Decision Underscores Need for Dependable Funding 

Decision Underscores Need for Dependable Funding 
photo credit: https://www.americascup.com

Confirmation that Auckland is unable to proceed with a bid to host the 38th America’s Cup (AC38) in 2027 is a disappointing blow for the hospitality and accommodation sectors, and highlights the urgent need for sustainable, coordinated investment in events.

Hospitality New Zealand (Hospitality NZ) Chief Executive Steve Armitage said large-scale events play a vital role in supporting New Zealand’s economy, particularly for industries that rely heavily on visitor spending.

“Major events like the America’s Cup drive demand across the host city – from hotel bookings to restaurants, bars and cafés. The flow-on benefits touch almost every part of the hospitality sector, as well as many others,” said Armitage.

“These events often provide the added benefit of encouraging international visitors to travel to New Zealand and explore beyond the event’s immediate location. That has the potential to deliver economic benefits across the country, not just in the host city.”

Armitage said Auckland’s withdrawal from the AC38 bid highlights the wider need for a consistent and long-term approach to funding and supporting events in New Zealand.

“Hospitality NZ supports mechanisms like a bed tax in principle to fund events, but we’re not in favour of fragmented, region-by-region models that cause confusion and lack cohesion. We need a unified, national approach. Do it once, and do it right.”

He said a clear national strategy would provide councils, event organisers, and businesses with the confidence they need to plan, invest and grow.

“Without that certainty, our sector continues to operate in a highly unpredictable environment. That makes it harder to rebuild, harder to innovate, and ultimately, harder to realise the full potential of our visitor economy.”

Hospitality New Zealand represents more than 2,500 hospitality and accommodation businesses across Aotearoa, supporting world-class manaakitanga (hospitality). Its members span the food and beverage, accommodation, entertainment, tourism, and hospitality service sectors.

It provides members with the tools, resources, partnerships and knowledge they need to succeed. It advocates to ensure the industry’s voice is heard in government, shaping policies for a sustainable future.

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