You may be aware that the Government has announced its intention for the work-based learning divisions of Te Pūkenga, which includes ServiceIQ, to temporarily transition to new Industry Skills Boards, upon their establishment on 1 January 2026.

Within two years, work-based learning is required to transition out into a new format – and industry and employer voice is a key factor in determining how this will look.

What’s Changing by 2026?

• Te Pūkenga and workforce development councils (WDCs) will be disestablished: The mega-polytechnic structure will be disestablished. From 1 January 2026, a new system will take effect.
• Industry Skills Boards (ISBs): These will be set up from 1 January 2026 and will be statutory standard setting bodies. They will be responsible for developing qualifications, endorsing programmes and moderating assessments over key industry sectors. They will also have a workforce analysis function for their sectors and provide investment advice to the Tertiary Education Commission.
• ServiceIQ’s current structure as part of Te Pūkenga’s Work-Based Learning (WBL) division will transfer under ISBs for up to two years beginning 1 January 2026.

It is important to note that ServiceIQ will be continuing to deliver training and enrolling new trainees and apprentices in 2026. (Please continue to work with your ServiceIQ sector advisor to sign up new trainees and apprentices.)

While there is a 2-year transitional period, it is important that industry and employers are starting to think about what their future of work-based learning needs are and how this might best be delivered.

Key options include:

• Industry collaborates to establish and own a new Private Training Establishment (PTE) to deliver the ServiceIQ work-based learning programmes.
• An existing Private Training Establishment acquires ServiceIQ and either fully absorbs or retains the ServiceIQ identity and delivery.
• An Institute of Technology or Polytechnic (ITP) acquires ServiceIQ which operates as a business division of the ITP.

The Restaurant Association has been engaging with ServiceIQ on the key options and ServiceIQ has also been holding engagement sessions to discuss these options at a high level and gain insight on a preferred direction of travel. If you would like to talk with ServiceIQ about these options and your views on the future direction of ServiceIQ, please contact Clare Savage at clare.savage@serviceIQ.org.nz.

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Further information:

• https://www.beehive.govt.nz/release/better-path-apprentices-and-trainees

• https://www.education.govt.nz/our-work/strategies-policies-and-programmes/tertiary-and-further-education/redesign-vocational-education-and-training-system?utm_source=chatgpt.com

• https://www.serviceiq.org.nz/news/news/serviceiq-government-announcement-for-work-based-learning-divisions

• https://ringahora.nz/future/

Winter’s grip is starting to loosen, and before we know it everyone will be talking about spring menus and outdoor dining like it’s breaking news. Instead of being part of the September scramble, take your time to get sorted now and you’ll be a step ahead.

The breakfast and brunch opportunity

As the weather improves, Spring mornings bring out the weekend warriors, the early dog walkers, the “let’s grab coffee somewhere nice” crowd. Think of ways to maximise the opportunities to attract these early morning diners – these are often your regulars coming out of winter hibernation, eager to rebuild those weekend habits they’ve been missing.

Beyond the obvious outdoor prep

Your outdoor space refresh checklist: Yes, clean the tables and check the umbrellas – but while you’re out there, think about whether you are maximizing all of your outdoor dining opportunities. Refresh your memory on the space in Spring at different times of day: where does the morning sun hit? Which corners stay calm when the wind picks up? While Spring weather is still changeable, do you need to invest in those heaters you’ve been meaning to purchase? Source them now and you might have the best choice of stock and reasonable prices (check out RA partner, Bunnings, for options).

Quick outdoor audit:

• Plan storage for cushions, blankets, and weather protection
• Test all furniture stability after winter weather
• Check drainage – spring rain reveals every pooling problem
• Assess wind barriers and natural shelter points
• Consider sight lines from inside to outdoor diners
• Review outdoor lighting that will be in use for those longer Spring evenings

Sound strategy matters outdoors. That playlist that works perfectly inside becomes background noise in an open space. Spring outdoor dining needs a soundtrack that carries without overwhelming conversation.

Booking behaviour shift

Spring may trigger an urge to dine out more frequently again, but if you take reservations expect Spring bookings to be more spontaneous than Summer ones. Spring dining is often “it’s a nice day, let’s do something special.”

This means your booking system needs to handle last-minute requests gracefully, and your staff need to be top of their game at juggling walk-ins with existing bookings.

The community connection window

Winter isolates people; spring reconnects them. Watch for the subtle changes – longer conversations at tables, groups lingering over coffee, people choosing communal seating over corner booths. Your space can either facilitate these reconnections or miss them entirely. Small adjustments to layout and service style can make all the difference.

Cash flow reality check time

Unless you are in one of Winter’s hot spots, you’ll be hanging out for Spring’s busier months, but you can also be facing higher costs – increased wages as you grow your team size up again, marketing pushes, maintenance catch-up. Build these increased costs into your pricing and cash flow planning now, before you’re in the thick of it and making reactive decisions.

The technology tune-up

Now’s the time for a tech health check:

• Update all software and clear out old data that’s slowing things down
• Make sure your EFTPOS system is still processing restaurant gift cards. Did you move terminals around over Winter, as this may have an impact — the last thing you want is to discover an issue on a busy night. If you’re unsure, get in touch with the Association.
• Run stress tests on your POS during a busier service
• Review your booking system’s peak-time performance
• Security system review – are your security cameras working as they should? Check your backup systems as Spring’s increased activity means more security risks

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Get ahead now

Start your prep now, then while everyone else is reacting to the first warm weekend, you’ll already have your outdoor spaces optimized, your team trained, and your systems ready. These Spring preparation checks aren’t about doing everything – but about tackling key things that actually matter before the rush hits.

We’ve been alerted of an investment scam doing the rounds that’s allowing scammers to gain access to people’s phones.

An investment scam warned about by the Financial Markets Authority is encouraging people to download apps which require them to turn off their phone settings that prevent unsupported apps and software being installed.

What’s Happening

Scammers are setting up a series of WhatsApp groups. These appear popular, but are mostly filled with bots. They are sending bulk messages inviting people to join the WhatsApp groups. In these messages, the scammers often falsely claim to be an employee of a New Zealand bank, investment firm, or other financial service provider and share information about investment opportunities.

People are encouraged to invite new recruits (often friends or family) and they receive rewards for each person they recruit.

New Zealanders are being encouraged to download apps which require them to turn off their phone settings that prevent the installing of untrusted apps and software.

What this means

Allowing the installation of untrusted apps onto your phone could give a stranger full access to your phone. Access could include remotely accessing your phone to control your camera, send messages and record conversations, install further applications, steal your personal (including contact list/messages)and banking information and view your images.

What to look for

Be wary of any app which requires your settings to be changed to install something.

Anyone asking you to turn on settings that allow for the installation of apps from unknown sources. These settings could look something similar to:

• ‘Install unknown apps’
• ‘Allow unknown sources’

Anyone asking you to install apps that do not come through official app stores eg: Google Play Store and iOS App Store. This could for instance could be someone asking you to install an app by scanning a QR code, clicking a link, or from a file they’ve shared in a group chat.

What to do

Prevention:

• Don’t turn on or allow your phone to install unknown apps. These will be disabled by default when you buy your phone.
• Don’t allow anyone else to change settings,
• Don’t let anyone convince you to change settings.

Mitigation

• Back up important documents into a safe offline storage
• Factory reset your device in your phone settings
• Change the passwords on the reset device or on a known safe device.
• Check to see if there’s any devices that don’t belong to you logged in, in the account settings of the account (eg: Facebook). If there is, log out any devices you do not recognise.
• Turn on two-factor authentication

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If you think you have been affected or if you have been given a link/copy of a QR code, report to the National Cyber Security Centre (NCSC).

August 2025

Tēnā koe,

Restaurant Association of New Zealand submission on the Employment Relations Amendment Bill

The Restaurant Association of New Zealand (the Restaurant Association) welcomes the opportunity to provide feedback on the Employment Relations Amendment Bill (the Bill).

Since 1972, the Restaurant Association has worked to offer advice, help and assistance in every facet of the vibrant and diverse hospitality industry, covering the length and breadth of the country. We’re passionate about our vibrant industry, which is full of interesting, talented and entrepreneurial people.

The Restaurant Association supports the intent of this Bill, which seeks to give businesses the confidence and support to grow, hire, and innovate; as well as reducing compliance requirements and associated costs – particularly as they relate to small-to-medium-sized businesses. 

Providing greater certainty for contracting parties 

The Restaurant Association acknowledges the intent of supporting greater labour market flexibility by providing certainty for contracting parties, however we are concerned that the amendments proposed in subpart 1 of Part 1 of the Bill only defines a specified contractor as a natural person (person A) entering into an arrangement to perform work for another person (person B). This clarifies contracting arrangements when it comes to ridesharing services (where there are only three parties — person A, person B, and the service user), however, we would like to see greater clarity that excludes product providers (e.g. restaurants in the case of food delivery services) from any role in the employment of a specified contractor.

It is our position that restaurants who opt to use food delivery services like Uber Eats or Delivereasy are requesting a service to be provided by person A and person B, rather than engaging in a contracting relationship, and this should be clear in legislation to avoid any doubt.

Strengthening consideration of and accountability for employee’s behaviour in personal grievance process 

The Restaurant Association strongly supports the proposed changes to personal grievance remedies. We have heard countless times from our members that, even when an employee is at fault and is dismissed for actions such as theft or harassment — both considered criminal offenses in many cases — it is the employer, not the perpetrator, held liable to pay thousands of dollars in remedies. 

The Restaurant Association recognises that it is a minority of employees that try to game our employment relations system — just as it is the minority of employers who need to be held accountable for genuine grievances caused. However, our employment relations system has become hyper-focussed on building up processes and penalties that try to weed out the minority of bad employers, which have in effect negatively impacted the vast majority of employers who follow the law, while simultaneously refusing to take any effort to ensure that employees are held accountable for their actions when required.

The Restaurant Association believes that these proposed changes will help to rebalance the employment relations system, which is long overdue and will in our opinion help to prevent further frivolous personal grievance complaints being made.

Wages and salary threshold for unjustified dismissal personal grievances 

While we support the intent of the amendments proposed in subparts 3 and 5 of Part 1 of the Bill, the Restaurant Association has long held the view that across regulation, using wage and salary rates to define seniority is an arbitrary measure of seniority that does not adequately give effect to the desired policy outcomes. 

We understand that the proposed amendments are intended to remove the ability for personal grievances for unjustified dismissal to be raised for employees earning above a certain threshold (in this case, above $180,000 per annum), however we submit that a more suitable measure against which to remove this ability is to define seniority in legislation to ensure that equivalent roles are treated similarly, regardless of industry.

Revocation of 30-day rule and reinstatement of related information requirements from 2015–19 period 

The Restaurant Association supports the amendments proposed in subpart 4 of Part 1 of the Bill, which will remove the administrative requirements placed on employers. It is not a business’ responsibility to manage the administrative, recruitment and engagement functions of a union — that responsibility rests with the union itself. In our view, these proposals will require unions to engage more collaboratively with employers, rather than demanding information from a business without any course for the protection of employee information.

Thank you for the opportunity to provide feedback on the Employment Relations Amendment Bill. We would be happy to discuss any part of this submission in more detail, and to provide any assistance that you may require.

Ngā mihi nui,

Marisa Bidois

Chief Executive

Restaurant Association of New Zealand

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Read the content of the Employment Relations Amendment Bill here.

More submissions by the Restaurant Association can be accessed here.

Key Points:

• Government has announced new seasonal work visa pathways but largely excludes hospitality roles
• Visa launch delayed to December 8th, creating more uncertainty for summer planning
• Hospitality faces workforce shortages heading into peak summer trading period
• Ongoing immigration policy concerns remain unaddressed

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Hospitality business owners have been holding their breath for some good news about workforce solutions. Unfortunately, the Government’s announcement about new seasonal work visa pathways isn’t delivering the relief our industry desperately needs.

The new Global Workforce Seasonal Visa (GWSV) is an up to three-year visa for highly experienced seasonal workers in roles such as rural contracting, sheep scanning, winemaking, and snow instruction. It enables skilled workers to return for subsequent seasons on the same visa. The Peak Seasonal Visa (PSV) is a visa of up to seven months for short-term seasonal roles such as meat and seafood processing, calf-rearing, and wool handling.

With these new Visas largely excluding hospitality, the Association, alongside our members, is feeling frustrated that our industry has again been sidelined when it comes to immigration policy.

Summer is approaching, staffing headaches remain

As we prepare to gear up for what should be our biggest trading period of the year, the exclusion of hospitality roles from the new seasonal visa pathways feels like a significant missed opportunity.

As summer arrives, we can expect a surge in visitor numbers and locals eager to make the most of outdoor dining and seasonal hospitality experiences. No operator wants to be scrambling for staff during their busiest period. The seasonal nature of our peak trading makes hospitality a natural fit for seasonal visa schemes, yet the Government hasn’t recognized our sector among those needing support to fill critical roles when New Zealand workers aren’t available in sufficient numbers.

We’re also unsure why the launch date for these new visas has been pushed to December 8th. For employers, this is well into the busy season when you would need your team locked and loaded, not still trying to navigate visa applications.

The bigger picture problems

This latest setback highlights something the Restaurant Association has been advocating about for some time – our immigration policy settings just aren’t working for hospitality.

The reality is that many hospitality businesses rely heavily on seasonal workers to meet customer demand, especially during summer. Local workers alone often can’t fill the gap, particularly for the volume of roles needed during peak periods.

What are the solutions?

The Restaurant Association is pushing for concrete solutions:

• We would like to see Immigration New Zealand expedite the review of the Accredited Employer Work Visa (AEWV) scheme, particularly with respect to the tiered accreditation system, which remains under review.
• We would also like to see an update on the Skilled Migrant Category Resident Visa and clarity around the consultation process for the Skilled Migrant Category review.

While the Association continues to advocate for workforce solutions that support our industry, the immediate reality for many hospitality operators is another challenging summer ahead. We urge the Government to give equal attention to the workforce needs of the hospitality industry and remain committed to collaborating with the Government to ensure that the industry’s workforce needs are addressed. In the meantime, we will continue to advocate for immigration policies that allow businesses to thrive while prioritising job opportunities for New Zealanders.

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Read the Government announcement about the new Global Workforce Seasonal Visas here.

Media release

The Restaurant Association has expressed disappointment at the Government’s announcement regarding the new seasonal visa pathways, noting that the hospitality sector has been largely excluded, leaving the industry to contend with ongoing workforce shortages during the critical summer season

“While we acknowledge the introduction of these visas as an important step for some industries, it is troubling that the hospitality sector has been largely excluded from these provisions,” said CEO Marisa Bidois.

“Our industry has been advocating for solutions to address critical workforce shortages, and the exclusion of roles within hospitality from these seasonal visa pathways, particularly as the country enters the busy summer trading period, is concerning. The lack of recognition for the diverse needs of the hospitality sector highlights the ongoing challenges we face in recruiting and retaining skilled staff.

“We are particularly disappointed that the new visas, scheduled for launch on November 1^st, will now not be available until December 8^th adding further uncertainty to our industry’s planning for the peak summer season.”

“The Restaurant Association has raised immigration policy settings as a top concern for members in recent years. We have been actively engaged with officials to review our workforce needs and priorities within the immigration system. Despite these efforts, we are yet to see meaningful progress on addressing key issues that directly impact our businesses, including the upcoming expiration of several key visas and the broader policy review.

“While we understand that the new visa pathways are designed to support certain industries we urge the Government to give equal attention to the workforce needs of the hospitality industry. Many of our businesses rely on a seasonal workforce to meet customer demand, especially during summer, and are facing significant challenges in filling these roles with local workers.

“In light of this announcement, we would like to see Immigration New Zealand expedite the review of the Accredited Employer Work Visa (AEWV) scheme, particularly with respect to the tiered accreditation system, which remains under review. We would also like to see an update on the Skilled Migrant Category Resident Visa and clarity around the consultation process for the Skilled Migrant Category review.

“We remain committed to collaborating with the Government to ensure that the hospitality industry’s workforce needs are addressed. In the meantime, we will continue to advocate for immigration policies that allow businesses to thrive while prioritising job opportunities for New Zealanders.”

5 August 2025

Hon. Scott Simpson
Minister of Commerce and Consumer Affairs
Parliament Buildings
Wellington

Tēnā koe Minister Simpson

Hospitality industry response to the ban on surcharges

I am writing to you on behalf of the Restaurant Association of New Zealand (the Restaurant
Association), the largest representative body for restaurants and cafés in New Zealand, regarding your
recent announcement of a ban on surcharges for in-store payments.

Over the past year, we have been actively engaged with officials from the Commerce Commission on
reforms to our retail payments system, so we were shocked to find out about this policy shift through
the media despite having met with officials from the Commerce Commission less than a week prior to
the announcement being made.

While we are supportive of efforts to make payments clearer and more affordable for consumers — our
customers — we are extremely disappointed by the ongoing commentary which perpetuates the
incorrect narrative that surcharges are a way for businesses to “swindle” their customers for more
money, and the misleading insinuation that businesses have nothing to worry about as a result of this
announcement.

Capping interchange fees

We are concerned by your answers to patsy questions about the impact of these changes on small
businesses in the House last week. Your comments suggested that, because the ban on surcharges is to
be implemented in conjunction with the Commerce Commission’s decision to cap interchange fees,
there is no need for concern.

While the fees that businesses pay to banks will be reduced, they have not been removed entirely —
under your current proposal, business will be left with three options: increase prices across the board,
impacting all customers; restrict the use of certain payment methods, potentially limiting their
customer base; or absorb these fees as a cost of doing business, eating into already slim profit margins
(an average of four percent across the hospitality industry).

The decision of the Commerce Commission to cap interchange fees also included an intent to monitor
the impact of regulating such fees, to ensure that surcharging was reduced by a commensurate
amount. In our opinion, this would have been the appropriate process to follow.

Promoting understanding of our payments system

Throughout our engagement with the Commerce Commission on the retail payments system, we have
stressed the importance of taking a holistic approach to reform — including through addressing
surcharging at the appropriate time to prevent undue negative impacts on both retailers and
consumers.

Our members were clear throughout consultation on changes to the retail payment system that if there
was a way they could remove surcharging for certain card payments without having to absorb the costs
themselves, they would do so. The idea of mitigating the provision of outstanding hospitality service by
ending the experience with a conversation around surcharging and potentially leaving a bad taste in
our customers’ mouths is not one that our industry signs up for voluntarily — it is out of necessity.

Regulating payment providers

To date, it has been our business who have had to constantly explain that the fees they are charged by
payment providers are the reason surcharges exist. While often uncomfortable conversations, they also
lead to giving customers a choice between using a payment method that incurs a surcharge, or those
that do not. The decision to ban surcharges removes that choice for consumers.

Further, throughout engagement with the Commerce Commission, it was clear that further work was
needed to ensure payment providers did not simply increase other fees paid by retailers to cover any
shortfall in their income. As it stands, the ban on surcharges leaves retailers in the lurch, required to
either increase their prices to cover costs or absorb the cost of fees, while there is no guarantee that the
actual fees they pay across our entire retail payments system will actually decrease. This must be
addressed before any further action is taken to ban surcharges.

It is important to also note that while the benefits of a cap on interchange fees are intended to be
passed on through a reduced merchant service fee, the interchange fee is only a portion of the amount
charged to retailers. The full merchant service fee is not being capped — only the interchange fee
portion of the merchant service fee — meaning businesses are still left with large fees that they will not
be able to recuperate through surcharges.

Evidence-based policy

You referred several times to overseas evidence, indicating there would be no need for businesses to
increase prices following the ban on surcharges. Notwithstanding the points we have already raised,
we submit that the Government would have been better off to wait for the reduced interchange fee
decision to take effect and gather domestic, real time evidence to determine if there was still a need to
regulate surcharges — and if so, in what form such regulation would take.

For example, it is unclear whether your current proposal to ban surcharging includes surcharging
during trade on public holidays, which goes towards covering increased wage costs provided for under
the Holidays Act. While we would advocate against such a blanket ban being implemented, any
exceptions will only add to the confusing regulatory system within which our small businesses already
operate.

I would value the opportunity to meet with you in person to discuss how we can work together in
future on this and other matters of shared importance. We remain willing and ready to collaborate on
critical work in the Commerce and Consumer Affairs portfolio, including the work initiated by your
predecessor to amend the Companies Act, which was expected to be introduced to Parliament in the
first half of this year.

Please do not hesitate to contact me directly if I can be of any assistance. I look forward to hearing from
you.

Ngā mihi nui,
Marisa Bidois
Chief Executive
Restaurant Association of New Zealand

cc Rt Hon Christopher Luxon, Prime Minister
Hon Louise Upston, Minister for Tourism and Hospitality

5 August 2025

Hon. Erica Stanford
Minister of Immigration
Parliament Buildings
Wellington
E.Stanford@ministers.govt.nz

Kia ora Minister Stanford

Progressing policy development in the immigration portfolio

As you are aware, immigration policy settings have consistently been one of the most pressing
issues raised by Restaurant Association members over recent years.

After recent engagements with immigration officials that have shown the number of visas expiring
over the coming months, we have work underway as an industry to review our workforce needs
and priority roles within the immigration system.

In the meantime, I would appreciate an update on progress reviewing immigration policy settings,
and when we can anticipate announcements being made which we hope will give our members
some confidence as our industry gets closer to beginning recruitment for the busy summer trading
period.

Accredited Employer Work Visa (AEWV)

Acknowledging that a number of changes to the AEWV scheme have already been announced, I
would appreciate confirmation or otherwise as to whether further changes to the job check stage
— in particular regarding tiered accreditation — is still being considered. My understanding is that
these decisions were due early this year, and despite good early-stage engagement from your
officials, we have not had any updates on whether this option will progress.

Skilled Migrant Category Resident Visa

In your speech to the Employers and Manufacturers Association on 16 August 2024, you indicated
that once the AEWV review is complete, work would begin to ensure our skilled residence settings
are appropriately targeted to address skills gaps.

We have not been invited to participate in any consultation on the Skilled Migrant Category
review. As such, we are unclear as to whether the Government considers the AEWV review to be
complete, and whether a review of the Skilled Migrant Category is underway. I would appreciate an update on this work, and the opportunity to provide feedback should consultation already be
underway.

New Pathways for Seasonal Workers

We were pleased to participate in consultation on the two seasonal surge capacity visas being
considered for introduction in November, which will certainly have an impact on the hospitality
industry workforce. Understanding that Cabinet decisions were due to be made in June, we would
appreciate a heads up where possible on expected timing for an announcement on decisions
around these two visas.

As our industry looks to the future, I am committed to doing what I can to ensure that policy
settings across Government are as supportive as possible of our recovery and growth. To that end,
please do not hesitate to contact me directly if I can be of any assistance. I look forward to hearing
from you soon.

Ngā mihi nui,
Marisa Bidois
Chief Executive
Restaurant Association of New Zealand

cc Hon Louise Upston, Minister for Tourism and Hospitality

Everyone can use a little extra help when it comes to reaching their money goals.

Westpac’s Managing Your Money programme is supporting Sorted’s Money Month, which is a nationwide public awareness campaign around building your confidence on all things about money. The Managing Your Money Team Joins us to offer their engaging, practical and interactive financial wellbeing programme to help you feel more confident when it comes to making decisions about your money.

You are invited to join the Westpac Managing Your Money team for their upcoming August webinars with a mix of topics to support theme of Sorted Money Month which is about having an emergency fund.

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Upcoming courses:

Session One: Tuesday, 5 August. 11am-12pm

Understanding Debt

Register here.   

Session Two: Tuesday,  12 August. 11am-12pm

Saving and Investing

Register here. 

Session Three: Tuesday, 19 August. 11am-12pm

Preparing for the future (Kiwisaver)

Register here.

Session Four: Tuesday, 26 August. 11am-12pm

Weathering the Storms

Register here.

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MYM EXTRA WORKSHOPS:

Session Five: Wednesday, 13 August. 11am-12pm

Buying Your First Home

Register here.

Session Six: Wednesday, 27 August. 11am-12pm

Managing Your Mortgage

Register here.

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To access Microsoft Teams please review these How To’s: Joining a Teams call – DESKTOP and  Joining a Teams call – MOBILE.

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The Managing Your Money team offer these classes as general information only and do not talk about Westpac products and services.  If you need personalised advice, email managingyourmoney@westpac.co.nz they’ll find the right person to help. 

28 July 2025

Restaurant Association responds to credit card surcharge ban for consumers but warns it will add pressure on hospitality businesses

Clearer consumer education needed to address misconceptions around surcharges

The Restaurant Association recognises that the ban on surcharges for in-store payments, including Paywave, is positive for consumers, but highlights the challenges this presents for hospitality businesses already operating on tight margins.

“We understand and support making payments simpler and more affordable for consumers,” says Marisa Bidois, CEO of the Restaurant Association. “However, these surcharges are genuine costs that businesses must pay. Without surcharges, businesses will need to absorb these fees, further impacting already small margins.”

It is important that these announced changes align with recent Commerce Commission announcementsregarding the regulation of interchange fees, in order to ease the burden on small businesses.

The recent announcement by the Government to ban surcharges on card and contactless payments has come as a surprise, despite the Restaurant Association’s ongoing discussions with officials about these concerns.

“We’ve actively engaged with the Government to outline the financial pressures faced by hospitality businesses due to bank-imposed fees,” Bidois explains. “While we welcome consumer-focused changes, we are concerned about the lack of consultation on this particular announcement.”

The Restaurant Association anticipates hospitality businesses may need to adjust their pricing to manage these additional costs. “Removing the ability to surcharge could mean businesses factoring these costs into their overall pricing, potentially leading to increased costs for diners,” adds Bidois.

“There’s still an underlying perception among consumers that surcharges are simply businesses attempting to increase profits. We believe this perception may only worsen unless there is a careful, clear communications effort explaining exactly how interchange and merchant service fees flow through to consumers.”

ENDS

• Government to introduce Retail Payment System (Ban on Surcharges) Amendment Bill by end of 2025
• Ban expected to be in place no later than May 2026
• Ban will apply to in-store payments made using domestic Mastercard, Visa debit, credit cards and EFTPOS
• Does not apply to does not apply to online payments, foreign-issued cards, prepaid gift or travel cards, or cards from networks like AMEX or UnionPay

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What hospitality operators need to know

The Government has announced plans to ban card payment surcharges on in-store transactions, including Paywave and other contactless methods. The move, announced by Commerce and Consumer Affairs Minister Scott Simpson, is part of a wider effort to simplify costs for consumers and remove surprise charges at the checkout.

The proposed legislation is expected to be introduced before the end of 2025, with a ban coming into force no later than May 2026. It will apply to most domestic in-person card transactions, such as Visa, Mastercard, debit cards, and EFTPOS. Online payments, foreign-issued cards, and AMEX or UnionPay will not be affected.

What’s changing?

The change is part of a proposed Retail Payment System (Ban on Surcharges) Amendment Bill, which aims to make payment systems more transparent and affordable for consumers. The legislation is expected to be introduced to Parliament by the end of 2025, with a transition period to follow.

A survey in 2024 of Restaurant Association members found that 63% apply a surcharge on certain payments. These surcharges help recover merchant fees charged by banks and payment processors — which are often not insignificant. Under the new rules, these fees will no longer be able to be passed on to customers. Instead, businesses will need to absorb them into their overall pricing, which could lead to menu price adjustments or tighter margins.

The Restaurant Association’s View

The Association supports efforts to make payments clearer and more affordable for consumers but notes that the announcement has come as a surprise, with limited consultation. We understand and support making payments simpler and more affordable for consumers. However, these surcharges are genuine costs that businesses must pay to banks. Without surcharges, businesses will need to absorb these fees, further impacting already small margins.

These announced changes need to align with recent Commerce Commission announcements regarding the regulation of interchange fees in order to ease the burden on small businesses.

Additionally, the Association highlights the need for clear public education to help consumers understand how interchange and merchant service fees actually work. There’s concern that without this, operators may face further negative sentiment from customers unaware of the cost pressures behind the bill.

Timeline

• Legislation—the Retail Payment System (Ban on Surcharges) Amendment Bill—is expected to be introduced to Parliament by the end of 2025.
• The surcharge ban will be effective no later than May 2026.

What’s in scope?

• Included: Domestic Visa, Mastercard (debit and credit), and EFTPOS in-store payments.
• Excluded: Online purchases, foreign-issued cards, prepaid or travel cards, AMEX, UnionPay, and other international card networks

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More information:

Government announcement on banning surcharges – Beehive.govt.nz

Restaurant Association press release response

Ban on credit card and contactless payment surcharges – Stuff

The Government will ban card payment surcharges, ‘shoppers will no longer be penalised’ for how they pay, Commerce and Consumer Affairs Minister Scott Simpson says – Interest.co.nz

Government to ban card payment surcharges, businesses to pick up the tab – NZ Herald

Restaurant Association members, Coco’s Cantina owner-operator, Renee Coulter, shares her thoughts on the role of music in hospitality, the surprise of receiving that first music licence bill, and why supporting artists through licensing is simply the right thing to do.

At Coco’s Cantina, the bustling institution that’s been thriving on Auckland’s Karangahape Road since 2009, hospitality has never been just about food and service. It’s a full sensory experience, which music has been part since the very beginning. As owner-operator Renee Coulter puts it, “When we first thought about opening a restaurant, music was there sitting right next to food and staff.”

Music runs through Coco’s like a lifeline. It’s in the air, in the energy, and even in the décor, with imagery of favourite musicians filling the windows and walls, nestled among the eclectic bric-a-brac and trinkets that gives the space its lived-in charm.

Known for its comfortable, vibrant atmosphere, Coco’s acknowledges the importance of music in setting the tone. “The music of a good establishment is as important as anything else,” says Renee – and they mean it. Music isn’t just ambiance; it’s identity. 

Having no music is as big as, like, having no meatballs—or actually, it’s worse than running out of meatballs.

That’s a bold claim from a place famous for its spaghetti and meatballs, but it speaks to how deeply music is integral to the experience.

Like many small businesses, Coco’s had a moment of surprise when they received their first music licence bill. “I remember getting our first music licence bill and going, ‘Huh! What’s this!?’” But that moment turned into a deeper understanding of the relationship between hospitality and the creative industries.

“When you’re a small business, or just starting out, it’s another expense,” they acknowledge. But Coco’s doesn’t shy away from responsibility. They lean into it.

When you understand how closely hospitality and creatives hold hands… it just feels right to do our part.

Paying for a OneMusic licence isn’t just about ticking a legal box. It’s about supporting the creators behind the music. “Paying the OneMusic licence does go to the artists. I think a lot of people don’t even know that.” At Coco’s, where creativity is celebrated from plate to playlist, supporting fellow creatives is a natural extension of their values. “Being a creative is the most honest expression, and it’s our way of showing support to tautoko them.”

Music licensing ensures that the artists who soundtrack our lives are compensated for their work. It’s a way for businesses to say, “We see you. We value you.” At Coco’s, where the vibe is as carefully curated as the menu, that support is non-negotiable.

Visit Coco’s Cantina to soak up the good vibes and fun times, beginning at their website.

To learn more about a OneMusic licence for your own business, you can find all the information to get you started here.

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This article originally appeared on the OneMusic website – check it out here.