The ongoing biennial environmental perceptions survey has been used to consider issues when setting future directions for rural New Zealand in the 21st Century. The overall state of the environment is very good, although freshwater rates the lowest of all resources considered. At a more local level there is considerable concern about lowland streams, rivers and lakes. Farming is increasingly blamed for damaging freshwater and a range of other resources. There are important demographic differences. Those employed in resource based industries are much more positive about specific water resources than are others – anglers are more pessimistic. New Zealanders want an improved future for the rural environment and are willing to contribute. Achieving sustainability would have multiple benefits and would arguably come at only one cost, a higher cost of living.