Local Business Confidence Climbs to Highest Level in Three Years

Confidence in the Townsville business community continues to rise, with the latest PVW Partners Business Confidence Survey revealing the highest index result in three years.

Now in its 33rd year, the survey’s September quarter findings show a 1.4 point lift to 10.3, signalling strong optimism across the region’s economic landscape.

Sonia Chalk, Partner at PVW Partners, highlighted that the jump in confidence is largely being driven by an expected lift in consumer activity.

“We’re seeing businesses expecting stronger sales largely fuelled by increased discretionary spending in areas like travel, entertainment, and advertising. That uptick in activity is expected to  translate into a surge in sales for the months ahead,” explained Sonia.

Long-term confidence also continues to build, with the survey pointing to a strong expected increase in capital expenditure. Business owners are looking ahead with greater certainty, as expectations of interest rate cuts and more affordable loan conditions boost plans for expansion and investment.

“The prospect of rate relief and improved access to capital is encouraging businesses to start planning for growth again. That shift in mindset is a real positive for our local economy,” Sonia noted.

Sonia believes that the resilience and optimism shown by regional businesses should not be underestimated.

“What we’re seeing is the strength of local business owners who continue to back themselves, even in a changing national landscape. There’s real momentum building, and it's being driven by people who are deeply invested in their regions and ready to make bold moves,” Sonia emphasised.

“What’s also clear is how quickly businesses are adapting. They’re agile and responsive to economic shifts, which positions them well to seize opportunities as they arise.”

Despite these positive trends, the survey's special question this quarter revealed an undercurrent of political dissatisfaction. Two-thirds of respondents said their business is either no better or worse off under the Albanese Government, citing a lack of confidence in federal support.

“While confidence in our local economy is improving, it’s clear that many business owners feel their progress is happening in spite of, not because of, federal government support,” Sonia remarked.

Now entering its 33rd year, the PVW Partners Business Confidence Index remains one of the longest-running independent economic indicators in regional Queensland, capturing the sentiment and expectations of businesses of Townsville.