More certainty in construction sector smooths boom and bust cycle
07 August 2018
NZ Government:
The 2018 National Construction Pipeline Report
released today shows signs of sustained growth for the next six years,
Minister for Building and Construction Jenny Salesa says.
The 2018 report provides a projection of national building and
construction activity for the next six years, through to 31 December
2023. It includes national and regional breakdowns of actual and
forecast residential building, non-residential building and
infrastructure activity.
Jenny Salesa said for the first time since the Construction Pipeline
forecasts were first published in 2013, the modelling forecasts
sustained growth, reflecting strong construction demand nationwide.
“Further, national dwelling unit consents are projected to reach
historic highs and we have already seen evidence of this with consenting
in
Auckland currently at its highest level for 15 years.
“New
Zealand’s traditional construction boom-bust cycles have undermined
the certainty and confidence needed to grow
skills and sustain a robust
workforce over time. Gains made in peak periods dissipate and the effort
to gear up again has taken energy that could have been more usefully
applied to supporting innovation and efficiencies.
“Greater confidence and certainty within the construction sector will
provide a more stable foundation as we embark on the decade-long
KiwiBuild project to deliver an additional 100,000 modest starter homes
into the market,” Jenny Salesa said.
Further information
The 2018 National Construction Pipeline Report is based on building and
construction forecasting by The Building Research Association of New
Zealand (BRANZ), and Pacifecon NZ Ltd data on researched non-residential
building and infrastructure intentions.
Other key findings from the report
-
Auckland’s new housing will increasingly rely on apartments (multi-units) and we are already seeing this shift in latest consent data. For May close to half of Auckland’s consents were multi-units.
-
The upper North Island triangle of Auckland, Waikato and Tauranga sustains non-residential building activity.
-
Wellington experienced the strongest total construction growth in 2017.
The report can be found here: http://www.mbie.govt.nz/info-services/building-construction/skills-innovation-productivity/national-construction-pipeline
--ENDS--
Source: New Zealand Government - www.beehive.govt.nz
Contact: N/A
External Links: http://www.mbie.govt.nz/info-services/building-construction/skills-innovation-productivity/national-construction-pipeline
Recent news by: NZ Government