They said thrive in '25, but for most people it's been a case of survival. Will the spending start in 2026?

If you’ve been feeling a bit hesitant about making a big purchase lately, you’re not alone. Across Aotearoa, there’s a noticeable shift in how people are spending—or rather, not spending. Whether it’s upgrading the car, buying a new home, splashing out on a boat, or booking that dream overseas holiday, many Kiwis are choosing to hold off. And it’s not because we don’t want these things—it’s because the world around us feels a bit uncertain right now.

Between political changes, economic ups and downs, and global instability, it’s no wonder people are pressing pause. The headlines have been full of talk about rising unemployment, shifting government priorities, and debates that touch on everything from infrastructure to constitutional reform. It’s a lot to take in, and when the future feels unclear, most of us naturally lean toward caution. Even with interest rates coming down and some signs of recovery in the housing market, the overall mood is still a bit wary.

For families, this uncertainty hits close to home. Big decisions like buying a house or upgrading to a larger one suddenly feel more complicated. Will prices go up or down? Will job security hold steady? These are the kinds of questions that make people think twice before signing on the dotted line. The same goes for cars and boats—luxuries that, while exciting, come with long-term financial commitments. And as for travel, many are choosing to explore closer to home rather than risk the unpredictability of international plans.

But here’s the thing: this cautious approach isn’t a bad thing. In fact, it’s a sign of resilience. Kiwis are known for being practical and grounded, and right now, that mindset is helping people navigate a tricky time with care. Instead of rushing into big purchases, many are focusing on saving, paying down debt, and making sure their financial foundations are solid. It’s about playing the long game—waiting for the right moment rather than forcing it.

The good news is that there are still groups confidently spending in 2025. Younger generations—especially Millennials and Gen Z—are leading the way in lifestyle spending, snapping up tech, fashion, and wellness products, often using flexible payment options like Buy Now, Pay Later. They’re drawn to brands that reflect their values, such as sustainability and ethical sourcing. Meanwhile, everyday spending remains steady in areas like groceries, dining out, and home comforts, with families investing in appliances and furniture to improve their living spaces.

Some savvy buyers are even taking advantage of quieter markets to negotiate better deals on homes and vehicles. With household disposable income still relatively strong, many are choosing to spend thoughtfully—focusing on quality and long-term value. So while the mood may be cautious overall, there’s still movement, especially among those who see this moment as a chance to invest wisely and live well.

But here’s the silver lining: times like these can also bring unexpected opportunities. With fewer buyers in the market, those who are ready to make a move—whether it’s buying a home, a car, or even starting a new business—might find better deals, more negotiating power, and less competition. Builders, sellers, and service providers are often more flexible during quieter periods, which can work in your favour.

And for those who are saving and planning carefully, this could be the perfect time to lay the groundwork for something big when the tide turns. History shows that markets do bounce back—and when they do, those who stayed calm, prepared, and optimistic are often the ones who come out ahead. So while it’s okay to hold back now, it’s also a great time to get ready for what’s next.