Dry weather is starting to bite, rising living costs are tightening household budgets and this is taking affect on Parkes businesses.

Parkes Business Chamber president Geoff Rice said from an agricultural point of view livestock is very good at the moment but it is quite dry.

"We're starting to see the effects of the dry time and as that happens it does affect purchasing power through towns," said Geoff.

"I wouldn't be surprised if the retail outlets are starting to see that come through their books."

The business chamber president also said the cost of living is one of the biggest challenges for retailers, not only in Parkes but across our regional area.

"Talking to other people in other regional towns whether it be Forbes, Orange or Dubbo, all regional areas are finding it very similar when it comes to retail. It's just cost of living and I think that'll continue through our Christmas period as well which I think is a sad part of it."

Many local businesses have said another issue they are struggling with is attracting and retaining staff with a number of businesses impacted by this since the Covid pandemic.

"I don't know if we can blame Covid, but there are definitely issues in getting people to regional areas to work," Geoff said.

"Everyone wants flexibility and work from home options, and sadly that doesn't fit every business."

Staff shortages on top of reduced consumer spending makes it harder for small businesses to keep their doors open.

"Everybody wants a full main street but it's a matter of getting people to support those businesses," Geoff said.

"Sadly they'll go online to save $5 which is a struggle for small and regional businesses.

"We've got amazing businesses in town with amazing customer support. There's got to be a balance between online pricing and supporting local businesses otherwise they will disappear."

Residents continue to express their fears the completed Parkes Bypass is taking business away from town.

"I don't think it has," Geoff said.

"If anything it's made our town safer and more of a destination to pull into now that it's actually completed.

"I do think there's more things that are affecting our retail sector and our businesses, whether it be weather in the agricultural side of it or just cost of living in a lot of cases."

Looking ahead the Parkes Business Chamber is planning to become more active next year.

A new website is in the making as well as a plan to hold regular meetings during 2026 to strengthen local business networks.

"We've got some really good businesses and new businesses coming to town and there are opportunities, we just have to keep taking every one that's there," Geoff added.