Ahead of the 2026 budget, industry leaders have asked the Government to prioritise retail and hospitality businesses and their economic growth.
Retail NZ has urged the Government to prioritise stimulating the economy and reducing the cost-of-living ahead of the 2026 Budget.
The Government has already announced several initiatives that are set to be funded in the upcoming Budget across a range of areas, including enabling businesses to access cheaper loans to reduce their dependence on gas.
But Retail NZ Chief Executive, Carolyn Young, said one of the key priorities for retailers this year is economic growth.
“We know the rising cost of fuel is already squeezing already tight margins for the retail sector, and the cost of essentials is continuing to go up for households,” Young said.
“The growing pressure on consumers’ wallets and declining confidence has been hitting retail hard, and we are hearing growing calls from our members for the Government to take measures to stimulate the economy and encourage people to spend in their local communities and high streets.”
With almost 30,000 retail businesses in New Zealand employing nine percent of the New Zealand workforce, Young added that the success of the retail sector is vital to the economy and the success of the country into the future.
“We would like to see that reflected in the Budget with a heavy focus on improving economic conditions.”
The quarterly Ipsos Issues Monitor has shown inflation/cost-of-living and the economy are two of the top three issues for New Zealanders, closely followed by fuel and unemployment.
“It is clear the general public holds similar views to the retail sector as to what are the biggest priority areas for the country right now. Helping to tackle cost-of-living and fuel pressures could go a long way towards improving the economy more broadly,” Young said.
“Additionally, we know there is a large proportion of young people who aren’t in education, employment or training. If the Government was to take measures to stimulate the economy, there would be greater opportunity to get these young people into work and become more active participants of the economy as well.”
