Minnesota Small-Business Optimism Falls to 97.2, Lagging U.S. by 1.3 Points on Tax and Rule Worries
Updated
Updated · alphanews.org · Jul 24
Minnesota Small-Business Optimism Falls to 97.2, Lagging U.S. by 1.3 Points on Tax and Rule Worries
2 articles · Updated · alphanews.org · Jul 24
Summary
Minnesota’s small-business optimism index averaged 97.2 from October 2025 through March 2026, slipping 1.3 points below the national level in NFIB’s latest state report.
Five of 10 index components trailed U.S. averages, led by current job openings at 6 points lower, economic expectations at 5 points lower, and views on whether it is a good time to expand at 3 points lower.
Taxes ranked as the top concern for Minnesota owners, followed by inflation, while concern about government regulation ran higher than nationally; NFIB singled out the state’s Paid Family and Medical Leave mandate as a key pressure point.
Hiring appears to be cooling even as cost pressures persist: NFIB said labor quality is less of a challenge, but inflation was 4 points worse than nationally, likely tied to rising wages.
One relative bright spot was capital spending, with Minnesota owners reporting stronger plans for capital outlays than peers nationwide despite the broader drop in confidence.