Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Business Confidence Drops - Purposeful Planning Required

Business Confidence Drops - Purposeful Planning Required

A business confidence survey undertaken with almost 300 businesses in the Northland and Central North Island regions last week indicates confidence peaked in February. It suggests continuing high levels of confidence but there are some warnings. Tauranga Chamber chief executive, Dave Burnett, said that increased interest rates, difficulties finding staff with the right skills and cash flow issues all seemed to be creating a drag on what most had hoped was a recovering economy.

Key Findings:

A net 57% of firms believe general situation will improve over the next six months compared to the record 69% of this view in February this year.

30% of businesses are having difficulty finding the right employees with the right skills, an increase of 5% since February.

87% of respondents expect interest rates to rise over the next 12 months.

Firms surveyed indicated that for the next three months employment expectations were down along with hours to be worked; average selling prices were up but profitability predicted to decrease next quarter.

Commenting, Chamber chief executive Dave Burnett observed that a major concern had to be that at a time of growth firms are having difficulty recruiting people with the rights skills. Knowing we have an election ahead and that further hikes in interest rates are imminent, businesses need to be purposeful in their planning and should be thinking what actions might be required to maintain current levels of growth.

“We have managed the cost- cutting cycle well but need to focus now on how we manage growth,” he said.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Myrtle Rust: Infections Found At 26 Sites

The affected properties include private gardens, plant nurseries and retailers and an orchard. The stats stand at: 21 properties in Taranaki, 3 in Northland and 2 in Waikato. More>>

Burgers To America: BurgerFuel Opens In The USA

BurgerFuel Worldwide are excited to announce the opening of their first USA based restaurant in Indianapolis, hot off the back of the Indy 500. More>>

English On Budget: Businesses Over-Egg Corporate Tax Cuts

Cutting New Zealand's 28 percent corporate tax rate is "not a panacea in the way business groups sometimes market it," says Prime Minister Bill English. More>>

ALSO:

Auckland Port To Recapture Gas: Union Calls On Ports To Stop Spewing Methyl Bromide

The Maritime Union of New Zealand welcomes the decision by Ports of Auckland to stop releasing methyl bromide emissions into the air. The move to fully recapture the toxic gas after fumigation sets a new benchmark for industry best practice. More>>

ALSO:

Retail: Banks Shoes Calls In Receiver

Banks Group, which runs 14 stores across the country under the brands including Banks Shoes and Shoe Connection, has been tipped into receivership at the request of director John Bank. More>>

ALSO: