Industry welcomes Hospitality Sector Review findings
Groups across the hospitality industry are welcoming the findings of the newly released Hospitality Sector Review, which is recommending a raft of changes to improve rules and regulations for businesses.
Minister for Regulation David Seymour and Minister for Tourism and Hospitality Louise Upston say these recommendations will make it easier and cheaper for hospitality businesses to open and operate.
The Ministry for Regulation undertook the review following a report from the 2024 Hospitality Summit that said outdated, overlapping and confusing rules were holding back business growth.
It examined the regulation of restaurants, bars, cafes, food stalls at markets, food trucks, catering businesses, and hotels and found that while hospitality rules and regulations generally protect public health and safety, they can be costly, complex and slow - especially for food safety, alcohol licensing, fees, information sharing and decision timeframes.
It has made 24 recommendations, including streamlining alcohol licensing processes, simplifying food safety requirements, improving information sharing and making fees more transparent and risk-based.
“Now, we’re fixing those problems,” says Mr Seymour. “In the coming weeks Ministers will be deciding which recommendations to accept, and the next steps.”
"As several of the recommendations highlight, hospitality issues often span multiple portfolios and agencies,” adds Louise Upston. “That is why I will develop a Hospitality Action Plan to provide a coordinated framework for priority hospitality initiatives across government.
“I intend to continue working in partnership with the sector to remove barriers to growth, support businesses and workers, and ensure hospitality can thrive as part of a growing New Zealand economy.”
Spirits NZ, the Brewers Association, and Hospitality New Zealand have all welcomed the report’s recommendations.
BANZ Executive Director Dylan Firth says the Review's findings on licensing confirm what members have been telling the Association. “Our members and their customers have been saying for years that getting and renewing an alcohol licence takes too long and costs too much, for very little extra benefit in reducing harm.”
Spirits NZ CEO and World Spirits Alliance President, Robert Brewer, says the review shows that the regulations governing hospitality are getting in the way of a healthy, sustainable sector. “The review has found that the alcohol regulatory system is not functioning effectively, efficiently, or proportionately, and that its design and day to day practice impose unnecessary costs on hospitality businesses.
“The nine recommendations relating to the alcohol regulatory system are a positive step forward as they not only acknowledge some of the systemic failings of the current system but propose realisable solutions.”
Kristy Phillips, Hospitality NZ CEO, says: “The Review reflects concerns we have highlighted through both our involvement in the review and the views expressed in the two Hospitality Summit reports released to date.
“In particular, consistency in decision making is an important principle for hospitality businesses that are working with regulators. The release of the Review is an important step in the right direction for hospitality. If implemented, we believe the recommendations will help improve certainty for hospitality businesses, and support better growth and investment decisions.
“The next step is turning these recommendations into tangible changes that will best support our industry.
W: See the full report ‘Hospitality Regulatory Review – Final Report’
