Business Confidence Grows Post Election

Business
November 27, 2023

Written by
Abby Beswick

Optimism among local business owners

Has increased since the election, with owners saying they feel more hopeful about the future following National’s win. The National Party will lead the next Government after gaining 38% of the party vote, and 48 seats in Parliament.

Business advocates and owners say there are positive plans for growth in the tourism sector from the new Government. Now it’s a waiting game to see if those election promises are delivered on.

Casey and his team - Lil Something café

Casey Brunsdon, who owns Lil Something café at recently renovated Taupō Airport and a café at Spa Thermal Park, says the new Government signals hope for positive change.

Brunsdon has faced a number of challenges through Covid.

Things have picked up since New Zealand’s international tourism market reopened, and he expects the new Government will keep building on this.
“Personally I’m happy having a party back in power that has a tourism focus,” he says.

Incoming Prime Minister Chris Luxon understands business and is focused on driving business forward, says Brunsdon. “He’s pretty clear on what needs to happen and what needs to change. It’s quite exciting if we can have a plan and actually have people held accountable.”

While Brunsdon is feeling more optimistic about the future, there are plenty of areas that need to improve to boost the sector, he says.

One key issue he’d like to see addressed is providing landlords with more support, to tackle shortages in the rental market. Taupō has a huge pool of properties listed on websites The Rotorua Business Chamber has more than 500 members, ranging from small to big businesses in the region.

Bryce Heard - CEO The Rotorua Business Chamber

CEO Bryce Heard says prior to the election there was “a good deal of despondency in the business community”. Since the election however, the mood has changed, says Heard. “Already you can see that people are engaging positively, and they seem to have a weight taken off their shoulders.”

What owners need now, is the Government’s support so businesses can flourish and drive the economy forward.

“That’s a big issue for businesses – to know that Government’s got their back and will help to encourage measures to create wealth.”

Wages have moved ahead of income so sensitivity around that is important, and getting the economy back to an equilibrium, says Heard.

Like Air BnB and Bookabach to service holidaymakers, but locals and new staff moving to the region are facing dire rental shortages. A positive change in this area would help business owners secure the workforce they need, he says.

Bruce Thomasen - Redwoods Treewalk

Owner of Rotorua’s Redwoods Treewalk, Bruce Thomasen is also feeling more optimistic since the election.

“I think the tourism industry is in a good space. We are a high employee industry and we need Government support to really maximise this value and this opportunity.

The country is seeing the demand for this part of the world is improving and is there,” he says. Housing availability for rental and purchase and a lack of flight connectivity are key issues for Rotorua, says Thomasen.

Flights between Rotorua and Auckland-Wellington-Christchurch are not back to pre-Covid levels and it can be a challenge getting a flight at the time you need.

Thomasen advocates for a jet air service between Rotorua and Christchurch or Rotorua and Queenstown that would better link the central North Island to the South to provide more options for travellers. “That would be a goal that we would strive for.”

Thomasen would also like to see a new approach to sustainable funding for tourism-related infrastructure rather than it being left to ratepayers. One approach used overseas, is a minimal visitor surcharge that’s paid by every visitor to the region as an add-on cost to accommodation and tourist attractions.

This way the money is captured locally and spent locally, says Thomasen. “This is not just another tool to raise revenues, this is actually so that you can make some really regenerative and legacy spending for that community.”