Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


English’s new tools little help to home buyers


David
PARKER
Finance Spokesperson
Phil
TWYFORD
Spokesperson for Housing

28 February 2013 MEDIA STATEMENT
English’s new tools little help to home buyers

Bill English’s proposal to allow use of loan to valuation ratios is yet another reason to add to the supply of affordable homes, say Labour’s Finance spokesperson David Parker and Housing spokesperson Phil Twyford.

Phil Twyford says: "Bill English doesn’t understand the housing problem. There simply aren’t enough modest affordable homes.

“The new Reserve Bank rules could require home buyers to put up a bigger deposit. Depending on the design, that could create another hurdle to leap over. Loan to value ratios must be part of a broader attack on excessive housing prices, including addressing a shortage of supply and high material costs.

“The housing affordability crisis needs a multi-pronged approach to reduce the cost of new homes. Labour's KiwiBuild policy, which will deliver 100,000 affordable homes over 10 years, is a comprehensive sustainable solution that would help make loan to value ratios more effective,” Phil Twyford said.


David Parker says: “The new tools are a necessary addition to the Reserve Bank’s toolkit but they require finesse and subtlety in their design. Otherwise they risk doing more harm than good.

“Limits on loan to value ratios for home lending are used to dampen the housing market in places like Canada. One option used overseas is to exempt first home buyers from the rules, or allow them to put up a smaller deposit.

“Bill English is only doing half the job, unless he broadens the objectives of the Reserve Bank. He risks making it harder for first home buyers without the benefits of creating better jobs and higher wages that full reform of the Reserve Bank Act will help bring,” says David Parker.

________________________________________


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Greens: Russel Norman To Stand Down As Co-Leader

Green Party Co-leader Dr Russel Norman has announced today that he will stand down as leader at the party’s Annual General Meeting in May. Dr Norman will remain as Co-leader and retain his finance and climate change portfolios until the AGM.

“After nearly a decade as Co-leader, now is a good time to find a new challenge for myself, and to spend more time with my family” said Dr Norman.

“This is my ninth year as Co-leader and I think it’s time for a change. Now is a good time for new leadership for the Party. My replacement will start from a strengthened base and will have a full parliamentary term to establish himself in the role and take the Greens into government in 2017." More>>

 

Gordon Campbell: On The Eleanor Catton Rumpus

If anyone was in doubt about the accuracy of the comments made in India by Eleanor Catton, the reaction from some quarters here at home has gone a long way to proving her point… More>>

ALSO:

More Rent Assistance, Less State-Owned Housing: John Key Speech - Next Steps In Social Housing

"We are going to ensure that more people get into social housing over the next three years, whether that is run by Housing New Zealand or a community provider. The social housing budget provides for around 62,000 income-related rent subsidies a year. We are committed to increasing that to around 65,000 subsidies by 2017/18, which will cost an extra $40 million a year." More>>

ALSO:

The Future Of Work: Andrew Little - State Of The Nation 2015

In 2005 when I led the EPMU we worked together with Air New Zealand to find a way to keep engineering jobs that were heading overseas. A lot of these workers were people I’d known for years and they were facing not just losing their jobs but not being able to find the kind of work they do without going overseas. A lot of people were facing personal and financial upheaval.... More>>

ALSO:

Gordon Campbell: On The Sabin Case, The Pressures On Greece And (Songs About) Coyotes

Mike Sabin is a National MP, and the current chairman of Parliament’s law and order committee. Yet reportedly, he is being investigated by the Police over an assault complaint... However, the PM will not comment on any aspect of the story. More>>

ALSO:

Houses, ISIS, King (& Catton): PM Post-Cabinet Press Conference

The Prime Minister met with reporters to discuss: • Social housing, the Auckland housing market • The prospect of joining international forces to combat ISIS • David Bain’s compensation • The lowering of the flag for the King of Saudi Arabia's death ... More>>

ALSO:

Gordon Campbell: On Tomorrow’s Speeches By John Key And Andrew Little

The Key government has already kicked off the political year on a stridently ideological note, with Environment Minister Nick Smith choosing to lay all manner of sins at the door of the RMA. Tomorrow, the government will wheeling out its best salesman – Prime Minister John Key – to sell its plans for state housing… . More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news