“With today’s New Zealand Institute of Economic Research (NZEIR) quarterly survey showing the building sector is down in the dumps, Parliament should do the right thing and support my GST-sharing Member’s Bill when it is read for the first time tomorrow,” says ACT Deputy Leader and Housing spokesperson Brooke van Velden.
“With today’s New Zealand Institute of Economic Research (NZEIR) quarterly survey showing the building sector is down in the dumps, Parliament should do the right thing and support my GST-sharing Member’s Bill when it is read for the first time tomorrow,” says ACT Deputy Leader and Housing spokesperson Brooke van Velden.
“The report states: “The building sector remains the most downbeat among the sectors surveyed, with a net 76 percent of firms expecting a worsening in general economic conditions over the coming months… The architects’ measure of activity in their own office points to a further decline in the pipeline of housing and commercial construction work over the coming year.”
“Currently, local councils face poor incentives to build. Every new development involves costs to existing ratepayers to provide new roads, water, and sewerage connections. These costs act as a disincentive for councils to approve new houses and subdivisions.
“The GST-sharing scheme is estimated to deliver $1 billion every year to support local development enabling infrastructure, but councils that consent more, get more.
“My bill, the Housing Infrastructure (GST-sharing) Bill, is due to be read in Parliament this week. Other political parties should give the building sector something to be celebrate and vote in support of sharing GST with councils.
“ACT has recognised for a very long time that the housing crisis is really an infrastructure crisis. We first floated this policy in 2017 and have campaigned on it every year since.
“The only time you get prompt service from a council is when they’re issuing a parking ticket. They’ll come to you, anywhere, anytime, because there’s money in it. Imagine how many consents they’d issue if there was money in it for them?
“The GST-sharing scheme is estimated to deliver $1 billion every year to support local development enabling infrastructure, but councils that consent more, get more.
“ACT believes in better, longer-lasting solutions. As a country we deserve better when it comes to housing to ensure we can live our best and most fulfilling lives.”