Canterbury businesses optimistic about future growth

Larcomb Vineyard owner Tom Lawson. PHOTO: GEOFF SLOAN

Business owners, including Tom Lawson of Larcomb Vineyard near Rolleston, are hoping for a stronger year in 2025.

Lawson said his business had a better summer than the previous year and expects an improved winter as well.

Lawson was one of 138 businesses to take part in the Selwyn District Council’s latest business survey.

The results showed 36% of businesses had increased investment since August, and 7% had expanded their staff.

Business Canterbury’s latest quarterly business survey also showed growing confidence among businesses in their ability to manage disruptions, with 80% reporting feeling confident – the largest increase since tracking began in July 2022.

Said Lawson: “Post the Covid hospitality slump, the downward curve has started to curve upwards.”

He said his staff numbers fluctuate seasonally, typically increasing in summer and reducing in winter.

“If I look at our numbers compared to last year, we are probably up 5% for the number of staff on the books in the summer months.”

Lawson noted there was also a larger number of applications from teenagers looking for work than he had seen before.

Renee and Gareth Joblin, owners of steel fabrication company Joblin Engineering, also saw business pick up in late 2024, leading them to hire two additional staff members.

“From August to December, we were definitely busier,” Renee said.

She noted that March had been a bit quiet but said that was normal as the end of the financial year approached.

Joblin Engineering owner Renee Joblin said they have been noticeably busier in recent months. PHOTO: GEOFF SLOAN

The Joblins moved their business from Rakaia, where it started in 2017, to Rolleston’s Izone industrial hub in 2020, recognising the town’s growth potential.

Six months ago, the Joblins also decided to move their family to Rolleston as well.

Economist Benje Patterson highlighted Selwyn’s strong economic performance, with 30% of businesses expecting to increase investment, 28% forecasting higher sales and 16% planning to hire more staff in the next six months.

“Selwyn businesses have reported better conditions than their counterparts across virtually every indicator,” Patterson said.

“Selwyn is one of the few districts in New Zealand to have experienced significant increases in employment over the latter stages of 2024 and start of 2025.”

Patterson said businesses’ increasing investment was a “vote of confidence” from the sector.

“If businesses are feeling a little bit more pessimistic when they potentially don’t have enough money from customers and a little bit worried about what the months ahead will bring, they are going to delay investment,” said Patterson, adding the same applies to hiring more staff.

“Around the country we are still seeing businesses shedding workers, and so the fact Selwyn businesses are in hiring mode at present is reassuring.”

Patterson said while overall sales activity was flat, it marked a major shift from the previous survey, where a net 28% of businesses reported declining sales.

Patterson said Selwyn is also outperforming Waimakiri and Christchurch.

“Canterbury as a whole is doing well against the rest of New Zealand, but even in that context of being in a region going well, Selwyn puts its head above the pack.”