Pictured above: Small Business and Manufacturing Minister, Chris Penk.
A new Government-backed pilot aims to help small businesses overcome barriers to adopting artificial intelligence (AI), offering practical, co-funded support to lift productivity and drive growth.
Small Business and Manufacturing Minister Chris Penk announced yesterday the launch of the AI Advisory Pilot, designed to help small and medium-sized enterprises understand how to use AI tools safely, effectively and in ways that make a real difference to day-to-day operations.
“Artificial intelligence is becoming part of how Kiwis work every day across many industries,” Minister Penk says.
“It can quickly sort information, answer simple customer questions at any hour, draft and check documents and handle repetitive digital tasks that normally eat into the day.”
The pilot responds to feedback from business owners who see the potential of AI but lack confidence or clarity around where to start.
“Small business owners tell me they want to use AI to clear space in their busy schedules, so they can focus on the parts of their business they enjoy, but many are unsure where to start or how to use these tools in a safe and practical way,” Penk says.
Through the programme, eligible businesses will be able to access co-funding of up to 50 percent, capped at $15,000, to develop and implement an AI plan tailored to their business, staff and customers.
“This pilot programme will give small business owners practical support from trusted experts so they can confidently use AI tools that lift productivity and help them stay competitive in a rapidly evolving technological landscape.”
The pilot will run for at least six months through the Regional Business Partner (RBP) Network and will be available to existing RBP customers, with participants invited from late January. The network currently includes 15 regional service providers across the country and connects thousands of businesses with advice, skills and funding to support growth and innovation.
“Expanding into AI support is a natural next step for the Regional Business Partner Network,” the Minister says, noting the programme will also provide guidance on privacy, data management and responsible AI use.
Science, Innovation and Technology Minister Dr Shane Reti says the initiative aligns with the Government’s broader ambition to unlock the economic potential of AI.
“AI has enormous potential to drive economic growth and increase productivity,” Dr Reti says.
“New Zealand’s Strategy for Artificial Intelligence estimates adopting generative AI alone could add a staggering $76 billion to the New Zealand economy by 2038, which equates to 15 percent of national GDP.”
Dr Reti adds that, through its AI strategy, the Government is “investing up to $70 million over seven years through the New Zealand Institute for Advanced Technology to support innovative AI research and applications, develop world-class expertise, and sharpen New Zealand’s competitive edge”.
An initial $765,000 has been allocated to the AI Advisory Pilot, which will run from 19 January 2026 to at least 30 June 2026 and is expected to include a minimum of 51 SMEs.
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