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Canterbury Businesses to enter 2025 with optimism
Leeann Watson14 February 20252 min read

Canterbury Businesses to enter 2025 with optimism

Canterbury businesses have said they are entering 2025 with strong optimism for the future, according to Business Canterbury’s latest quarterly survey.

Click here for the summary document.

Business Canterbury Chief Executive, Leeann Watson says, "We're continuing to see improvement in business confidence, particularly around financial performance expectations."

"A net 57% of businesses anticipate stronger financial outcomes in the coming months, the highest level we've recorded since mid-2022. This is a great way to head into the New Year after what has been a particularly challenging year for business.

"Positivity about the Canterbury economy has reached an unprecedented 65%, almost doubling where it was last quarter, which was already a huge turnaround from a slump in May.

"The easing of inflationary pressures and stabilising interest rates have alleviated some of the key concerns for the business community.

"We are seeing a gradual improvement in consumer confidence, which is critical for businesses as they plan and act on growth strategies for the coming year.

"The survey also highlights a growing confidence among businesses in navigating disruption, with a net positivity of 57%, a significant increase from 20% in May.

"This resilience is a testament to the adaptability of Canterbury businesses. They've weathered challenging times, and some are now poised for growth.

"Business confidence was also buoyed by an increase in activity in the construction and building sectors which is positively affecting the economy.

"While the overall outlook is positive, some challenges remain. Concerns about cash flow are falling much more slowly than we would like to see, highlighting that we are still in an environment tight on cash with many businesses still having to make tough decisions in the lead up to Christmas and into the new year.

The top concerns for employers in December are (in order):

  • Consumer confidence and demand
  • Inflationary pressure and interest rates
  • Productivity and growth
  • Compliance costs
  • Cashflow and accounts payable/receivable

"We're not yet seeing high expectations from businesses about future investments, despite a record business confidence turnaround, with hiring and property, plant and equipment investment intentions still fluctuating and falling short of where they were a year ago. However, the overall trajectory is heading in the right direction.

"As we move into 2025, it's clear that Canterbury businesses are ready to embrace growth and innovation, and Business Canterbury remains committed to supporting its members through this period of economic recovery."

 


To learn more about the latest survey findings and insights, click here to read an article by The Press, including key information from our survey: "Most Canterbury businesses believe better times are ahead."

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Leeann Watson
Creating inspirational leadership and a culture of innovation for Business Canterbury and being a raving enthusiast for the city, region and our business community.

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