The recent announcement in the 2025 New Zealand Budget of a new Investment Boost couldn’t be better timed for companies thinking about automation.
From 22 May 2025, businesses investing in new, eligible productive assets will be able to claim an immediate 20% tax deduction — on top of normal depreciation. It’s a move designed to stimulate growth and lift productivity across the economy. And it’s a clear signal from Government: now’s the time to invest.
At PHS Innovate, we think this is a smart, future-focused policy. We see first-hand how the right investment in warehouse automation and end-of-line handling can completely transform operational efficiency — from reducing manual labour and improving throughput, to creating safer, more scalable systems.
For companies that have been sitting on investment decisions, this new tax incentive takes away a key barrier. It brings forward the return on investment and makes a compelling case for action.
The 20% deduction applies to a broad range of capital assets. So whether you’re automating part of your warehouse, upgrading your handling systems, or planning a more integrated materials flow — this initiative is worth a closer look. You can read more in the official Investment Boost factsheet published by the New Zealand Government.
If you’re considering capital investment in 2025–26 and want to make sure it delivers long-term operational value (not just a short-term tax break), we’re here to help.
Let’s talk about how automation can move your business forward — faster.
About PHS Innovate. From our engineering base in New Zealand, PHS Innovate offer customised materials handling products and systems across Australia, New Zealand, and the Pacific region. Whether you’re a multinational company with complex production lines or a smaller business looking to scale up, we build solutions that fit your specific needs. Contact us today to discuss your project.