Collaboration essential to tackling housing challenges

LGNZ says it is vital local and central government work together to address the country’s housing issues, including incentivising councils to achieve housing growth.

This follows the release of the Government’s ‘Going for Housing Growth’ consultation document today, which outlines Pillar 1 of the Government’s Going for Housing Growth programme.

LGNZ Vice President Campbell Barry says that while many of the proposals are welcome, the time has come for the Government to establish a more positive relationship with councils on housing.

“It’s clear that significant action is needed to address New Zealand’s housing crisis, and some of what the Government is proposing is a positive step towards this,” says Campbell Barry.

“And while we understand and share the Government’s concern around the issues that exist in the RMA space, it’s not helpful or accurate to portray councils as the sole architects of New Zealand’s housing crisis.

“Councils have faced ongoing uncertainty as planning rules have changed repeatedly; the RMA was replaced, then that system was repealed, there were promises and reversals on the Medium Density Residential Standards, multiple RMA amendments, and now another replacement is being rushed through.

“The goal posts for councils have been constantly shifted.”

“With the exception of Government giving itself power to intervene in plans, we’re confident that councils will respond positively to these changes overall. But the Government also needs to give councils the chance to deliver before it imposes unnecessary constraints on local decision-making, such as the ability for Government to intervene directly to alter the structure of council plans.”

Campbell Barry says that the best way to achieve housing outcomes is to stop disincentivising councils to allow for growth.

“It's important to acknowledge that many councils across the country have worked extremely hard to cater for growth, as they recognise the need for more housing and growth.

“If the Government wants to encourage the right behaviours in a sustainable way and build on its good work around development levies, it needs to follow through on introducing a share of GST on new builds to encourage councils to support growth — as well as other funding levers that enable housing growth.

“That would be a far better and more effective option than the Government threatening to veto council decisions.

“We look forward to engaging with the Government further to ensure local and central government work together, to address the housing issues that continue to plague our country”.