Many small businesses plan to buy new asset as result of Investment Boost
New Zealand banknotes, pen and calculator on background with rising trend green line
Photo:
123RF
Many small businesses plan to invest in new assets as a result of the government's
Investment Boost programme
.
A MYOB survey of more than 500 small and medium sized businesses (SMEs) indicates nearly half (45 percent) plan to make an asset purchase over the next six months, while one-in-five were planning to invest in the next three months.
Topping the list of new assets to purchase were passenger vehicles, including cars, vans, and utes (31 percent), followed by new office technology (28 percent), digital devices (22 percent), furniture (18 percent) and tools of their trade (15 percent).
Just over one-in-10 planned to invest in smaller scale machinery or equipment.
About a third (35 percent) of businesses estimated their investments would improve productivity.
The survey found the other half of businesses considered changing their plans around investing in new assets because of the new policy, while about one-in-10 (12 percent) thought the Investment Boost had changed their plans considerably, though 7 percent were unsure.
Just 28 percent said their spending plans had not changed, with 5 percent saying their planned spending was ineligible for the government's programme.
MYOB chief customer officer Dean Chadwick said the survey findings demonstrated a strong appetite for government support, given the sluggish pace of economic recovery.
"The Investment Boost delivers timely support to New Zealand's SMEs as they weigh up current economic challenges with the opportunity to invest in growing their business, and it will go some way to shoring up and accelerating their own performance," he said.
"This latest survey also shows that spending by local businesses on eligible new assets will continue into 2026."
The median planned asset spend of those surveyed was $37,700.
One-in-10 businesses expected to spend between $80,000 to $100,000, while 12 percent expected to spend between $100,000 to $200,000.
The agriculture sector has one of the highest median spends ($56,670), along with manufacturing ($53,300), behind the finance and insurance sector ($60,000 median).
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
RNZ News
an hour ago
- RNZ News
Review into Whānau Ora Commissioning funding terms of reference released
Photo: RNZ / Mihingarangi Forbes Terms of reference for a review into Whānau Ora Commissioning funding have been released. The review will be led by Doug Craig, director of the RDC Group consultancy, who recently investigated concerns raised about Manurewa marae. Te Puni Kōkiri set up the independent investigation last week after reports Te Pou Matakana Limited spent up on an ad campaign urging people to switch to the Māori electoral roll, and Pasifika Futures Limited put $770,000 towards the Moana Pasifika rugby team. Concerns have also been raised about contracting decisions and conflicts of interest by a Pasifika Futures senior executive. The review will examine funding plans and Outcome Agreements, conduct interviews with the agencies, and gather advice from public agencies and the Auditor-General on best practice use of public funding. It will report back on: However, the review cannot comment on the competence of individuals involved, "except to the extent this related directly to contract management, or determining any disciplinary matters". The two agencies' commissioning contracts expire today, with four new commissioning agencies beginning contracts on Tuesday. Te Puni Kōkiri policies not related to the review, and the contracts held with Te Pou Matakana, Pasifika Futures, or other agencies are also out of scope. Interim reports will be provided every week, starting this Friday, 4 July - and a final report will be delivered to the ministry for review and comment. The Secretary of Māori Development may then release the final report or a summary of findings. Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
RNZ News
2 hours ago
- RNZ News
Revealed: How much supermarket prices have gone up since 2022
Photo: RNZ Whether it is a block of butter or cheese, a kilogram of mince, a dozen eggs or a cooked chook, food prices have gone up rapidly. The latest Stats NZ figures show in the past 12 months food prices have gone up 4.4 percent - the highest increase since December 2023. Over the last three years Checkpoint has been tracking a weekly shop from the same suburb at a Woolworths and PAK'nSAVE supermarket to see just how much things have gone up at the checkout. Photo: RNZ / Louise Ternouth Some of the results are more eye watering than mouthwatering. For over three years, Checkpoint has been tracking the cost of 36 items likely to be in a household's trolley. In May 2022, our first shop at Woolworths Greenlane cost us $238 dollars and $217 at PAK'nSAVE Royal Oak. Today, those same items at Woolworths have shot up to $305 dollars - an extra $67 dollars at the checkout. PAK'nSAVE our shop, now set us back $270, an extra $53 dollars. Compared to our 2022 shop, seasonal vegetables like carrots and cabbage were cheaper. Other items that had come down slightly or stayed the same were Watties baked beans, plain flour, Mightyfresh wheatmeal toast bread and diced tomatoes. But they were mostly exceptions, most of the items on the shopping list cost more. Some shoppers told Checkpoint they have noticed an increase on some items in particular. "Olive oil is really expensive and eggs," said one shopper. "Dairy items I've noticed but even just general fresh fruit and vege." Photo: Jakub Kapusnak for Unsplash Others said meat was on the list. Unsurprisingly, dairy had one of the biggest jumps. At both supermarkets you still could not get a 1kg block of cheese for $10 or less. Though 1kg is now $1 dollar cheaper at Woolworths for $12.49. At PAK'nSAVE a 1kg block stayed much the same at $11.89. Two litres of standard blue top milk were sitting at just under $5 at both supermarkets. In 2022, a 500g block of Woolworths branded butter cost $5.80, now a whopping $8.50. At PAK'nSAVE it was a similar story, in 2022 it was $5.70 for a Pams 500g block, now $8.30. One shopper said their family uses a lot of butter and they were feeling the pinch, "It's been absolutely ridiculous it's almost $10." Others said they bought butter in bulk from Costco to save money "to buy cheaper New Zealand butter in bulk and freeze it rather than buying at the supermarkets." Shoppers queue for butter at Costco Westgate. Photo: Supplied/John Paul R. Bicerra A 50 box of Twinning's Earl Grey tea more than doubled in price at PAK'nSAVE to $7.89. As for a dozen barn eggs, those more than doubled at PAK'nSAVE to $9.59 and $9.50 at Woolworths. The humble beef mince now not so humble at 1kg used to cost $11.99 at PAK'n SAVE, now $18.99. At Countdown, it was up from $14.90 in 2022 to $23.80 now. For some, it is now a luxury among other items they are going without. "Probably meat products and dairy," said one shopper. Others were also leaving those products on the shelves and opting for a butter "blend" and no brand versions. One man said snacks were off the shopping list. "Snack bars and extra things you'd put into kids lunches." One woman said she had left her broccoli and cauliflower out of the shop. Washing and toiletry products also came out far more expensive. Four kilograms of Persil sensitive washing powder was $22 at both supermarkets in 2022, now an extra $13 at Woolworths and $6.50 more at PAK'nSAVE. Huggies size 3 nappies were an extra $10 at PAK'nSAVE and a litre of Palmolive body wash was an extra $5 at Woolworths. For those advising to stock up on staples or frozen to cut costs, rice, noodles, sugar and frozen vegetables - all more expensive. Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
RNZ News
3 hours ago
- RNZ News
Contact Energy seeks to dip deeper into Lake Hāwea
The view from a Department of Conservation Lake Hāwea walking track. Contact Energy has applied for Fast Track permission to lower the lake level from 338m above sea level to 330m under some circumstances. Photo: Supplied/ Department of Conservation Lake Hāwea residents are alarmed by a proposal that could dramatically shift their local shoreline. Contact Energy is seeking fast-track consent to lower the lake's minimum operating level from 338 metres to 336 metres above sea level - and, in extreme circumstances, drop it as low as 330 metres. The change would allow the company to draw an additional six metres of water from the lake during dry years - a move it said would boost renewable energy generation and help safeguard electricity supply when demand was high. Contact Energy lodged a referral application with the government on Monday, seeking to enter the proposal into the fast-track consenting process. The group Guardians of Lake Hāwea (GLH) has appealed to Contact Energy and local authorities to ensure the community has a say. GLH chairman Geoff Kernick told a Queenstown Lakes District Council meeting last week that the costs of such a change would be borne by the community and the environment. "We don't need to compromise our lake, and the community's access to aquifer water, in the interest of security of supply," he said. He said a significant drop in the lake level would be an "obvious" degradation of the outstanding natural landscape, and risked dust storms and harm to bore water supplies. "Contact have said in their initial proposal 'overall, it is considered the adverse effects of the project can be appropriately managed and mitigated.' We wholeheartedly disagree," he said. In a statement, Contact Energy's head of hydro Blair Croall said Contact had been exploring options to strengthen energy resiliency, amid a $2.3 billion investment in renewables. The proposal to lower Lake Hāwea at times of extreme need was "in the early stages," he said. Croall said communities were central to the company's decision-making. "We remain committed to open, transparent engagement with the communities in which we operate," he said. The company did not answer RNZ's questions about why it was seeking fast-track consent, or how it planned to ensure community input. Otago Regional Council confirmed Contact Energy had approached it for formal consultation on the proposal. Regional council environmental manager Joanna Gilroy said there'd been "a high level discussion on the proposal to change the operating levels of Lake Hāwea." "Until ORC has seen detailed information on what Contact Energy is proposing it is not possible to state which specific environmental or water management concerns, we may raise as part of our involvement in the process," she said. "Based on the discussions we have had to date we have signalled that they should consider impacts such as groundwater levels, lake levels and water quality. As we gain further understanding of the proposal and the technical information, other effects may also be raised." Queenstown Lakes District Council confirmed it had also met with Contact Energy staff this month, who ran council staff through their proposal and the reasons why they were seeking consent. "It is worth noting Contact Energy is not seeking any consents under QLDC's District Plan as all the consents they require stem from Otago Regional Council's planning documents. As such, any monitoring and enforcement of consent conditions - should an application be lodged and granted - would be within the jurisdiction of ORC." Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
