25 August 2026
Southland business confidence strengthens
Southland business confidence has rebounded, with the latest Southland Business Chamber Business Confidence Survey showing renewed optimism about the regional economy, investment and employment.
The August 2026 survey found 55% of businesses expect the Southland economy to strengthen over the next 12 months, up from 40% in May. Confidence in individual business performance has also improved, with 47% expecting stronger financial performance, while 71% plan to invest in property, plant or equipment and 59% expect to hire new staff.
Confidence in Southland itself remains particularly strong, with 95% believing the region is heading in the right direction.
However, businesses continue to face significant pressures. Rising operating costs were identified as the number one business challenge by 77% of respondents, followed by finding skilled staff and economic uncertainty, both at 33%. All respondents reported some impact from rising costs, with 44% experiencing a significant impact.
Global uncertainty is also being felt locally, with 75% reporting an impact on customer confidence, 46% on supply chains and 40% on import costs.
With the General Election approaching, businesses sent a clear message about their priorities for the next Government. Reducing the cost of doing business was the leading priority at 63%, followed by addressing skills shortages and reducing regulation, both at 33%.
Southland Business Chamber Chief Executive Sheree Carey said the results show a welcome improvement in confidence while highlighting the pressures businesses continue to manage.
“Southland businesses are showing renewed confidence and a willingness to invest, grow and hire, which is encouraging. At the same time, rising costs, skills shortages and economic uncertainty remain very real challenges.
“These results also give us a clear mandate for our advocacy. Businesses want practical action to reduce the cost of doing business and create an environment where they have the confidence to invest, employ people and grow.”
The August results show Southland businesses looking ahead with greater optimism, while continuing to demonstrate resilience in a challenging operating environment.
Read the full August 2026 Southland Business Confidence Survey results here.