Confidence Dips, but Growth Plans Keep Townsville Buzzing

The latest PVW Partners Business Confidence Survey shows a modest softening in confidence among local businesses heading into the first quarter of 2026, with the confidence index easing from 9.2 to 8.1.

While the result reflects a cautious outlook in the short term, the broader sentiment remains positive, underpinned by ongoing investment intentions and strong optimism for the region’s leadership and future growth.

The slight downturn has largely been driven by expectations of lower sales and employment, alongside the expected seasonal pullback in travel and entertainment spending following the peak Christmas period.

“Seasonal fluctuations are expected at this time of year,” said Sonia Chalk, Partner at PVW Partners. “What’s encouraging is that, despite some short-term caution, businesses remain forward-looking and are actively planning for future growth.”

Investment and Growth Intentions on the Rise

In a positive sign for the local economy, the survey revealed an increase in businesses planning to invest in capital expenditure, as well as greater spending on promotions and advertising. This suggests many operators are positioning themselves to capture future opportunities rather than retreating.

Despite the drop in the confidence indicator, overall optimism remains solid with the majority of respondents rating their outlook relatively high.  This reflects a confident and forward-looking business community.

Strong Support for New Mayor

The survey also highlighted overwhelmingly positive sentiment around Townsville’s new Mayor, Nick Dametto, with more than 94 per cent of respondents expecting a positive or very positive impact on the region.

Local businesses have highlighted several key priorities they hope will shape Townsville’s future, including reducing red tape, tackling crime, and improving budget management with greater transparency. They are also calling for stronger engagement between the Mayor’s office and the business community, particularly to support property developers and local entrepreneurs in driving sustainable growth across the region.

“Businesses are optimistic about the Mayor’s early momentum and strong capability,” highlighted Sonia Chalk, Partner at PVW Partners. “There’s genuine support for his leadership, but the real measure will be the tangible outcomes delivered over the coming months and years that make Townsville an even stronger place to live, work, and invest.”

A Cautiously Confident Outlook

While the survey reflects short-term caution, PVW Partners says the results point to a business community that remains resilient, optimistic and ready to invest.

“The message is clear: Townsville businesses are realistic about current conditions, but they remain confident in the region’s long-term prospects,” Sonia Chalk commented.