Small and medium-sized enterprise owners are split before the General Election, with support for the coalition parties falling below 50%, according to a new MYOB survey.
The survey of more than 500 small and medium-sized enterprise (SME) owners and decision-makers found that 36% expect to vote for National in the upcoming election, while 28% intend to vote for Labour.
For minor parties, Act and the Greens were tied at 7% of the SME vote, NZ First was on 6%, Opportunity at 4% and Te Pāti Māori at 1%.
Just under one in 10 SME owners and decision-makers were undecided.
On those figures, support for the combined right-bloc parties totals 49%, compared to 40% for the left bloc, assuming a coalition includes Opportunity.
'Contest is far from settled'
MYOB chief executive Paul Robson said more than a third of respondents said their party vote this election was likely to differ from their vote in 2023.
“This shift in voting intentions, including the gains among the current opposition parties, shows this contest is far from settled.
“There are more than 600,000 small businesses in New Zealand, and the business owners and the people they employ represent an important voter base,” Robson said.
“The country’s economic success relies on this engine room operating at its full potential, and it’s encouraging to see a greater focus on policy for small and medium-sized businesses across the political spectrum during this election campaign.”
MYOB’s pre-election polling has shifted notably since 2023, with Act’s support among SMEs halving from 15% to 7% while Labour’s almost doubled from 15% to 28%.
But heading into the election, economic confidence remains mixed, with 33% of SMEs expecting the NZ economy to improve in the next 12 months.
A quarter of respondents expect the economy to remain the same, with 38% expecting it to decline.
Election uncertainty was also affecting SME owners' confidence: 41% said it was worse, 35% were neutral, and only 16% were more positive.
With such uncertainty in the SME electorate, many were keeping a tight rein on finances, with 34% reviewing budgets and cash flow more carefully.
'A clear direction'
A third (33%) of respondents said they were reducing spending because of uncertainty; 29% said they were looking for new revenue opportunities, and 24% were more financially cautious.
Robson said while SMEs were taking action to drive sales activity over the next few months, their approach was balanced with caution.
“It’s not unusual to see businesses take a wait-and-see approach, particularly on bigger investments, in the lead-up to the General Election, and for now many are choosing to hold their position until there’s more certainty about what lies ahead.
“Once that clarity arrives, generally more businesses shift from holding steady to making the investments needed to grow as they head into 2027.”
With just over a month until the General Election, SME leaders have clear priorities for the next Government.
Reducing business compliance requirements and red tape, such as tax reporting deadlines and simplifying consents, topped the list (36%), alongside investment in regional infrastructure resilience (36%), including roads, internet connectivity and energy.
The sector also wanted action on tax and rates, with a third (33%) supporting a drop in the company tax rate to 25%.
Nearly a third (30%) wanted the ACC no-claims discount reinstated, while 28% supported a cap on council rates.
Robson said creating conditions for businesses to start, invest and innovate was crucial for NZ’s economic future.
“Like any longer-term vision, this needs to be balanced with practical action that removes roadblocks to productivity and supports businesses to succeed in the near-term.
“SMEs are looking for a clear direction, alongside practical measures that ease the day-to-day pressures of running a business. With that balance in place, local businesses can continue to grow, create jobs and support communities across New Zealand.”
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