Author: MIL-OSI Publisher

Source: Reader's Digest

QUALITY SERVICE AWARDS 2027

Research behind the 2027 Reader's Digest Quality Service Awards reveals that New Zealanders' highest praise goes to brands that make life easy, with AA Roadside Assistance taking out the highest overall quality service score in the country

Friendly people and a hassle-free experience are what win Kiwis over, according to independent research behind the 2027 Quality Service Awards, announced today. More than 1,400 New Zealanders rated 185 brands they had personally used, across 32 industries.

When consumers give a brand a higher score, the same things come up again and again: the experience was easy, quick and hassle-free, and the people were helpful and friendly.

“Kiwis are telling us that great service isn't complicated,” said Cameron Gentle, Director of Catalyst Research, which conducted the study. “The brands that scored highest make things easy, have people who are genuinely helpful, and sort things out when they need to. That is what earns loyalty, and it's what this year's winners do consistently.”

What great service looks like, in Kiwis' own words

How brands are scored: survey respondents rated only the brands they had personally used, evaluating them across five key measures — personalisation, understanding, simplicity, satisfaction and consistency.

While these custom-designed evaluation pillars are tailored directly by Catalyst Research for our independent consumer surveys, their foundation draws upon earlier service quality studies from Harvard University.

Consistency — the most common reason Kiwis give a top score. “Always” and “never had a problem” run through the comments more than any other phrase. An Auckland Mitre 10 customer put it in four words: “Consistent quality and reliable support.” A Wellington Mercury customer: “Great power company that always does what it says it will do.”

Simplicity — being easy to deal with. A Gisborne AA Insurance customer: “Very good service and easy to deal with on phone and online.” An Auckland AMI customer: “Excellent customer service. Long history. Easy claims process.”

Satisfaction — delivering what was promised. An Auckland Specsavers customer: “Love their services, customer service is always amazing. Additionally their products are great and they have a wide variety.” An Auckland Apex customer: “Good price, quality cars and awesome customer service.”

Understanding — mentioned least often, remembered most. A Canterbury State Insurance customer: “When the lady answered the phone and I explained that I had been in an accident, the first thing she asked me was 'are you alright?'” A Hawke's Bay Chem-Dry customer: “They cleaned a chair for me under difficult circumstances and were very kind.”

Personalisation — service shaped around the individual. A Hawke's Bay State Insurance customer: “Wonderful service, tailoring my policy to suit my contents.” A Waikato Specsavers customer: “The optician tailored eye tests and frame suggestions fully to my eyesight and lifestyle needs.” An Auckland Bridgestone customer: “They are really helpful and provide me with personalised service.”

“The strongest brands are not necessarily those that never make a mistake. They are the ones that respond well, communicate clearly and make customers feel that their business matters,” said Sheron White, GM of Publishing at Reader's Digest.

This year's standout winners

AA Roadservice achieved the highest Quality Service Score of any brand in the 2027 research, 83 out of 100, taking Gold in Roadside Assistance for the eleventh consecutive year. The AA was recognised in seven categories in all: Gold for AA Insurance in both Car Insurance and Home & Contents Insurance for the third year running, Gold for AA Health, and Silver for AA Life, AA Pet Insurance and AA Travel Insurance.

Specsavers celebrated double Gold, winning both Optometrists — its eleventh consecutive year at the top of that category — and Hearing Services.

Resene Paints has now won 11 consecutive Golds in Paint & Decorating Stores. G.J. Gardner Homes won Gold in Home Design & Build Services for the third consecutive year.

New World took Gold again this year in Supermarkets, its ninth win in the awards and a mark of consistent service in one of the country's largest and most competitive categories.

“What strikes me about this year's winners is how many have been recognised year after year,” said Algy Pereira, CEO of Reader's Digest. “Good service isn't a campaign you run. It's a standard you hold, through good years and hard ones, and Kiwis notice the brands that do.”

The full list of winners across all 32 categories is available at https://www.qualityserviceawards.co.nz/results. Winners will be celebrated at an awards event in Auckland on 22 October.

Notes to editors

• About the research: independent research firm Catalyst Research surveyed 1,417 New Zealanders aged 18+, using the Dynata research panel. In a first-stage survey, consumers named the brands they use, unprompted. Neither the organisers nor Catalyst choose which brands are included, and brands cannot pay to be nominated or to win.
• How brands are scored: respondents rated only brands they had personally used, on five measures: personalisation, understanding, simplicity, satisfaction and consistency. Each measure is scored 0–10 and combined into a Quality Service Score out of 100. Scores of 80 or more are rated Excellent, and 90 or more Sensational.
• Only customers can vote: at both stages, New Zealanders can only name and rate brands they have used themselves, so every score comes from real, first-hand experience. There are no expert panels, paid judges or algorithms, and no scraped online reviews.
• Research-led award integrity: the 2027 Quality Service Awards will recognise 70 Gold and Silver winners across 35 categories. Every winner is officially announced and published, with award results based solely on the research outcomes and not influenced by commercial participation.
• A fresh sample every year: the survey sample is refreshed annually, with previous participants excluded for three years, and categories are rotated so respondents are not fatigued.

About the Quality Service Awards

Now in their 13th year in New Zealand, the Quality Service Awards recognise the brands that deliver the best customer service, as rated by the New Zealanders who use them. The awards are commissioned by Reader's Digest, with the research carried out independently by Catalyst Research.

More of this year's winners

Additional winners are listed below for media wishing to cover a particular brand, category or region.

Mercury secured two Gold awards, for Electricity Providers and Internet Service Providers, alongside Silver for Gas Providers. Southern Cross received Gold for Life Insurance and Travel Insurance, as well as Silver for Health Insurance.

Several brands have now built remarkable records with New Zealand consumers. Harcourts has been recognised in Real Estate Agencies for 12 years. Bridgestone has taken Gold in Tyre Servicing Centres 11 times, Skinny has been recognised in Mobile Phone Service Providers for 10 years, BestStart in Early Childhood Centres and Princess Cruises in Cruise Operators for nine years each, Kings Plant Barn in Garden Centres for eight, and The Tile Depot has added a seventh Gold in Tiling Stores.

Summerset retained Gold in Retirement Villages and Flooring Xtra reclaimed the top position among Flooring Stores, while Chem-Dry won Gold for Home Maintenance. Other Gold winners included Milford (Specialist KiwiSaver Providers), NZ Seniors (Funeral Insurance), SPCA Pet Insurance (Pet Insurance) and Toyota Certified (Manufacturer Certified Car Sales).

Silver winners also delivered exceptional service, finishing as one of only two award-winning brands in their category. State Insurance took double Silver, in Car Insurance and Roadside Assistance, AMI was recognised in Home & Contents Insurance, Tony's Tyre Service in Tyre Servicing Centres and Pulse Energy in Electricity Providers. Apex and Busy Bees were named for the first time, earning Silver in Car Rentals and Early Childhood Centres respectively.

With just one Gold and one Silver awarded in each category, both are a significant achievement. Together, the 2027 winners show the brands New Zealanders single out for outstanding service across a wide range of industries.

What New Zealanders told us in this year's survey

“The audiologist was warm, friendly and very easy to talk to. We felt very comfortable and at ease.” — Canterbury, aged 70+, on their hearing service

“They anticipated my needs after the fire and it was less stressful knowing all the cleaning was being done.” — Southland, aged 50–59, on their home maintenance company

“They explain everything in lay people's terms.” — Northland, aged 70+, on their electricity provider

“Whenever I've had to make a claim they've been relatively easy to deal with.” — Wellington, aged 40–49, on their home and contents insurer

“Lovely staff in the hospital ward.” — Auckland, aged 60–69, on their retirement village

Source: Cotality NZ

New Zealand's housing market remains subdued, with property values continuing to edge lower month-on-month. Cotality NZ's latest Home Value Index (HVI) recorded a -0.3% fall in September, marking the sixth consecutive monthly decline. National property values are now -1.3% lower than a year ago, with the median value slipping to $797,078, below the previous cycle low recorded in June 2023.

While the nationwide trend remains soft, performance across the main centres was mixed in September. Kirikiriroa Hamilton rose 0.4% and Ōtautahi Christchurch increased 0.2%, while Ōtepoti Dunedin fell -0.1%, Tauranga declined -0.3%, Tāmaki Makaurau Auckland Auckland slipped -0.5%, and Te-Whanganui-a-Tara Wellington recorded the steepest fall at -0.7%.

Cotality NZ Chief Property Economist Kelvin Davidson said the latest figures reflect a housing market that continues to favour buyers.

“The housing market remains cautious, with buyers still holding most of the negotiating power. While many vendors are not being forced to accept significant discounts, purchasers continue to benefit from plentiful choice and little urgency.”

“Economic uncertainty remains a key factor weighing on confidence across the broader housing market.”

“As a result, sales activity remains subdued and value movements are patchy, although some provincial markets are proving more resilient than the larger centres.“

Long-term context provides perspective

Davidson said the focus on value falls since the market peak should be balanced against longer-term trends.

“The peak of the market remains highly relevant for those who bought at that time, but it's important to remember that only around 83,000 property transactions occurred during the second half of 2021 and first half of 2022, representing roughly five per cent of New Zealand's dwelling stock.”

“Over the past decade, national property values have increased by an annualised rate of 3.2%, with 16 markets recording average annual growth of at least 7%.”

“For many homeowners, the post-Covid peak was an unusually elevated period rather than the most meaningful benchmark. Looking across a longer horizon, property values have generally remained resilient.”

Tāmaki Makaurau Auckland

September was another subdued month for Auckland's housing market, with all sub-markets recording value declines. The falls in Papakura and Rodney were fairly small (-0.1%), but Franklin and Waitakere both dipped by -0.2%, with Manukau, Auckland City, and North Shore all declining by a more substantial -0.5% or more.

In the past year, the falls have been around -3% or more in Waitakere, North Shore, Manukau, and Auckland City, with the annual average changes in each of these markets over the past decade a muted 1.3% or less.

“In the most recent few years, Auckland’s property market has been restrained by a subdued economy, especially the services sector, and caution on the part of both businesses and households,” Mr Davidson said.

“But the longer-term changes help to illustrate the impact that a significant rise in housing supply can have on values and affordability. Annual average growth of around 1% in many parts of Auckland since 2016 is very low by past standards.”

“Of course, that has been presenting plenty of opportunities for purchasers, with first home buyers in particular faring very well lately.

Te Whanganui-a-Tara Wellington

It was a similarly subdued story across the wider Te Whanganui-a-Tara Wellington area in September, with property values down across the board.

Kāpiti Coast saw the smallest fall of -0.3%, but there was a drop of -0.6% in each of Porirua, Te Awa Kairangi ki Uta Upper Hutt, and Wellington City itself. Meanwhile, Te Awa Kairangi ki Tai Lower Hutt saw a sharper -0.9% decline.

Amongst these areas, Kāpiti Coast has also been the most resilient over a 12-month period (with a 0.0% change), while its 10-year average growth rate of 5.3% slightly surpasses Porirua and Te Awa Kairangi ki Uta Upper Hutt (both at 4.8%).

Mr Davidson noted, “Wellington has had its economic and property market challenges in recent years, especially with tight restraint on public sector spending tending to dampen activity in other sectors too.”

“But again when you look over a longer horizon, property values have still seen annual average increases of 4-5% in many parts of the wider region.”

Regional results

Looking at the next tier of areas around the country, the property value data for September also had a subdued tone.

Tāhuna Queenstown managed to notch a 0.6% rise, with Rotorua also edging higher by 0.1%. But many other markets saw monthly falls of at least -0.6%, with Ahuriri Napier and Whanganui declining by -1.0% apiece.

Rotorua, Tāhuna Queenstown, and Waihōpai Invercargill have been amongst the more resilient markets over a longer 12-month period, while Whanganui, Tairāwhiti Gisborne, and Waihōpai Invercargill have all seen strong annual average increases over the past decade of around 8%.

“Many of our regional centres, especially in the South Island, are seeing decent economic growth on the back of tourism and farming, with spillover support for their housing markets too.”

“However, even these stronger areas still face the same higher interest rates and election-related uncertainty, especially for property investors. This is illustrated by some patchy results in September.”

“Even so, the average changes over longer periods of 10 years highlight the general resilience we’ve seen in areas such as Southland and the regional North Island.”

Property market outlook

Housing affordability has improved significantly over the past several years, which should help limit further falls in property values. However, current conditions are unlikely to support a sharp rebound in prices.

Davidson said elevated mortgage rates, economic uncertainty and a high level of available listings are likely to keep a lid on value growth for some time yet.

“First-home buyers remain highly active and continue to benefit from favourable purchasing conditions, including improved affordability and greater choice.”

“At the same time, upgrading owner-occupiers are acting more cautiously and many leveraged investors remain on the sidelines.”

“Until labour market conditions and job security improve more meaningfully, sustained house price growth appears unlikely. At this stage, a return to consistently rising values still looks some way off.”

For more property news and insights, visit https://www.cotality.com/nz/insights.

Note to Editors

The Cotality Hedonic Home Value Index (HVI) is calculated using a hedonic regression methodology that addresses the issue of compositional bias associated with median price and other measures. In simple terms, the index is calculated using recent sales data combined with information about the attributes of individual properties such as the number of bedrooms and bathrooms, land area and geographical context of the dwelling. By separating each property into its various formational and locational attributes, observed sales values for each property can be distinguished between those attributed to the property’s attributes and those resulting from changes in the underlying residential property market. Additionally, by understanding the value associated with each attribute of a given property, this methodology can be used to estimate the value of dwellings with known characteristics for which there is no recent sales price by observing the characteristics and sales prices of other dwellings which have recently transacted. It then follows that changes in the market value of the entire residential property stock can be accurately tracked through time.

The detailed ‘frequently asked questions’ and methodological information can be found at: https://www.cotality.com/nz/our-data/indices

Source: Te Herenga Waka—Victoria University of Wellington

1 October 2026

It’s happening around the world—the over-extraction of groundwater is causing cities to sink. But new research shows this sinking problem can be reversed if groundwater resources are given time to replenish.

“Cities have learned the hard way that over-extracting groundwater contributes to land subsidence, increasing the risk of flooding and exposure to sea-level rise. In Aotearoa New Zealand, we know about 80 percent of urban coastlines are sinking and groundwater extraction could be among the contributing factors in some areas,” said Dr Jesse Kearse, an Earth scientist at Te Herenga Waka—Victoria University of Wellington.

Research by Dr Kearse and colleagues from Japan’s Kyoto University and the University of Southern California in the US has now shown this sinking isn’t necessarily permanent.

“Think of a gigantic water balloon beneath the city. When groundwater is pumped out, the ‘balloon’ deflates and the ground sinks. This can make coastal cities more exposed to sea-level rise as the climate warms.

“But when groundwater is replenished, the balloon re-inflates and the ground above rises. So, if we allow aquifers to replenish, we could help protect coastal areas from future sea-level rise,” he said.

The city of Osaka, Japan, provided an “outdoor laboratory” for the researchers to study this effect.

Osaka had high rates of water-take between the 1920s and 1960s, with groundwater levels dropping by 30 metres and land subsidence of more than 2 metres. Strict rules were subsequently put in place, limiting groundwater take.

In the decades since these rules were introduced, Osaka has seen groundwater levels recover, something that happens naturally when surface water seeps down into the ground, said Dr Kearse.

“We were able to use Osaka’s long-term water monitoring data, combined with satellite observations, to show there was a clear relationship between groundwater recovery and areas where the city is uplifting at rates of up to 12 mm a year. Our findings show that if underground water resources are replenished, cities can rise again.”

The researchers also discovered that areas of land uplift differed around the city, influenced by faultlines in the Earth’s crust.

“These faultlines can act like a dam, effectively stopping the flow of water and creating pockets where water builds up. This means water levels, and rates of land uplift, are comparatively higher in these areas.”

Importantly, different rates of uplift could signal the presence of undiscovered faultlines beneath cities, he said.

“In New Zealand, we’ve seen major earthquakes happen in areas—such as Christchurch—where we didn’t previously know there was a faultline. Where aquifers and faults coexist, as they do in Christchurch, land uplift could be a proxy to tell us there’s a faultline in the area, providing vital information for future land-use planning.”

The research is published in the journal Nature Communications Earth & Environment.

Research: Nature Communications Earth & Environment

Source: Health and Disability Commissioner

Aged Care Commissioner Erin James says Aotearoa New Zealand must ensure that longer lives are supported by systems that protect the rights, dignity, autonomy and wellbeing of older people throughout every stage of ageing.

“International Day of Older Persons recognises the valued place older people hold in our communities, and within families and whānau,” says Ms James.

“It also provides an opportunity to reflect on the issues and challenges currently facing older people.”

Ms James says this year’s theme The Age of Longevity: Rethinking Systems for Longer Lives, asks us to consider whether our systems and services have kept pace with the significant change in how long we are living.

“Increased life expectancy is a major achievement and gains in this area should be celebrated,” she says.

“But success cannot only be measured by the number of additional years that we live. We need to consider how those years are lived.

“The question must be whether our systems can support people to live those longer lives well.”

Ms James says an ageing population is often discussed in terms of increasing demand for health services and aged residential care.

“Planning for changes in demographics is necessary. However, older people must be valued for the significant contribution they make to our society and not simply seen as a pressure on services to be managed. Our systems must evolve to meet changing needs.

“Older people have rights, and rethinking systems for longer lives means starting with the person themselves and asking what they need to continue living well, with dignity, choice, connection and purpose.”

As we consider what changes need to be made to the aged care system to respond and adapt to a changing population, reform must be measured by what it means for the person receiving the care, says Ms James.

“There are important conversations underway about the future sustainability and design of our aged care system. We know that change needs to occur, but sustainability cannot be considered in isolation from quality, safety and the rights of older people

“Longevity should prompt us to think ambitiously about what a good later life looks like.

“We should not accept a lower expectation of dignity, safety, autonomy or quality care just because our system is under strain.”

Ms James says, as reforms continue to be considered and debated, older people must be included in these discussions.

“A society that values longevity, must also value the rights and voices of older people”, she says.

“Listening to older people, their families and whānau must be central to the way services are designed, monitored and improved.

“The opportunity presented by reform is to design a system that is sustainable because it works better for people, not because it delivers less.

“As Aged Care Commissioner my focus is on advocating for equitable access to safe, high-quality care for all older people in Aotearoa New Zealand, wherever that care is delivered.”

International Day of Older Persons: more information

Source: Quotable Value

Thursday, 1 October 2026

Construction costs have edged higher once again, despite a small reduction in the price of GIB and some other commonly used building materials.

QV CostBuilder’s latest update shows trade rates increased by an average of 0.2% in September, with a wide range of individual product movements pulling costs in different directions.

Most notably, the cost of plasterboard linings fell by 0.4%, driven by a 1.9% average reduction in GIB products. Plumbing and waterproofing costs went in the opposite direction, increasing by 0.8% and 1.6% respectively.

QV CostBuilder quantity surveyor Martin Bisset said the latest figures painted a mixed picture.

“GIB is one of those products that almost everyone knows because it’s used so widely in construction, so a price reduction there is welcome news,” he said.

“But this month is also a good reminder that construction costs almost never move neatly in one direction. While some products have come back, plenty of others are still getting more expensive.”

QV CostBuilder’s September update applied almost 11,000 current material prices to its construction cost database, resulting in 9,500 changes across Auckland, Hamilton, Palmerston North, Wellington, Christchurch and Dunedin.

Timber was a notable source of upward pressure in September. Structural timber increased by an average of 4.4% across the six centres, timber joists went up 5.2%, and interior and exterior grade plywood cladding increased by 5.6%.

Diesel prices also increased by 2.3% in September, although this was relatively modest compared with some of the movements seen earlier this year.

“Rather than one dominant cost driver this month, as we’ve often seen with diesel this year, we’re seeing a lot of individual products moving at once, both up and down,” Mr Bisset said.

“Some of the bigger increases are in timber and related products, which are used right across residential construction. So even when something as familiar as GIB gets cheaper, that doesn’t necessarily mean the overall cost of building is coming down.”

Mr Bisset said the broader picture remained one of relatively modest construction cost growth, even as activity in the sector showed signs of improvement.

Recent Stats NZ figures show construction activity increased by 2.7% in the June quarter, its largest quarterly rise since June 2023, with residential building contributing to the increase.

“We’re starting to see some improvement in construction activity, but that hasn’t translated into broad-based cost escalation,” Mr Bisset said.

“Cost pressures haven’t disappeared, but neither are they accelerating across the board. This month there are some genuine reductions mixed in with a fairly long list of increases.

“For anyone budgeting a project, that means it still pays to allow for movement rather than assume costs will stay exactly where they are.”

Other notable increases included some formwork rates (12.5%), fire retardant roof underlay and wall wrap (12%), gas water heaters (3%), and reinforcing mesh (2.6%).

QV CostBuilder is New Zealand’s most comprehensive construction cost database. It encompasses everything from building costs per square metre for warehouses, schools and offices, to the supply and install cost of more than 10,000 items, labour rates, labour constants, and more.

QV CostBuilder: costbuilder.qv.co.nz

Source: KOF Swiss Economic Institute

Zurich, 09/30/2026

The Swiss economy performed significantly better than expected in the first half of 2026. Together with upward revisions to the national accounts, this has led the KOF Swiss Economic Institute to raise its growth forecast substantially: real GDP excluding major international sporting events is now expected to grow by 1.9% in 2026 (summer forecast: 0.8%) and by 1.7% in both 2027 and 2028. Uncertainty remains high.

Despite the pressures from US tariff policy and elevated energy prices, the global economy has so far proved resilient. The Swiss economy also performed better in the first half of 2026 than expected in the summer forecast. The second quarter in particular surprised on the upside. In addition, revisions to the national accounts paint a significantly more favourable picture of past economic developments.

Strong first half shapes growth in 2026

Goods exports rose sharply in the second quarter, driven predominantly by pharmaceutical exports. Private consumption as well as construction and equipment investment also made positive contributions to growth. The expansion in industry was broad-based in the first half of the year: alongside the chemical and pharmaceutical industry, the other areas of manufacturing also recorded substantial gains.

Annual growth in 2026 is therefore largely determined by the strong first half of the year. The KOF Swiss Economic Institute expects a temporary pause in growth in the third quarter before the economy returns to moderate expansion in the fourth quarter. The output gap is likely to be almost closed at present. Over the remainder of the forecast horizon, aggregate output is also expected to remain broadly in line with its potential.

Investment picks up, consumption remains supportive

The new data paint a considerably more favourable picture of investment in particular. Both construction and equipment investment were revised sharply upwards for 2025. The recovery in construction investment continued in the first half of 2026, and the outlook for the coming quarters remains positive. Further growth is expected in both residential construction and construction for industry, trade and services.

Equipment investment, by contrast, was more subdued in the first half of the year. However, important leading indicators have recently improved: order backlogs and capacity utilisation in industry have increased, while firms' earnings situation has also improved. Overall, the KOF Swiss Economic Institute expects gross fixed capital formation to grow by 1.3% in 2026 and 2.7% in 2027.

Private consumption also supports domestic demand. Following a weak start to the year, it picked up again in the second quarter. Consumer sentiment has improved, retail sales have recovered and there are also signs of easing conditions in the hospitality sector. In addition, according to the new data, households' disposable income is significantly higher than previously assumed, providing additional scope for consumer spending.

Improved outlook in Europe supports foreign trade

The global economy remained robust in the second quarter despite heightened geopolitical uncertainty and higher energy prices. The euro area in particular performed better than expected. Sentiment indicators have also improved recently across many countries and sectors. The growth outlook for Germany has been revised substantially upwards. Over the remainder of the forecast horizon, the global economy is expected to expand at a moderate pace.

Following the pronounced fluctuations of recent quarters, Swiss foreign trade is also expected to normalise gradually. The improved outlook in important European export markets and signs of stabilisation in parts of the export-oriented manufacturing sector are underpinning this development. The machinery and electrical engineering industry in particular appears somewhat more resilient, while the pharmaceutical industry continues to provide important growth impulses. However, the burden from US tariffs and weak demand in some export markets remains.

Employment rises, unemployment remains elevated

Revised employment data and the unexpectedly strong second quarter paint a more favourable picture of labour market developments. Full-time equivalent employment is expected to increase by 1.5% in 2026, compared with just 0.5% in the summer forecast. However, the strong annual increase is largely attributable to data revisions and the robust first half of the year. Given mixed signals from labour market indicators, the KOF Swiss Economic Institute expects only limited job creation in the second half of the year.

At the same time, unemployment remains elevated. The KOF Swiss Economic Institute assumes that part of the recent rise in unemployment is structural and will therefore not be reversed by a cyclical recovery alone. The unemployment rate according to SECO is expected to average 3.1% in both 2026 and 2027 before edging down to 3.0% in 2028.

Inflation remains low – SNB expected to raise policy rate

Nominal wage growth is expected to weaken further through 2027. Given persistently low inflation, however, this should still result in modest real wage gains. Higher energy prices are temporarily adding to price pressures, but there have so far been only limited signs of second-round effects. The KOF Swiss Economic Institute expects inflation of 0.6% in 2026, 0.6% in 2027 and 0.5% in 2028.

The Swiss National Bank (SNB) left its policy rate unchanged at 0% in September. The KOF Swiss Economic Institute expects the SNB to raise its policy rate by 25 basis points at its next monetary policy assessment. The policy rate is then expected to remain unchanged over the remainder of the forecast horizon.

Uncertainty remains high

The forecast remains subject to considerable uncertainty. A further escalation of conflicts in the Middle East could disrupt energy supplies more severely and prolong the energy price shock. Renewed US tariff increases or weaker growth in important export markets could also weigh on the Swiss export economy. In addition, concerns about the sustainability of public finances in highly indebted economies could lead to higher risk premia and tighter financing conditions, thereby weighing on the global economy.

Upside risks could arise from an easing of geopolitical and trade tensions. If European investment programmes are implemented more quickly or utilised more fully than assumed, they could provide additional support to demand. A faster diffusion of artificial intelligence could also trigger additional investment and allow productivity gains to materialise earlier than assumed in the forecast.

KOF Economic Forecasts: official forecast page.

Source: Commonwealth Bank of Australia

The Commonwealth Bank has responded to the Reserve Bank of Australia’s cash rate increase.

30 September 2026

Following the Reserve Bank of Australia’s (RBA) decision to increase the official cash rate by 0.25% per annum (p.a.), CBA will increase rates by 0.25% p.a. on eligible variable-rate business loans.

The rate change will apply to CBA Business Bank’s Variable Base Rate, Commercial Variable Base Rate, Residential Equity Rate, Commercial Residential Equity Rate, Overdraft Reference Rate, and Commercial Overdraft Reference Rate, flowing through to eligible variable-rate business lending products including BetterBusiness Loans and Business Overdrafts.

These changes will be effective 9 October 2026.

CBA Group Executive Business Banking, Mike Vacy-Lyle, said the Bank remained focused on supporting customers as they navigate an uncertain operating environment.

“As inflationary pressures persist, many Australian businesses continue to face higher operating costs and tighter margins.

“We’re working closely with our customers to understand how these conditions are affecting them and where we can offer support. We encourage any business experiencing pressure to reach out early so we can work through the support options available, including assistance from our Business Financial Assistance team.”

Support for business customers

CBA offers a wide range of tools and programs to support business customers at every stage of their business journey. This includes:

• Free comprehensive cash flow tracking capabilities via a Business Cash Flow tool in the CommBank app.
• Bill Sense to help customers predict future bills.
• CommBank Business Masterclass modules help upskill businesses in the areas of AI and cashflow.
• Eligible business customers can also benefit from discounts and special offers available via CommBank Yello for Business, the bank’s customer rewards and recognition program.
• A range of support options are available for business customers experiencing financial difficulty, including deferred business loan repayments or debt restructuring.

More information is available on our website and businesses seeking support can speak to their Relationship Manager or call CBA’s dedicated Business Financial Assistance team, available 24/7, on 13 26 07.

Things you should know

Media releases are prepared without considering an individual reader’s objectives, financial situation or needs. Readers should consider the appropriateness to their circumstances. Visit Important Information to access Product Disclosure Statements or Terms and Conditions which are currently available electronically for products of the Commonwealth Bank Group, along with the relevant Financial Services Guide. Target Market Determinations are available here. Loan applications are subject to credit approval. Interest rates are correct at the time they are published and are subject to change. Fees and charges may apply.

CBA Newsroom

Source: Commonwealth Bank of Australia

Commonwealth Bank responds to the Reserve Bank of Australia’s cash rate increase.

30 September 2026

Following the Reserve Bank of Australia’s (RBA) decision to increase the official cash rate by 0.25% per annum (p.a.), CBA will increase home loan variable interest rates by 0.25% p.a.

All CommBank home loan variable rate changes announced today will be effective 9 October 2026.

CBA’s Group Executive Retail Banking, Angus Sullivan said the RBA’s decision comes amid persistent inflation and continued global uncertainty, both contributing to broader economic pressures.

“Each customer’s circumstances are different, and our teams are ready to provide support, help them understand their options and consider what might work best for their situation,” Sullivan said.

“For some customers, the immediate priority might be understanding how their repayments and budget may change and where adjustments can be made. For others, it may be having a more detailed conversation with us about their finances.”

Customers who are concerned about their financial circumstances can contact CBA through their usual banking channels. Those experiencing financial difficulty can also connect with CBA’s Financial Assistance Solutions Team, who can talk through their situation and discuss what support may be available.

For customers seeking greater certainty around repayments, a fixed rate home loan can provide stability for a set period, while a split loan combines this with the flexibility of a variable rate.

“Customers have different needs and goals, and we encourage anyone interested in understanding their options to speak with a Home Lending Specialist about what may be right for them,” Sullivan said.

Quick tips to help customers manage their finances:

1. Customers can estimate how much their home loan repayments may change via the Home Loan Repayments Calculator.
2. Eligible customers can align their home loan repayments to when and how often they are paid via the Home Loan repayment change tool.
3. Customers can explore the Insights tab in the CommBank app to get a clearer view of their money. They can view their spending, saving, bills and investing in one place.
4. Use Category Budgets to set weekly, fortnightly or monthly budgets for different categories of spending – from entertainment to transport, eating out and shopping. Customers can see how their spending compares to the budget they set themselves, to help them stay on track.
5. Use CommBank Yello to unlock additional benefits and support that can help eligible customers manage everyday household costs.
6. Visit our Lend a Hand page to view a range of tools, tips and guidance all designed to help navigate the current cost of living pressures.
7. If additional assistance is needed, customers can message us at any time in the CommBank app to be connected with our Financial Assistance Solutions Team.

CBA Newsroom

Source: Federated Farmers

Federated Farmers is applauding today’s decision by central Otago councillors to flush moves to spread treated human wastewater sludge on farmland at Lauder.

The option was being considered by Central Otago District Council (CODC) to deal with more than 20,000 cubic metres of sludge stored in geobags, and at the bottom of aeration ponds, at the Cromwell wastewater treatment plant.

“It’s heartening that councillors have heeded the anger and strong warnings from rural residents in Lauder and the wider Manuherekia catchment,” says Federated Farmers Otago president Anna Gillespie.

“The understandable motivation was to save ratepayers’ money in these tough times but that cannot be at the expense of the environment and water quality in a sensitive catchment.

“It was great to hear acknowledgement from Mayor Tamah Alley and Deputy Mayor Tracy Paterson that rural residents shouldn’t be expected to take the fall for waste generated in urban areas.”

Council officers warned of rural community fightback and potential for delays to the urgent programme of work to deal with sludge at both the Cromwell and Alexandra treatment plants.

There was also new information that the consent to spread wastewater sludge at the Lauder property might cover only half of what CODC needed to dispose of.

Potential savings for ratepayers had narrowed from $600,000 to $182,000.

Councillors decided to continue with the previous disposal method, transporting the sludge to a landfill at Winton.

“From the get-go Federated Farmers has questioned the science and modelling under-pinning the consent granted to spread effluent sludge from Wānaka and Albert Town at the former sheep and beef farm at Lauder,” Gillespie says.

“The prospect of more sludge from Cromwell and Alexandra was truly alarming.

“It’s pleasing to learn that Otago Regional Council is now reviewing those consent conditions in light of the points we’ve been making.”

Source: Advanced Robotics for Manufacturing Hub

BRISBANE, 30th September — Queensland manufacturers can apply from today for up to $250,000 worth of artificial intelligence work, built and delivered by Brisbane-based AI & Robotics for Manufacturing experts ARM Hub.

The Queensland Manufacturing AI Uplift Trial Program, open today, provides support directly from the Queensland Government for Flagship Projects. Delivery of the program will be through Brisbane’s ARM Hub, with multiple Flagship Projects anticipated for funding.

The Queensland government will cover 80 per cent of each project's total value, with up to $250,000 available for each project. ARM Hub engineers work directly with each business to identify the right AI use case, then build and deliver it.

“The best AI projects begin with the people doing the work and a problem worth solving. The AI Adopt Uplift program will bring their expertise together combined with business data, AI infrastructure and responsible AI to improve how things are made,” said ARM Hub CEO Professor Cori Stewart.

“The goal is to help Queensland manufacturers become more productive, meet their compliance obligations and compete more effectively.”

The program is open to Queensland manufacturers with between five and 500 full-time equivalent staff. At least half those staff must work in Queensland, and the business must have operated in the state for at least two years.

Launching the program, Queensland Minister for Natural Resources and Mines, Manufacturing and for Regional and Rural Development Dale Last said: “We’re backing manufacturers that are ready to adopt AI to improve productivity, boost competitiveness and grow their businesses.”

At least one of the Flagship Projects will go to a business in regional Queensland, defined as anywhere outside Greater Brisbane.

How to apply

Applications will stay open for four weeks, with expressions of interest closing at the end of October. Businesses should outline their operation and where they think AI could help on the information page.

ARM Hub will work with shortlisted companies to build a roadmap scoping what an AI project would deliver, at no cost to the business.

A joint panel of ARM Hub and Queensland Government representatives assesses the roadmaps and selects the Flagship Companies, with winners expected to be announced in early 2027.

ARM Hub delivers and administers the program on behalf of the Queensland Government, through the Department of Natural Resources and Mines, Manufacturing and Regional and Rural Development. ARM Hub is the National AI Centre's AI adoption delivery mechanism for Australian manufacturing.

Full program guidelines and eligibility criteria are available here.

About ARM Hub

The Advanced Robotics for Manufacturing Hub is one of Australia's four government-backed AI Adopt Centres. Based in Brisbane, ARM Hub partners with manufacturers, SMEs, researchers, and technology companies to drive innovation and productivity through advanced automation and AI solutions.