🔒Chambers: Portland-area businesses face rising costs, other challenges

Greater Portland enters 2026 with a strong economic foundation and a vibrant business community, yet employers continue to face very real pressures, according to Quincy Hentzel, president and CEO of the Portland Regional Chamber of Commerce. The chamber represents 1,400 businesses that employ 75,000 people. Some 90% of chamber members are small businesses, and Hentzel says many are operating on tight margins. “As we work to support their growth and stability, rising hiring costs in 2026 remain a significant concern. Increases related to health insurance, the new paid family and medical leave program, and Portland’s newly increased minimum wage may force some small employers to make tough choices about staffing, pricing and long-term operations.” Housing remains the most significant barrier to recruiting and retaining workers, Hentzel says. A lack of housing options throughout Greater Portland makes it difficult for employees to live near where they work, limiting employers’ ability to attract and keep talent. “This challenge is particularly acute in the city of Portland, where inclusionary zoning requirements have contributed to limited new housing production.” Hentzel is hopeful that “smart reforms” could help unlock development, draw new private investment, and create more homes for people at all income levels. Despite these challenges, Hentzel sees the region’s blend of historic charm, economic opportunity and quality of place continuing to draw entrepreneurs, families and professionals who want to build a future here. “Sustaining this momentum requires a continued focus on affordability, workforce availability, and a regulatory environment that encourages job creation and competitiveness,” she advises, adding, “Advancing solutions in these areas will ensure Greater Portland remains Maine’s economic engine for years to come.”