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What small business wants from the next Government
With New Zealanders heading to the polls this Saturday, 7 November, chamber leaders from around the country have sent a clear message to whoever forms the next Government: cut the paperwork, get on with infrastructure, and leave new taxes off the table.
That's the headline from a New Zealand Chambers of Commerce survey of chamber chief executives, ran from 15 to 27 October. Twenty chambers from 11 regions took part, including Business South, rating 39 policies the parties are taking to the election.
Policies judged on merit, not party
The survey removed the party names and asked one question: would this policy be good or bad for our members? Each policy was scored by the share rating it good minus the share rating it bad. Policies were only matched to parties afterwards.
That approach matters. It means the results reflect what works for business, not who's proposing it.
The clear winners
Three policies were backed by every chief executive who rated them:
- Paying small suppliers within 15 days for invoices of $25,000 or less (Labour)
- Testing the impact on small business before Ministers approve new rules (Labour)
- Coordinating council licence renewals, with automatic renewal for low-risk businesses with a good track record (National)
Close behind were a "Tell Government Once" service, so businesses update their details in one place (National), and requiring card and payment providers to disclose fees in a comparable way (National).
On tax, the standout was New Zealand First's proposal to cut company tax from 28% to 20% for firms turning over less than $30 million. Fifteen of the 16 chief executives who rated it said it would be good for their members.
None of this is complicated. Businesses want to be paid on time, spend less time on compliance, and have government think about them before making rules that land on their desk.
The clear no's
At the other end of the scale:
- A 1.75% annual tax on land value, including commercial land (Opportunity): 14 of 16 said bad
- Default union membership for new employees, with an opt-out (Greens): 8 of 13 said bad, none said good
- A 28% capital gains tax on investment property (Labour): 9 of 16 said bad
- A $370 a week Citizen's Income replacing most benefits (Opportunity): 8 of 16 said bad
- A publicly owned supermarket chain built from at least 120 stores sold by the major chains (Greens): 6 of 13 said bad
The message on new taxes was consistent. Businesses are already carrying rates, insurance and rent. A tax on the land under their shop or factory is not what they need.
How the parties stacked up
When policies were matched to parties and averaged:
- National: +47
- Labour: +44
- ACT: +42
- New Zealand First: +14
- Opportunity: +5
- Greens: minus 16
National, Labour and ACT sit closely together at the top. With between 11 and 16 chief executives rating each policy, one person changing their answer can shift a score by 6 to 9 points, so small gaps between parties should be read with care. The bigger story is that good ideas for business are coming from more than one direction.
What's weighing on business right now
Confidence is steady rather than falling. Half of chief executives said members' confidence is about where it was a year ago, with slightly more saying higher than lower.
The biggest pressures are weak customer demand (11 of 18) and energy costs (10 of 18). Encouragingly, most expect members to hold staff numbers steady, and seven of 18 expect more hiring than cutting.
Asked where Government could make the biggest difference, chief executives put infrastructure, planning and consenting first (12 of 18), followed by compliance costs and red tape (11 of 18).
What this means for Otago and Southland
These priorities will sound familiar to businesses across our region. Slow consenting, ageing infrastructure and compliance that eats into time better spent running the business come up again and again in our conversations with members.
Two results from the full survey stand out for our region. Giving councils new funding tools, such as visitor levies, scored strongly, as did capping annual rates increases. For a region where tourism puts real pressure on local roads, water and services, how councils pay for that infrastructure without loading more onto ratepayers is a conversation we’ll keep pushing.
Whatever the result on Saturday, Business South will be working with the incoming Government, local MPs and agencies to make sure the voice of southern business is heard. The policies that topped this survey are practical, low-cost and achievable. Our ask is simple: pick them up and get on with it.
Make sure you have your say on 7 November.
Read more in the published articles:
https://www.nbr.co.nz/politics/small-business-wants-the-next-government-to-get-off-its-back/
Enterprise Partners
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