeann Watson says “we are in an environment at the moment where businesses are ready to invest and grow in our region – but persistent headwinds like the rising costs of doing business, falling consumer demand, increased compliance costs, and immigration settings that are not fit for purpose – continue to be barriers to that growth.”
In a recent survey, The Chamber found that nearly 75 per cent of businesses in Canterbury are expecting to invest in new equipment and more people. The same survey also found that nearly half of the respondents are still expecting their revenue to grow over the next year.
“Our regional economy is the strongest in the country, underpinned by our strong primary, manufacturing and export sectors, as well as a vibrant and resilient small business community.
“Our expectation is that Government recognises the role businesses play in our community as employers, particularly through challenging economic times. This year’s Budget is an opportunity to show that recognition” says Ms Watson.
“Pre-Budget announcements indicating the Government’s willingness to address inflation are welcomed and we look forward to hearing more about the detail of this.
“Recognising that Government expenditure contributes to inflation, we expect the Budget to be very clear about the priorities and outcomes that address deficits in key areas such as infrastructure, education and skills, health, and supporting businesses transition to meet climate change targets.
“Specifically, we would like to see meaningful changes through the Budget that will assist climate change transition, a commitment to reducing counterproductive compliance costs, increased support for research and development such as accelerated depreciation, a reformed overseas investment regime to allow more capital to fund growth, and immigration settings to address our labour market shortages – backed by more efficient and effective processing by Immigration NZ.”
The Chamber will be following Budget announcements closely on Thursday and will continue to engage strongly with Government on policies which enable an environment of innovation, productivity, and economic growth.
