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

 


PQ 6 6. Housing, Minister—Statements on Homeownership


[Sitting date: 23 July 2014. Volume:700;Page:7. Text is subject to correction.]
6. PHIL TWYFORD (Labour—Te Atatū) to the Minister of Housing : Does he stand by his statement “My ambition in housing is to make the dream of home ownership a reality for more New Zealanders”?
Hon Dr NICK SMITH (Minister of Housing): Absolutely, and that is why this Government has put so much work into advancing the reforms recommended by the Productivity Commission on freeing up land supply, constraining development contributions, and reducing tariffs and duties on building materials, as well as our sound economic policies, which are keeping interest rates low for longer.
Phil Twyford : Does he think that the dream of homeownership is becoming a reality for more New Zealanders on his watch when the New Zealand Institute of Economic Research shows that it now takes 50 years to pay off a home in Auckland, which means that people in their 30s will be paying off a mortgage in their 70s and 80s, or is that affordable housing under his Government?
Hon Dr NICK SMITH : Homeownership peaked in about 1986 and has been in decline for the best part of the 28 years since. The worst decline in homeownership occurred between 2000 and 2008, when house prices doubled and interest rates went from 5 percent to 11 percent. Such long-term trends take time to work through. We are making good progress.
Phil Twyford : How can he boast, as he does frequently, that his Auckland Housing Accord is making a difference, when his own Cabinet papers show that Auckland Council last year was forecasting that only 7,000 new dwellings would be consented this year, and that consents are now, according to the Auckland Council chief economist, running at less than that rate under the Minister’s accord, which is about half of what Auckland needs just to stand still; and is he surprised to learn that not a single new house has been built in his special housing areas since he announced them 14 months ago?
Hon Dr NICK SMITH : What I can advise the member is that the rate of building consents both nationally and in Auckland is the fastest rate in 7 years, and that we are on target to meet those accord targets of an additional 9,000 houses this year, 13,000 next year, and 17,000 the year after. I can also confirm that more residential land has been zoned by us this year than has been zoned in the last 10 years.
Jami-Lee Ross : How does the rate of new house builds and housing affordability today compare with that when National first became Government?
Hon Dr NICK SMITH : The new house build rate collapsed in 2008 to just 1,000 per month nationally and to only 200 houses per month in Auckland. The current rate is 2,000 houses per month nationally and 600 per month in Auckland. That is, we are building twice as many houses every month nationally than when we became the Government, and three times as many houses per month than were being built in Auckland. On housing affordability data, what the Roost index shows is that housing affordability nationally has improved by 26 percent since we became the Government and 17 percent in Auckland, or if you want to use the Massey University Home Affordability Report, things have improved 35 percent nationally and 25 percent in Auckland.
Phil Twyford : Will he concede that, as shown in his Cabinet paper, for 5 years straight, under his Government, the number of building consents for new dwellings has been lower than for any year in the previous two decades, and even if he meets his Auckland Housing Accord target, he will never catch up with the shortfall?
Hon Dr NICK SMITH : The record on building consents is very clear. They completely collapsed in 2008. They collapsed to the point that in November 2008 fewer houses were built than in any year in 15 years, and we are now building three times as many houses per month as when we became the Government, and I am proud of that record.
Phil Twyford : I seek leave of the House to table this Cabinet paper, which shows that for 5 years straight—
Mr SPEAKER : Order! The member’s use—[Interruption] Order! The member is describing the paper. It has been well described in his supplementary question. I will put the leave. Leave is sought to table that particular Cabinet paper. Is there any objection?
Hon Dr Nick Smith : I raise a point of order, Mr Speaker.
Mr SPEAKER : I am putting the leave first for this. Is there any objection to that being tabled? There appears to be none. It can be tabled.
• Document, by leave, laid on the Table of the House.
Hon Dr Nick Smith : I seek leave to table Statistics New Zealand’s housing building consent figures—
Mr SPEAKER : Order! Order! The member can resume his seat. New Zealand statistics are available to all members easily.
Phil Twyford : Is he aware that new figures show that property investors with multiple houses make up 43 percent of house sales, showing that property speculation is out of control, particularly in Auckland, and does he agree with Westpac that a capital gains tax would reduce the value of rental properties for speculators by 23 percent, which would make his failing housing policy fairer, and help more New Zealanders into their own homes?
Hon Dr NICK SMITH : All of the advice that I have seen about a capital gains tax is that it will make any difference to the housing market only if you include the two-thirds of homes that are owned by ordinary families. I do not know any political parties that are endorsing that view, but I would never doubt the capacity of members opposite to want to tax more hard-working New Zealanders.

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Parliament Today: State Opening Of Parliament

The House sits at 10.30am today before MPs are summoned to hear the Speech from the Throne in the Legislative Council Chamber.

The speech delivered by the Governor-General on the Government’s behalf outlines its priorities for this Parliament.

After this MPs will return to the House for the presentation of petitions and papers and the introduction of any bills.

The Government has five notices of motion on the Order Paper which can be debated. These relate to relating to the appointment of the Deputy Speaker, Assistant Speakers, the reinstatement of business in a carryover motion and one on “Entities to be deemed public organisations”. More>>

 

Housing, Iraq: PM Press Conference – 20 October 2014

Prime Minister John Key met with press today to discuss:
• Housing prices and redevelopment in Auckland
• Discussions with Tony Abbott on the governmental response to ISIS, and New Zealand’s election to the UN Security Council More>>

ALSO:

Labour: Review Team Named, Leadership Campaign Starts

Labour’s New Zealand Council has appointed Bryan Gould as Convenor of its post-General Election Review. He will be joined on the Review Team by Hon Margaret Wilson, Stacey Morrison and Brian Corban.

ALSO:


Roy Morgan Poll: National Slips, Labour Hits Lows

The first New Zealand Roy Morgan Poll since the NZ Election shows National 43.5% (down 3.54% since the September 20 Election). This isn’t unusual, National support has dropped after each of John Key’s Election victories... However, support for the main opposition Labour Party has crashed to 22.5% (down 2.63% and the lowest support for Labour since the 1914 NZ Election as United Labour). More>>

ALSO:

In On First Round: New Zealand Wins Security Council Seat

Prime Minister John Key has welcomed New Zealand securing a place on the United Nations Security Council for the 2015-16 term. More>>

ALSO:

TPP Leak: Intellectual Property Text Confirms Risk - Jane Kelsey

The US is continuing its assault on generic medicines through numerous proposed changes to patent laws. ‘These are bound to impact on Pharmac if they are accepted’, according to Professor Kelsey... Copyright is another area of ongoing sensitivity... More>>

ALSO:

RMA: Smith Plans Reform To Ease Urban Development

Newly appointed Environment Minister Nick Smith has announced Resource Management Act reform to foster urban development, where high land prices and expensive resource consents are blocking efforts to provide affordable housing. More>>>

ALSO:

Gordon Campbell: On New Zealand getting involved (again) in other people's wars

Apparently, the Key government is still pondering how New Zealand will contribute to the fight against Islamic State. Long may it ponder, given the lack of consensus among our allies as to how to fight IS, where to fight it (Syria, Iraq, or both?) and with whose ground troops, pray tell? More>>

ALSO:

Gordon Campbell: On child poverty, and David Shearer’s latest outburst

The politicisation of (a) the public service and (b) the operations of the Official Information Act have been highlighted by the policy advice package on child poverty that RNZ’s resolute political editor Brent Edwards has finally prised out of the Ministry of Social Development. More>>

ALSO:

Gordon Campbell: On the government’s review of security laws

So the Key government is about to launch a four week review of the ability of our existing legislation to deal with “suspected and returning foreign terrorist fighters, and other violent extremists.”

According to its terms of reference, the review will consider whether the SIS, GCSB and Police are sufficiently able right now to (a) investigate and monitor suspected and returning foreign terrorist fighters… More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news