A new 2026 Business Climate Survey, conducted in partnership by the Seattle Metro Chamber and Downtown Seattle Association, provides a snapshot of the challenges facing businesses in the Seattle region and the actions businesses say could strengthen confidence, investment and long-term economic growth.
The survey finds businesses continue to face significant challenges operating in the Seattle region, with public safety and taxes and fees tied as the most frequently selected challenges at 64% each. Homelessness and behavioral health conditions followed closely at 61%, while 59% identified labor costs as a major challenge.
The findings also point to broader concerns about Seattle’s competitiveness. Businesses gave Seattle’s current business climate an average score of 39 out of 100, while the City of Seattle’s responsiveness to the needs of businesses received an average score of 26 out of 100. When asked how likely they would be to recommend Seattle as a place to start, operate or grow a business, respondents gave an average score of just 32 out of 100.
“These findings should be a wake-up call, but they should also be a roadmap,” said Joe Nguyễn, president and CEO of the Seattle Metro Chamber. “Businesses are telling us very clearly what they need to succeed: safer neighborhoods and commercial districts, greater predictability around taxes and fees, and a city that recognizes that a strong business environment is fundamental to jobs, investment and opportunity. Seattle has tremendous strengths, but we cannot take our economic future for granted. We need to act with urgency to make this a city where businesses want to stay, grow and invest.”
The survey underscores the role public safety plays in business confidence and future investment. Among businesses that had considered moving operations, jobs or investment out of Seattle, 59% cited public safety concerns and 59% cited taxes or fees as primary reasons.
At the same time, respondents offered a clear picture of what could strengthen Seattle’s competitiveness over the long term. 70% said improved public safety would make them more likely to invest, expand or remain in Seattle, 56% identified stronger downtown recovery, 43% identified greater tax and fee predictability, and 40% pointed to more support for small businesses.
“Downtown’s resurgence and Seattle’s economic future are inseparable,” said Jon Scholes, president & CEO of Downtown Seattle Association. “Businesses want to invest here, but we have to create the conditions that give them confidence to do so. That means safe and welcoming streets, a vibrant downtown, a competitive business environment and sustained partnership between the public and private sectors. This survey reinforces the urgency of that work and the opportunity in front of us to make downtown Seattle stronger.”
The results point not only to areas of concern, but also to an opportunity for city leaders, businesses and community partners to align around solutions that improve safety, strengthen downtown and small businesses, and create greater certainty for employers making long-term investments.
“Seattle can absolutely turn this around,” Nguyễn added. “The question is whether we are willing to listen to what businesses are telling us and translate that into action. A safer, more competitive Seattle is not just good for employers. It means more jobs, stronger neighborhoods and more opportunity for everyone who calls this city home.”
About the 2026 Business Climate Survey
The 2026 Business Climate Survey was conducted in partnership by the Seattle Metro Chamber and Downtown Seattle Association to better understand the experiences, challenges and priorities of businesses operating in Seattle. The survey gathered responses from 247 Seattle businesses and organizations on the challenges they face, their confidence in Seattle’s business environment and the policies and conditions that would encourage continued investment and growth. The number of respondents varied by question.
About the Seattle Metro Chamber
The Seattle Metropolitan Chamber of Commerce (Seattle Metro Chamber) is the regional business advocacy organization that engages the innovation and entrepreneurship of its 2,600 members to promote inclusive economic prosperity. Founded in 1882, the Chamber represents a regional workforce of approximately 750,000.
About the Downtown Seattle Association
Established in 1958, the Downtown Seattle Association is a nonprofit membership organization whose mission is to create a healthy, vibrant downtown for all. By advocating on issues including transportation, economic development and the urban experience, DSA works to ensure that downtown remains a great place to live, work, shop and play for all. DSA also manages the Metropolitan Improvement District, a business-improvement area spanning 300 square blocks downtown.