Guidance

Overseas business risk: New Zealand

Updated 16 June 2023

Information on key security and political risks which UK businesses may face when operating in New Zealand.

Political and economic

New Zealand’s political and economic stability provides a safe environment for investors and businesses. It consistently ranks highly internationally for its governmental transparency, democratic institutions and low levels of corruption.

Political overview

New Zealand is a parliamentary democracy and a constitutional monarchy with Queen Elizabeth II as the Queen of New Zealand. New Zealand shares a legal, political and cultural heritage with Britain. The judicial system is founded on English common law principles and is independent of the legislature. The 2020 election returned the Labour Party into government with a significant majority, led by Jacinda Ardern as Prime Minister of New Zealand, who then resigned in January 2023 and replaced by Chris Hipkins. The Opposition is the centre-right New Zealand National Party led by Christopher Luxon. New Zealand has a unicameral parliament, with elections held every 3 years under a Mixed Member Proportional (MMP) system. The next General Election will be held on 14 October 2023.

Economic overview

New Zealand has a mixed economy which operates on free market principles. New Zealand enjoyed GDP growth of 2.4% in the year ending December 2022. In December 2022, unemployment fell to a record low of 3.4%. It has sizeable manufacturing and service sectors complementing a highly productive agricultural and forestry sector. Tourism, property, and financial services are the main drivers of the service economy. International tourism was heavily disrupted by New Zealand’s strict COVID-19 border measures. Mandatory self-isolation requirements remain in effect for confirmed COVID-19 cases. Inbound tourism has rebounded since New Zealand removed border measures in May 2022. Numbers in January 2023 were near the median number of tourists that visited New Zealand in 2019.

Exports of goods and services account for around one-third of real expenditure GDP and there is a bipartisan commitment to free trade. New Zealand is a strong proponent of trade liberalisation and has numerous free trade agreements, largely with its Asia-Pacific neighbours. These include Free Trade Agreements (FTAs) with Australia, China, Hong Kong, South Korea, ASEAN, Malaysia, Singapore and Thailand. The UK-NZ FTA entered into force on 31 May 2023.

The EU and New Zealand concluded FTA negotiations on 30 June 2022; signature and entry-into-force is pending. New Zealand is also a member of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Regional Comprehensive Economic Partnership (RCEP).

Trade and investment patterns between the UK and New Zealand remain strong. The UK is New Zealand’s 7th largest trading partner, and New Zealand is the UK’s 63rd largest trading partner. Total 2-way trade between the UK and New Zealand was £2.5 billion in the year to September 2022, an increase of 9.6% on the previous financial year. Leading UK good exports to NZ include motor vehicles, mechanical and electrical machinery, medical equipment and spirits.

We have identified opportunities for UK companies in a range of industries including infrastructure, technology, fintech, agri-tech, energy, and e-commerce.

The UK’s existing reciprocal, bilateral Youth Mobility Scheme with New Zealand is being enhanced.  From 1 July 2023, the age range is being expanded from 18 to 30 to 18 to 35, and the length of stay is being increased from 2 to 3 years. Work will now be permitted for the full duration of someone’s stay.

Up-to-date information on current risks is on FCDO travel advice for New Zealand.

Human rights

There are 2 main pieces of law in New Zealand that specifically promote and protect human rights.

• Human Rights Act 1993
• New Zealand Bill of Rights Act 1990

There are legislative mechanisms in place to protect the principles of the Treaty of Waitangi, which relates to the land rights of Māori as New Zealand’s indigenous population. There has been significant progress in hearing and settling land claims under the Treaty, as well as broader programmes of work focusing on revitalising the Māori language and establishing family-centred social development initiatives in health, education, and restorative justice.

Bribery and corruption

Bribery is illegal in both New Zealand and the UK. It is an offence for British nationals or someone who is ordinarily resident in the UK, a body incorporated in the UK or a Scottish partnership, to bribe anywhere in the world.

In addition, a commercial organisation carrying on a business in the UK can be liable for the conduct of a person who is neither a UK national or resident in the UK or a body incorporated or formed in the UK. It does not matter whether the acts or omissions which form part of the offence take place in the UK or elsewhere.

New Zealand was ranked the least corrupt country in which to conduct business in Transparency International’s 2021 Corruption Perceptions Index and is currently the top-ranked country in the World Bank’s Ease of Doing Business survey.

Visit the Business Anti-Corruption Portal page for further advice and guidance about corruption and some basic effective procedures you can establish to protect your company from them. Information is also on our bribery and corruption page.

Terrorism threat

Read the information in the Terrorism section of FCDO travel advice for New Zealand.

Protective security advice

Read the information on our safety and security travel advice for New Zealand.

Intellectual property

Manufacturers and traders are strongly advised to patent their inventions and register their trademarks in New Zealand. New Zealand is a signatory to intellectual property treaties and conventions, including the Paris Convention, the Patent Co-operation Treaty, the Berne Convention, and the TRIPS Agreement.

Trademarks, patents, designs, and plant variety rights can be registered at the Intellectual Property Office of New Zealand, which maintains a register of these rights and interests. For detailed information about patents and trademarks visit the IPONZ website.

The Patents Act 2013 entered into force in its entirety in September 2014. The legislation brings New Zealand’s patent law in line with international trends.

To be patented, an invention must meet certain criteria relating to novelty, inventiveness and utility. The grant of a patent for an invention provides the owner with a right to exclude others from making, using or selling the patented invention during the term of the patent. In return the owner must make public a complete description of the invention.

A patent will last for 20 years from the date of application submitted to the Intellectual Property Office of New Zealand. This is provided the renewal fees are paid at the end of the 4th, 7th, 10th and 13th years of the patent’s existence. Fees are available on IPONZ.

In New Zealand trademark protection is provided to registered trademarks through the Trade Marks Act 2002. According to this act any sign capable of being represented graphically and distinguishing the goods and services of one person from those of another can be registered as a trademark.

A trademark registration is valid for a term of 10 years from the date of application. Registration can be renewed, in perpetuity, in successive 10 year periods. A trademark can be removed from the register for non-use during a continuous period of 3 years.

The Madrid Protocol is now in force in New Zealand. This allows entities in Madrid Protocol member countries to file international trademark registrations designating New Zealand as a country to which trademark protection would extend. New Zealanders can also file international registrations designating one or more overseas Madrid Protocol countries.

Trademark applications can be lodged online.

New Zealand’s Copyright Act 1994 and Copyright (New Technologies) Amendment Act 2008 protects the same wide range of copyright works as are protected by UK copyright legislation, although duration of copyright protections can differ. As both countries are party to the Berne Convention, the works of UK nationals and works published in the UK are entitled to the same protection as New Zealand grants its nationals. Although not legally required, you should include a copyright statement of notice on a work. Visit IPONZ for further information.

Read the information on our Intellectual Property page.

Organised crime

Read the information on our Organised crime page.

UK Department for Business and Trade contact

Contact the UK Department for Business and Trade team in New Zealand for further information.

Useful links

For more information about exporting to New Zealand, or doing business there, read UK Department for Business and Trade’s ‘Doing Business in New Zealand’ guide.