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Housing: the options, the new left narrative?

Written By: - Date published: 11:07 am, September 13th, 2013 - 75 comments
Categories: capital gains, class war, david cunliffe, democratic participation, election 2014, greens, labour, local government, mana, Metiria Turei, sustainability, vision, workers' rights - Tags:

Metiria Turei’s  appearance this week on the anti-current events, infotainment show The Vote, has raised the issue of how oppositions parties will talk about their housing policies, as we count down to next year’s election.  As some commented under my post yesterday, the left needs to develop a more savvy way to deal with right wing attacks on policies to improve housing affordability for renters and buyers on mid-low incomes.

geoff argued:

keep haranguing Turei for advocating the lowering of the value of their properties for many home owners.

this.
I think Key & Co will push this angle really hard. How should the left counter this? It’s tricky because, quite plausibly, it is true that the value of houses will come down.

Tim Watkin’s post on Pundit yesterday took a similar line, but more in praise of the shabby Vote episode than in criticism.

But just as powerful is the anti-narrative – the story your opponents try to stick on you – and on last night’s The Vote we saw two examples that give us an insight on how next year’s election battle could unfold.

[...]

Turei got caught out by a simple questions; “Do you want house prices to drop?” It’s one thing to fret about housing affordability, to say how prices are out of control even and fear a bubble. But to tell the more than one million mortgage holders in New Zealand — including many of the deeply indebted Auckland liberals who vote Green — that they should be willing to take a hit on their biggest asset, well, the hashtag #politicalsuicide was used on Twitter and wasn’t out of order.

So what are the policies, and how can they be explained clearly to the electorate in the face of everything the right will throw at them over the next year?

The Green’s housing policies include a focus on state housing: Julie Anne Genter’s press release yesterday focused on some extra tools to cool Auckland’s housing market.  She is critical of the Reserve Bank’s blunt tool of interest rate manipulation:

“We need a capital gains tax, restrictions on overseas investment in residential property, a government-led programme of affordable house building, and the Greens’ Progressive Ownership plan to give young families a pathway to homeownership.

The Mana Party has put a strong focus on maintaining and improving state house provisions.  This week, John Minto was critical of Auckland Council’s Unitary Plan failure to respond to the housing crisis in the city:

Minto for Mayor would build 20,000 affordable council rental homes to address the sharpest point in the crisis with other plans to promote home ownership opportunities for every New Zealand family.

Last night on Citizen A, Wayne Hope also floated the idea of Council Housing.  Is this a practical option?

The Labour Party’s Kiwibuild housing policy (under Housing tab), focuses strongly on a partnership with the private sector: new homes for first time buyers, restriction of house buying by non-residents, qaulity of the rental stock, apprenticeships and house building, CGT, and provisions to ensure council approval of social housing.

Whatever the policy, it should be embedded within a wider narrative, not just one focused on housing.  It should be part of a broader vision, rather than being presented as part of a piecemeal roll out of individual policies as happened under Labour’s leadership by Shearer.

people b4 profit

Some, like James Henderson, have argued that Cunliffe is offering a new vision for the left.

I reckon Cunliffe’s fair deal will say ‘yup, if you want higher wages, you need to let workers bargain together, you need a government that is a good employer, you need a good minimum wage’ and ‘if you want affordable housing, if you want good jobs, in a country like New Zealand it’s up to Government to lead the way by building those houses, by buying Kiwi-made, and by not leaving everything to an uncaring, inefficient market’.

Hamish Rutherford on Stuff reports that it is based solidly on labour bedrock of employment reform:

“That’s bedrock David Cunliffe social democratic Labour policy. That is going to happen.”

He promised party faithful a visible change in tack from the current government. “The Labour Party I lead will be a true red Labour Party, not a pale blue one.”

Cunliffe’s vision has been outlined in his speeches over the last couple of years, and hinted at on his own campaign-focused website.  It is seen in his speech at Dunedin on Monday, which includes a focus on renewables and green technology.

The Labour Government I lead will take on the vested interests of markets when necessary to guarantee the wellbeing of citizens, just as I did against the old Telecom monopoly.

Our challenge must be to build a smart and high-value economy.

However, it speaks to the politically knowledgeable labour/left base.  Such a vision has yet to be clearly and sharply honed into a narrative for the broader public and distortionary MSM, using language that speaks to the hearts of New Zealanders.

keep calm sweet as

Similarly, The Greens’ vision and the Mana Party’s vision speak to their core constituency rather than the wider electorate.

cooking breaks down small

How can the narratives of eco-social democracy and/or (green) democratic socialism be told successful to the wider electorate?

75 comments on “Housing: the options, the new left narrative?”

  1. Pasupial 1

    The Left stand for healthy communities.
    The Right step over homeless beggars.

    • Rich the other 1.1

      pasupial,

      If the greens get what they want, house values to drop by 15/20% you will have a new bred of homeless beggars, former house owners.

      • McFlock 1.1.1

        Let’s unpack that, shall we?
        If the value of a home drops by 20%, why would a home-owner lose their home? They might go underwater for a while if there was a sudden drop and they were highly-mortgaged, but they would still have the same mortgage and the same income.

      • aerobubble 1.1.2

        Home owners who brought high only have themselves to blame.

        Anyhow you don’t lock in the price until you sell, housing prices after any downturn, will rebound. So the possibility that they sell during the downturn is once again their own.

        Thirdly, as higher prices creep up who are the winners, well not those who sell and buy a similar property, they get hammered by a high cost to the real estate agent, less choice, and more fear over paying too much (and so sustain even high prices).

        So simple put unless you are moving overseas, die, or otherwise have no need of the home, actually housing price is never a windfall.

        Sure Greens are going to hurt those who have huge mortgages, but they also want high wages, and better redistribution. So the National party also want lower prices (its hurting the economy to put all that investment in non-productive homes), and have policies that are being rolled out to do just that, but without concerns about higher wages or redistribution of wealth back to the middle and lower classes.

        • geoff 1.1.2.1

          Home owners who brought high only have themselves to blame.

          No, not true. Not true at all.

          • aerobubble 1.1.2.1.1

            Okay. People who buy homes who could not realistically pay them off brought us the collapse, and yes that was more down to the banks and neo-liberal governments deregulating the mortgage market. So yes, you are correct Home owners only have themselves too blame if they also voted for stupid right wing parties, or left wing ones with right wing financial policies.

      • Saarbo 1.1.3

        The National House market has increased by 8.1% in the last year alone. A 20% decrease over say the next 10 to 15 years wont be too tough on people but it will direct investment cash to investments that produce real returns for new zealanders, a consequence of housing no longer being an attractive investment option.

        The realty is that a successful housing affordability strategy requires a reduction in house prices, whether it is Labour or National. If house prices stay where they are then they are not affordable, strategy fail.

      • geoff 1.1.4

        Rich the other, that would only be true over the long term, and that’s a good thing. Any sudden drop in prices will be due to a sudden increase in interest rates.

  2. just saying 2

    I think her framing could be improved, but I don’t think Turei should have lied. Let’s not hide behind wishy washy poli-speak. I know I want house prices to come down. How else does housing become more affordable? She should have mentioned that it is property speculators and rental- portfolio holders, rather than ordinary home owners that will be affected in most cases, and that as business operators they must accept that there is, and always was, risk. And the higher the potential returns, the greater that risk becomes.

    As far as I understand it, all the avenues for solving the housing crisis including my own preference for a massive state-housing programme will result in lowering house prices and rents across the board. For most people that is a good thing.

    • Enough is Enough 2.1

      “She should have mentioned that it is property speculators and rental- portfolio holders, rather than ordinary home owners that will be affected in most cases”

      Out of interest how can only some property owners be affected by property prices coming down?

      • just saying 2.1.1

        If you own a house to live in what’s the problem? If you have to move, other houses are cheaper too. Numbers on a page.

        National: “I’d love to see wages come down” (and boy, haven’t they delivered on this).
        vs the left – “we’d love to see house prices come down”.

        Say it proud I reckon.

        • Rich the other 2.1.1.1

          just saying,
          Lets say,
          I buy a house for 500k paying a 5% deposit = $25k, $475 mortgage.
          Under a green govt , Houses drop by 20% making the value of my home $400K

          My deposit of $25k is wiped out and am now paying a mortgage of $475k on a property worth $400k.

          But wait there’s more , If I sell I will be HOMELESS as I all of my equity is gone and have NO deposit to purchase again.

          Can you give me directions to the salvation army’s night shelter.

          • McFlock 2.1.1.1.1

            What planet are you on? You do realise that the fortnightly repayments on that mortgage would be roughly equivalent to as much as half the country would make in a fortnight?

            But more to the point, even if they bought and immediately dropped 25% and had to sell again, they’d have to make the repayments on $75 debt ($200/fortnight), not $475k ($1274/fortnight). At that rate they could quickly save another $25k in about six months (or a year, assuming that they can’t pay for rent out of the ongoing house costs for their mansion, e.g. rates, maintenance, peasants, decorating, etc). Oh, and even if they don’t sell they’ll have their head above water in a year or two.

            I mean, it sounds like a plausible problem, until one actually looks at the maths and realises that you’re just lamenting the poor little rich folk who max their credit to keep up with the Joneses. A lot of people in NZ have real problems, mate.

            In the meantime, that’s what state houses are for.

            • Rich the other 2.1.1.1.1.1

              mcflock.
              People exit their homes and move on for many different reasons , sometimes it’s not a choice, eg divorce , etc.etc.

              So for what ever reason they exit their home still owing $75k they will then have to save another deposit and purchase again at the 20% lower price eg $400k.

              Save 5% deposit on $ 400k =$20k which means they borrow another $380k + they already owe $75k which means their latest home worth $400k has an actual debt of $455k

              You seem to think saving $25k in 6 months will be easy which is around $2000 a fortnight , I hope they don’t expect to eat in that time.

              All in all this seems a very dismal picture and people in this situation will become renters which will be a real boost for land lords.

              Don’t ya just love green logic.

              • bad12

                What a great plan, shall we do nothing about making housing more affordable because of the choices of a few who decide to get divorced…

              • McFlock

                I think that if they can service a $475k mortgage, then they can service a $75k mortgage AND save for a deposit on a replacement house. Although it might mean slumming it with the plebs for a year or so (the embarrassment!).

                And at the end of it, they’ll still have a lower mortgage for an equivalent, or even the same house as before!

                Look at your rather tortured scenario: A couple are mortgaged for $475k. They sell for $400k (for whatever reason), then save up the remainder of what they’d previously been paying in mortgage and rates and so on, while renting (although they pay back none of the $75k remainder, just the interest). A year or so later they buy almost the same house at its new $400k value, and are mortgaged at $455k. Plus the $20k deposit they saved up, that’s $475k. Far from being “homeless”, they are in exactly the same position that they were before the value dipped.

                • Rich the other

                  mcflock,
                  Romney I presume, plenty of wool around the eyes.

                  No bank will lend $455k on a property valued at $400k , in other words they are unable to borrow to buy and will become renters.
                  Once they start paying rent they are stuffed and it will take years to save a deposit.

                  GREEN LOGIC , don’t ya just love it.

                  • McFlock

                    Lol
                    Oh noes, worst-case scenario if they are forced to sell: they’ll have to RENT!

                    Better than being homeless, which is what you were calling them before.
                    So, them that overextends themselves without leaving a buffer for market contingencies might have to retrench and save up for a while in order to buy their dream mcmansion.

                    Meanwhile, tens of thousands will never be able to afford to buy their own home, over-extended or otherwise.

                    Tory problems: who really gives a shit?

                  • vto

                    Rich the other, why don’t you right wingers ever try doing things by your own philosophy… if what you say is the case and those new renters want to buy then the amazing free market will see that gap and fill it, supplying homes to those renters..

                    Just like the free market does now for all those people who want to buy but can’t.

                    ha ha ha ha ha ha ha ha ha, god knows why you lot put such faith in the free market. Idiots.

                    RIGHT WING LOGIC, gotta love it

                    • Rich the other

                      Try this, the shortage is a political fairy tale.

                      Waikato,3227
                      Auckland ,1186
                      Northland, 1871
                      Wellington, 1151
                      Manawatu ,2227
                      These houses are listed on trade me , $400000 or less.
                      These don’t include listings with real estate agents.

                      The other point is why should we be worried about Auckland housing , as you can see there are plenty of choices around the country.

                      Wouldn’t it make more sense to start pushing the govt to invest in more regional development, shift the jobs, it’s that easy.

                    • karol

                      I think pushing regional development is also favoured by the Greens and Robertson and Cunliffe. But that is not enough on its own.

                    • xtasy

                      Rich the other – all those homes you list as being advertised for less than 400 k, where exactly are they located, and are they close to the areas where there are real jobs, enabling home buyers to earn a living AND pay off any loans and mortages?

                      At least you give a figure for the whole of Auckland, that seems to be close to the ones under 500 k, as John Campbell said on Campbell Live on Thursday evening. We had Lotu Iiga from the Nats on the Vote claiming there were 1,100 homes under 500 k on the market in his electorate alone, which was proved to be total BS. Campbell or his staff only found about 200 falling into that category.

                      As for Northland, Waikato and so forth, you will not find many jobs there, and I dread to see the quality of some of those homes.

                      Yes, regional development is needed, but it will take time, while the housing pressures in Auckland, Christchurch and a few other places are real and pressing right now.

                  • Colonial Viper

                    No bank will lend $455k on a property valued at $400k , in other words they are unable to borrow to buy and will become renters.

                    Those valuations are illusory. Price mean reversion is inevitable.

                    Might as well do it in an orderly, planned fashion.

              • Mike S

                You’re paying twice the value of the house to the bank anyway even though they didn’t have the money in the first place and created the money you ‘borrowed’ out of thin air. That’s what you should be up in arms about.

                If you buy a house to live in, then house prices going up or down doesn’t really affect you that much as you’ve still got to pay the agreement you signed up to. If you’re buying to flick on at a profit then tough shit, you should have invested in the productive economy. Many people and the number is growing, will never be able to own their own home. That is disgusting in supposedly one of the richest countries in the world.

        • QoT 2.1.1.2

          That’s one angle I think would be good to see politicians using: “Most people who buy a house are buying a home, a place to live for their family. They don’t need to worry about a short-term dip in the market, because they’re not in it for a quick buck.”

    • Pasupial 2.2

      just saying

      She did mention all that, but the TV3s news edit-with-a hatchet job made it seem like Turei wanted every one of NZ million home-owner’s destitute. If you watch the online video of “The Vote” (which I don’t advise if you value your sanity), Peters had a good line about how house-prices going to fall anyway when the property bubble bursts, so why not have a controlled and targeted reduction now (paraphrased from memory – I can’t be bothered going back and transcribing the exact words).

      • just saying 2.2.1

        Thanks for the extra info. I didn’t see the programme.
        Great line from Winston.

      • karol 2.2.2

        Thanks, Pasupial. More damning info about 3 News.

        It also means the left or left parties need a consistent one liner, that encapsulates their broader narrative, to keep repeating in TV appearances.

    • Lanthanide 2.3

      “I know I want house prices to come down. How else does housing become more affordable?”

      By the price of houses staying the same and incomes rising.

      • karol 2.3.1

        By the price of houses staying the same and incomes rising.

        But doesn’t that mean house prices coming down in real terms?

  3. BM 3

    Eco-social democracy

    From wikipedia

    Eco-socialists advocate dismantling capitalism, focusing on common ownership of the means of production by freely associated producers, and restoring the commons

    Here lies your problem.

    • karol 3.1

      BM. New task for you. Check the difference between eco social democracy and eco-socialism.

      • BM 3.1.1

        Is there a difference.?

        • Pasupial 3.1.1.1

          BM

          “The concept of an Eco-social market economy aims at balancing free market economics, the strive for social fairness and the sustainable use and protection of the natural resources.”

          http://en.wikipedia.org/wiki/Eco-social_market_economy

        • karol 3.1.1.2

          Just add environmental considerations to the differences between

          Explained on Wikipedia:

          Social democracy is a political ideology that officially has as its goal the establishment of democratic socialism through reformist and gradualist methods.[1] Alternatively, social democracy is defined as a policy regime involving a universal welfare state and collective bargaining schemes within the framework of a capitalist economy.

          Our left political parties these days tend to go with the 2nd (revisionist?) definition.

          Wikipedia on Socialism:

          Socialism is an economic system characterised by social ownership of the means of production and co-operative management of the economy.[1] “Social ownership” may refer to cooperative enterprises, common ownership, state ownership, citizen ownership of equity, or any combination of these.[2]

  4. Fran O'Sullivan 4

    Personally, I thought Metiria was spot on.

    Have seen a few property cycles now. Leveraged myself into my first “home and income” in Wellington in 1978 after the housing market dropped around 1976 and lower prices enabled me to get a foot in the door even with multiple mortgages. Interestingly, prices recovered in subsequent years and five years on I was offered (but declined) a price about one-third higher than I paid. If you can wait out a slump and don’t have to shift the cycles tend to even out. A property is only “under water” if you have negative equity and cannot service a loan.

    The real and horribly pressing issue is what happens to all those over-leveraged people who are already facing difficulties servicing mortgages when the RB ramps up interest rates in 2016 according to reports of Wheeler’s comments.

    • Saarbo 4.1

      “The real and horribly pressing issue is what happens to all those over-leveraged people who are already facing difficulties servicing mortgages when the RB ramps up interest rates in 2016 according to reports of Wheeler’s comments.”

      plus the downstream consequence of increased exchange rates driving our export businesses to the wall.

      How about making investment housing less attractive so that investors sell their homes to increase supply, eliminating the need to increase interest rates. The only loser are house investors, the winners are first home buyers and renters.

      • bad12 4.1.1

        i think Wheeler said April next year was when He would be most likely to start the pain for the highly leveraged…

    • geoff 4.2

      Describing the present situation as a property cycle is not accurate, Fran.

  5. Well, yeah, a fall in house values would be really bad for:
    1. Property investors.
    2. People who feel that tax-free capital gain from their house is a human right.
    3. Idiots, aka people with mortgages almost as high as the value of their house.

    Those three groups may be large, but they’re not ones I feel a great deal of sympathy for and aren’t exactly core Greens’ constituency either. Turei should have stuck to her guns and told ‘em fuck.

  6. bad12 6

    OK, on house prices dropping in the Auckland market because of either Kiwibuild or the Greens ‘rent to own’ policies, everybody is barking up the wrong tree,

    PRICES WILL NOT DROP, there can be no overt sudden drop of house prices in the Auckland market simply because the proposals from both Labour and the Greens mean that the Houses they cause to be built WILL NOT BE SOLD IN THE MARKET,

    As these homes are going to be targeted at first home buyers there will still be a large upwardly mobile demographic in the Auckland housing market seeking better/bigger/flasher homes so WHY would house prices suddenly fall, it’s actually an economic nonsense to suggest or believe such,

    If the left are going to buy into whatever lie Duncan Garner can think up on any given day then election 2014 is going to be a lot harder work than it should be…

  7. vto 7

    There is absolutely no doubt that lower house prices is good for everybody and it should be aimed for.

    High values benefit only the banks – nobody else,

  8. geoff 8

    So what are the policies, and how can they be explained clearly to the electorate in the face of everything the right will throw at them over the next year?

    Realistically, anything that a left government can do will take a long time to have an effect on any metric. This is a good thing because Greens/Labour can highlight that they are taking a long term perspective, doing ‘the right thing’. This is in stark contrast to National’s hands-off, ‘let’s let the market fix this’ (even though it was a hands off approach that caused this problem in the first place).

    In terms of selling policy, I think Gordon Campbell’s recent advice is really sound, tone back the personal attacks on Key and talk past him, because he is an irrelevancy that has ignored this, (and many other) problems.

    http://gordoncampbell.scoop.co.nz/2013/09/12/gordon-campbell-on-dialling-back-the-anti-key-rhetoric-and-the-putin-plan-for-syria/

  9. Ad 9

    If I ruled New Zealand I would create 100 public development companies under the Housing Corporation, and use the Public Works Act to take out huge swathes of land and houses both inside and on the periphery of NZ cities, and rebuild whole suburbs at a time.
    And invite the private sector developers to take large minority interests.
    Then put the designs and pricing and quantity surveying out to competitive tender.
    Iwi companies could join in if they wanted.

    10 Hobsonvilles

    10 Massey North’s

    10 Tamaki Transformation projects

    10 New Lynns

    All of the public profits would have to get recycled.

    Given the housing demand I would be able to sell them all off the plans, to new couples who have to live in them not rent them out.

    Once I had started making serious money I would then use some of the profits to buy up and start demolishing the worst of Flaxmere, Kawerau, Murapara, Kaikohe, and other dying towns full of poverty and crime. Depending on how patrician I was feeling at the time.

    • Herodotus 9.1

      So you are happy for those who purchase raw land and spend massive resources and time to be by passed by the govt, yet earth works , civil works, aggregate suppliers, concrete manufactures , building products manufacturers etc to continue to make their margins? In other words paint the land developers in a bad way yet allow companies mentioned above (read fletched to continue to make their profit margins).
      Ad everyone appears to be an expert in land developer and the property market, pity many have little to no understanding of the industry or how the market really functions.
      But at least you are being constructive with ideas, keep going

      • Ad 9.1.1

        Raw land developers are welcome to the risks they take. I just think it’s time they got the chance to share their risks with the public sector – who so clearly have public policy goals to achieve.

        Everyone should get their margins – that’s the point of business.

        • Herodotus 9.1.1.1

          Yet from my reading of your comment and labours Kiwibuild all attention has been centred on the land developer yet build materials manufacturers, earth movers, civil workers, trades and councils appear to be able to able to trade as normal. Or with both Nats 39k dwellings over 3 years or Kiwibuild no consideration has been made for prices to rise as those sectors within the industry are pushed beyond their capacity = result increased prices. Such increases are occurring already and there is little increase in land and building consenting level, especially compared to the levels of 2003-4.
          As many have commented, if $400k affordable housing is the solution ( i.r.t Auckland ) then who can benefit ? Not those in need that is for sure.
          Far better for govt resources IMO to be directed to state housing than performing the function of developing for the private market.

          • Colonial Viper 9.1.1.1.1

            You make some good points and they should be considered and incorporated into the final plan.

          • Ad 9.1.1.1.2

            I think you underestimate the power of the market to regulate its own labour, land price and materials supply and prices. Everyone can see the bubble, especially in Auckland. The only question now is how quickly it deflates and how bad the damage.

            The housing market as a whole is however too big to control. It can now only be blunted. That is done partly by choking eg the Reserve Bank risky lender controls, partly through land supply eg Housing Accord, partly through monopsonising the market ie SKIRT and the Chch rebuild, but most importantly by incentivising the private developers to work with the state and form common companies with common interest.

            I’d love it if we could go back to the patrician days of the state command-controlling everything. Those days are dead.

          • bad12 9.1.1.1.3

            i don’t disagree with you on the State House build, state houses as an economic function do not ‘just’ house the poor,

            When there was an adequate supply of State Houses in the city of Auckland there was not a problem of affordability for those wishing to buy their own home,

            State houses as an economic function takes away the one thing those who see housing as an investment need to make that investment succeed, Tenants,

            Without tenants, those in the middle class who have a love affair with rental property, a large number of them as 100,000 homes have in the past 20 years become rental properties, would not be so keen on putting their monies into rental investments which would mean that there is less demand in the housing market…

  10. Swan 10

    Politicians just need to sell the fact that lower house prices are a good thing for most people. For anyone who doesn’t own a house, lower prices are good. For everyone who owns only one house lower house prices are largely neutral to their direct circumstances, but good via the benefits to the wider economy.

    There seems to be a meme that goes: if you own a house, lower house prices are obviously bad. This is pretty much nonsense for most people.

    • Ad 10.1

      Best of luck with that.

      75% of our debt is private and it’s real estate.

      Every % increase in capital value is either leverage up the great real estate rat cycle of happiness, or a year closer to selling up and out to an earlier retirement.

      Superannuation used to be the political third rail. Home ownership is the new their rail in politics. And it requires perpetual price increases.

      • bad12 10.1.1

        i still fail to see how the Government building any amount of houses will lower the price of existing houses,

        None of the houses proposed to be built will be initially sold into the market so these houses will simply serve to take away part of the demand particularly in the Auckland housing market,

        There will still be sufficient demand from those who are upwardly mobile and those buying rental investments and removing from the equation first home buyers at the most is only likely to slow down the time it takes to sell a property…

        • swan 10.1.1.1

          bad12,

          “i still fail to see how the Government building any amount of houses will lower the price of existing houses”

          “these houses will simply serve to take away part of the demand particularly in the Auckland housing market,”

          You have answered your own question. And if you make an impact in one segment of the market, you will indirectly affect the whole market through substituability. Aaron Schiff expains that concept very elegantly here:

          http://aaronschiff.net/2013/08/something-that-cannot-carry-on-must-eventually-stop/

          • bad12 10.1.1.1.1

            Are you suggesting that current home owners who have gathered over a period of years a substantial amount of equity in their current property are not going to keep ‘climbing the property ladder’, leveraging themselves into what they see as bigger, better, flasher home in a ‘better’ suburb,

            You will also have to be suggesting that the middle class love affair for the second and third property as a rental investment is suddenly going to come to a halt,

            None of the above is anywhere near the reality and as the proposal is that the Government who build the affordable housing will be selling these homes directly to the new owners presumably by way of ballot such housing will not in the first instance not be any indicator to the market on pricing of existing stock,

            Why exactly then would the price of a recently built 200m Whenuapai dwelling suddenly fall when everything the Party’s proposing building the affordable homes has said would indicate that the ‘plan’ is to build 100m dwellings which if they are smart they will sell on condition of the Government having a buy back option based upon sold price + equity,

            The effect on the Auckland market of such a Government build i would suggest is that property will become a little slower to sell, and the odd ‘bargain’ will pop up in the market caused by sellers for whatever reason ‘having’ to sell…

      • swan 10.1.2

        Ad

        “Every % increase in capital value is either leverage up the great real estate rat cycle of happiness,”

        But that’s the thing. Rising house prices work directly against people trying to upsize. If you have a 400k house and you want a 700k house, you need 300k extra debt. If prices go up 10%, you suddenly have a 440k house, but the house you want is 770k, so you need an extra 30k. You are worse off.

        “or a year closer to selling up and out to an earlier retirement.”

        You are right about those downsizing, but I think this is often overstated. Someone downsizing has to basically move out of town to somewhere cheaper – either that or move to a cheaper suburb or into a very small unit. Basically you need to make a very significant jump downwards for it to be worth it (once you account for the costs of selling, moving etc). People often dont want to do that when they retire, so they dont get any benefit.

        • bad12 10.1.2.1

          You may correctly see the step up the property ladder as debt but the great swathe of the middle class currently playing this game of monopoly do not really consider this,

          i know someone with a 500 grand home and 2 rental apartments in the city, last time i talked with Him his ‘debt’ was close to being a million bucks,

          He tho doesn’t consider the debt at all, in His mind He is sitting on a million dollars of assets…

  11. xtasy 11

    This talk about the great danger of a house price collapse and equity wipe-out is vastly exaggerated. Tolerable adjustments have happened in a moderate way in the years following the tail end of the 2007/2008 boom of the real estate market already. Indeed the ones that would likely suffer most would be the very “investors” and “speculators”, as most NZers will continue to do all to just buy and pay off their own homes to live in.

    If some people over-leverage with too much debt on overpriced homes, of course some will be forced to sell and lose, but they would face lower other homes they can then buy, as the reduction in prices will likely go across the whole price range of homes. There is already a kind of bubble developing, and any economic slow down can already upset the market and lead to a downturn and price reductions.

    I would not feel too much pity for the investors who already have portfolios and enough cash and credit to expand these. Them going bust or losing out a bit will hurt themselves and their banks more than the average home buyer.

    As we saw overseas, the government could step in with some measures and bail out banks, but as the Australian owned banks here are much healthier than many overseas ones, few will face serious dangers.

    In any case, as long as migration and overseas buying continues, there will be continued demand, and existing house building is years behind meeting demand. To actually have a collapse of the whole market seems unlikely at present, and for the near future. The Reserve Bank has already announced higher interest rates to “cool” the markets, so there is already intention to slow price growth.

    This is all just more of the panic creation by the government and stakeholders involved, who rather want things to carry on as it is, and have their pockets filled with endless book value money, which can though be wiped out by many other “crisis” any time.

    The home building plans by Labour and Greens and Mana are targeting first home buyers, and will only catch up with demand that is pressing. There is also need for low end social housing, of better quality than what exists. The higher end market will be little affected, that is the 3 to 4 brm “plus” large homes, that presently are preferred by NZers returning from OEs, by some well cashed migrants and overseas investors.

    Do not fall for all this panic, same as was tried with the policy release of the one state agency electricity buyer, to supply various retailers.

    Sadly Metiria is not an economic whizkid. If Russell Norman had been there on The Vote, he would have handled it very differently.

    • McFlock 11.1

      Agreed.

      The thing about economics is that although the ideal is that any change does not worsen the outcome for any actor (e.g. in the market both buyer and seller “win” from the transaction. Theoretically. I know, I know…), in practise there is a conceivable “loser” for almost any policy change described. So the standard tory playbook when responding to left policy is to wank on about a theoretical loser and ignore the far greater number of peope who are helped by that policy.
      Funnily enough, they do the same thing for their own policies – wank on about the few people who might be helped, and ignore the far greater number of people they’re kicking in the nuts.

      • swan 11.1.1

        “So the standard tory playbook when responding to left policy is to wank on about a theoretical loser and ignore the far greater number of peope who are helped by that policy.”

        I dont think that playbook is restricted to the “tories”. The left seems to go on about losers from welfare enhancing policy all the time. (eg free trade, less prohibition of land development, eradicating price floors in the labour market etc.)

        Not sure why we are talking about UK politics though…

        • McFlock 11.1.1.1

          same hat, different country.

          The difference is that there are almost always more poor people than rich people. So the left is almost always pointing out the effects for the majority of people (be they winners or losers), not just being obsessed with the welfare of 0.5% of them.

  12. xtasy 12

    What makes me damned furious are those landlords, who may owe little or perhaps a fair bit on mortgages, for the homes they rent out in Auckland and Christchurch. They are “creaming” it at present, as interest rates are comparatively low for NZ conditions, so they have less to pay off, but can charge as much rent as the market can demand.

    That gives them a very easy way to pay off debt rather quickly, and at the same time have their property values increase substantially.

    Auckland and parts of Christchurch have largely become a landlord’s and speculators paradise. These are the ones very happy with values going up and up, and having heard Metiria Turei make an “apology” to basically “calm” such person’s nerves, that really shocked me.

    Metiria get some extra lessons in macroeconomics perhaps, as it is all more complex and less straight forward as many think. Booms are followed by busts, and any larger home building policy will at least slow price growth, if not lead to some moderate decrease in prices in at least the lower end of the market.

  13. Ad 13

    My general struggle with both the Green and Labour policies is that they look at simply building places for families.

    I think we need to rebuild our cities and towns. To me that means integrating great design, energy efficiency, public transport, integrating schools and police and water and health and fitness. All stuff that makes for a good life. A civic life.

    Labour used to presume that it could plan whole towns. Some elements of masterplanning with the full integration of local and central public services and amenities still remain, but very few.

    It’s a task worth doing, and we need the commercial, governance, and Public Works Act instruments to do that.

  14. Treetop 14

    Did anyone else hear Garner say on 3rd Degree that only 1% of land was occupied in NZ?

    If so

    Why is the cost of a section in Auckland, Christchurch and Wellington so much?

    • Colonial Viper 14.1

      That’s the 1%. Not many people want to live in Dannevirke or Winton you see.

      • Treetop 14.1.1

        Because there is no work and it is too expensive to purchase and run a car when a client of Work and Income.

        Did you see earlier in the week that in Richmond parking was free and in Nelson it is $1 an hour and some people shop in Richmond 10 minutes away when in Nelson because of no parking fee?

        • Greywarbler 14.1.1.1

          The usual wisdom is that it costs to go some kms to escape parking fees, so a case could be made that it’s futile. But then there are outlets offering cheaper cuts of meat and vegs on the way, and because parking is free in Richmond then there are no nasty surprises of $40 over-parking tickets. Which spoil your day, when you have lost track of time and find one on the window. Bus to Richmond is over $2.50 from Nelson, not sure how much – so return would be at least $5 a day if you had to go there to look for or get work.

  15. Greywarbler 15

    Because the wealthiest 1% have monpolised ownership of it. A strange form of yin yan.

    • Treetop 15.1

      I have been trying to feng shui my home lately. Yin is stagnant energy, Yang is flowing energy. So 99% are languishing out there when it comes to affording to purchase a section in the three mentioned cities.

  16. Neoleftie 16

    A slave owner I once slaved for bought a block of farm land for a solid price, waited a few years, developed that said land in subdivision, landscaped, roads etc by another of his setup companies and then flogged off 400 sections over the space of ten years at $90k to $250 k a section. In the process inflated the land and section price by both controlling demand and supply by mimicking same pattern as California in the 60′s. point is simple labour uncoordinated and divided by the rise of consumerism and individualism will always be weak and poor.

  17. Sable 17

    The value of NZ homes is actually quite high when compared to many other countries so an adjustment in values should not really make as much of an impact as people might think. I think house values should hold up quite well even if Labour’s housing vision is implemented.

    It should also see more money injected into the economy as people feel more confident about spending with house prices becoming more reasonable. It may even lead to upward mobility which could boost house prices over the longer term too. Especially properties where people have added value.

    • Colonial Viper 17.1

      People who have owned their homes for at least 10 years have experienced massive growth in their home values, growth well beyond the long term trend, and it is time for them to give a small amount of those gains back.

      The problem will be people who bought much more recently, say in the last 3-4 years. They could easily end up underwater from where they are at now.

      However I think this situation which will be manageable, and doesn’t preclude making homes more affordable for all.

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    Mana | 25-08
  • Labour’s culture of science and innovation
    Labour will create a culture of science and innovation in New Zealand that will be the envy of the world, says Labour’s Innovation, Research and Development spokesperson Megan Woods. “Labour believes that good science lies at the heart of a...
    Labour | 25-08
  • Improving life for our new New Zealanders
    New Zealand’s international standing as a community that encourages and fosters all cultures will be bolstered under a Labour Government with an upgrade of the present Office of Ethnic Affairs to a Ministry. Releasing Labour’s Ethnic Affairs policy, spokesperson Phil...
    Labour | 25-08
  • South Auckland housing crisis
    National’s HomeStart package is nothing more than a political stunt designed to beguile South Auckland voters, said Labour’s Pacific Affairs spokesperson Su’a William Sio. “Few working Pasifika and Maori workers in South Auckland will be able to buy their own...
    Labour | 25-08
  • Home buyer subsidy discredited in Oz
    Treasury advised against National’s policy of ramping up home buyer subsidies after it was discredited in Australia because it pushed house prices even higher, Labour’s Housing spokesperson Phil Twyford says. “Documents released under the OIA (attached) show Treasury advised the...
    Labour | 25-08
  • Nursing hours explain turnover and high-stress culture
    A staff survey supports concerns nursing staff at Dunedin Hospital are under increasing pressure and that the emergency department is in a critical state, says Labour’s Associate Health Spokesperson David Clark.  “An ED nursing survey at Dunedin found that 80...
    Labour | 24-08
  • Underhand tactics prove case for axing donations
    Revelations that schools are using underhand tactics to coerce donations from cash-strapped parents further highlights the need for Labour's plan to increase funding so they aren't dependent on contributions from parents, Labour's Education spokesperson Chris Hipkins says. “By law New...
    Labour | 24-08
  • National applies band-aid to housing crisis
    The Government’s flagship housing announcement is a band-aid approach that will push up prices rather than solve the housing crisis, says Labour Leader David Cunliffe. “House sales to first home buyers have collapsed as a direct result of the Government’s...
    Labour | 24-08
  • Climate change focus on the now for the future
    A Labour Governmentwill put in place a comprehensive climate change strategy focusing on bothmitigation and adaptation, establish an independent Climate Commission andimplement carbon budgeting, says Labour Climate Change spokesperson MoanaMackey."This is about future-proofing our economy. Making the transition to alow-carbon...
    Labour | 24-08
  • Labour’s 21st century transport pledge
    The next Labour-led Government will create a 21st century transport system for New Zealand that promotes the most efficient and sustainable combination of transport options, says Labour’s Transport spokesperson Phil Twyford. “Labour will rebalance the Government's transport spending away from...
    Labour | 23-08
  • Housing under National: the facts
    1.       House prices in Auckland Council valuations indicate Auckland house prices have gone up by one-third over the last three years. (Auckland Council) The average Auckland house price has gone up by nearly $225,000 since 2008, up over $75,000 in...
    Labour | 23-08
  • Labour irons out low income tax issue
    The increasing casualisation of work has led to many New Zealand families being disadvantaged through the tax they pay, Labour Leader David Cunliffe says. "Many low paid workers are having to work two or three jobs to make ends meet...
    Labour | 22-08
  • Cornered Government comes out swinging
    The National Government is so desperate to keep its dead-in-the-water expert teachers policy alive, it has refused to rule out forcing schools to participate through legislation, Labour’s Education spokesperson Chris Hipkins says. “John Key today attacked the Educational Institute for...
    Labour | 22-08
  • Pacific people continue to go backwards under National
    A report from Victoria University highlights the fact that Pacific people are continuing to go backwards under a National Government, said Labour’s Pacific Affairs spokesperson Su’a William Sio.  “The report shows the largest inequality increases were in smoking, obesity, tertiary...
    Labour | 22-08
  • Wellington transport plan needs to keep moving
    The failure of the Transport Agency to properly look at alternatives to the Basin Reserve flyover is not a good reason for further delays to improving transport in Wellington, Labour MPs Grant Robertson and Annette King say. “The Board of...
    Labour | 22-08
  • Labour’s focus on inequality, kids and better job prospects
    Tackling child poverty and removing barriers to people working part time to enhance their prospects of moving into a fulltime job are highlights of Labour’s Social Development policy. Releasing the policy today, spokesperson Sue Moroney said while part-time work was...
    Labour | 21-08
  • Political staff should give answers under oath
    The Inspector General of Security and Intelligence should use her full statutory powers to question witnesses under oath about the leak of SIS information, says Labour MP Phil Goff. “Leakage of confidential information from the SIS for political purposes is...
    Labour | 21-08
  • High dollar, hands-off Govt sends workers to dole queue
    The loss of up to 100 jobs at Croxley stationery in Auckland is devastating news for their families and the local Avondale community, Labour’s Employment, Skills and Training spokesperson Grant Robertson says. “The company’s inability to compete in international markets...
    Labour | 21-08
  • National’s flagship education policy dead in the water
    National’s plan to create executive principals and expert teachers is effectively dead in the water with news that 93 percent of primary teachers have no confidence in the scheme, Labour’s Education spokesperson Chris Hipkins says. “The fact that teachers are...
    Labour | 21-08
  • Dunedin will be a knowledge and innovation centre under Labour
    Dunedin will become a knowledge and innovation centre under a Labour Government that will back local businesses, support technology initiatives and fund dynamic regional projects, Labour Leader David Cunliffe says. “Nowhere has the National Government’s short-sightedness been more apparently than...
    Labour | 21-08
  • Inquiry into SIS disclosures the right decision
    Labour MP Phil Goff says the Inspector-General of Intelligence and Security has done the right thing by launching an inquiry into the disclosure of SIS documents about a meeting between himself and the agency’s former director-general. “This inquiry is necessary...
    Labour | 20-08
  • Labour – supporting and valuing carers and the cared for
    Placing real value on our elderly and the people who care for them will be a priority for a Labour Government, Labour Leader David Cunliffe says. Releasing Labour’s Senior Citizens policy today David Cunliffe promised that a Labour Government would...
    Labour | 20-08
  • By Hoki! It’s Labour’s fisheries policy
    A Labour Government will protect the iconic Kiwi tradition of fishing by improving access to the coast, protecting the rights of recreational fishers and reviewing snapper restrictions, Labour’s Fisheries spokesperson Damien O’Connor says. “Catching a fish from the rocks, beach...
    Labour | 20-08
  • Mighty River – Mighty Profits – Mighty hard to swallow
    Mighty River Power’s profit increase of 84 per cent is simply outrageous, says Labour’s Energy spokesperson David Shearer. “Demand for electricity is flat or declining yet the company has made enormous profits. It is the latest power company to celebrate...
    Labour | 19-08
  • Collins’ actions were wrong, not unwise
    John Key’s moral compass remains off-kilter as he cannot bring himself to declare Judith Collins’ actions outright wrong, not simply ‘unwise’, said Labour MP Grant Robertson. “Under pressure John Key is finally shifting his stance but his failure to condemn...
    Labour | 19-08
  • Public servants behaving with more integrity than their masters
    The State Services Commission's new report on the integrity of our state services reflects the yawning gap between the behaviour of public servants and that of their political masters, Labour's State Services spokesperson Maryan Street says. “This report, which surveyed...
    Labour | 19-08
  • Phil Twyford Speech to NZCID
    "Labour's plan to build more and build better: how new approaches to housing, transport and urban development will deliver cities that work" Phil Twyford, Labour Party spokesperson on housing, transport, Auckland issues, and cities.  ...
    Labour | 19-08
  • Soz Cam – PaknSave boycott of whaleoil continues – time to start a boyc...
    Cam is so carcinogenic now, not even his mates in the Tobacco Industry are talking to him any longer. I suspect only the Israeli Defence Force propaganda department are paying for content on whaleoil now. Cam says that PaknSave have dropped their problems...
    The Daily Blog | 02-09
  • The Rock Fuels NZ Roastbuster Rape Culture
    This is making me feel pretty uncomfortable. Here we have an instance of Jono and Ben posing like “exposed celebrities”. But do you know what I’m seeing? I’m seeing two dudes who basically “roasted” a woman online (exposed pictures of...
    The Daily Blog | 02-09
  • GUEST BLOG: Kate Davis – Why beneficiaries need advocacy
    There are times when I am wrong. I was wrong recently when someone suggested to me that AAAP should be eligible for government funding to continues its advocacy work. That was before. Before dealing with advocacy on a weekly basis...
    The Daily Blog | 01-09
  • TheDailyBlog September Political Poll Has Been Kicked Off
    The Daily Blog’s August poll has concluded and the September poll has been kicked off, asking readers: What party will you likely vote for at this year’s General Election? You will see this month’s poll in the right-hand sidebar of...
    The Daily Blog | 01-09
  • GUEST BLOG: Kelly Ellis – Jamie Whyte, leave that poor seal alone!
    Worse than showing mere lip service to Rainbow inclusion, ACT leader Jamie Whyte showed stunning arrogance when appeared at a candidates debate on rainbow issues hosted by the Auckland University Students’ Association last Thursday. The stunning hypocrisy was evident as...
    The Daily Blog | 01-09
  • Right wing can’t help but use scum
    Some people have been shocked that the traditional right wing party in New Zealand politics is so deeply embedded with scum like the blogger Whale Oil. We need not be so surprised. It takes a certain type to support the...
    The Daily Blog | 01-09
  • EXCLUSIVE: National’s Ohariu candidate admits contact by Simon Lusk
    . . Wellington, NZ, 31  August – At a meet-the-candidates public meeting in the Rongotai Electorate, National’s Ohariu candidate, Brett Hudson, confirmed that he had been approached by “a mate”, who passed on a message from  National Party operative, Simon...
    The Daily Blog | 01-09
  • Coalition for Better Broadcasting – Auckland Broadcasting Debate 2014
    Coalition for Better Broadcasting – Auckland Broadcasting Debate 2014...
    The Daily Blog | 01-09
  • Petition for Governor General of New Zealand to Investigate all the allegat...
      Now we see the inquiry will be a whitewash, that is secret, won’t be consulted with the Opposition, will have limited scope and will ignore Nicky Hager’s book, we must demand the Governor General step in and demand an...
    The Daily Blog | 01-09
  • Ashburton, 1 September 2014
    I NEVER WENT BACK to Aramoana after the killing. I had been a frequent visitor to the tiny seaside village back in the late 1970s and throughout the 80s. Its tall cliffs and broad beaches providing a colourful backdrop to...
    The Daily Blog | 01-09
  • Checkmate in 1 move – how could Slater have known what was in OIA request...
    And now we get down to the final few moves before checkmate. If the following investigation is right, how could Slater and Collins have known what was in the Secret Intelligence Service Official Information Act request that hadn’t been released...
    The Daily Blog | 01-09
  • The Edge Posts Naked Photos Of Jennifer Lawrence Without Consent
    Today the Edge website – owned by Media Works – published fully naked photographs of Jennifer Lawrence without her consent. It is not OK to publish naked media of any woman without her consent, full stop. It is absolutely disgusting...
    The Daily Blog | 01-09
  • Bomber, Laila and Maggie – a highlight from Auckland Broadcasting Debate ...
    Bomber, Laila and Maggie – a highlight from Auckland Broadcasting Debate 2014...
    The Daily Blog | 01-09
  • Jeremy Wells’ Mike Hosking rant on Radio Hauraki: Today, how good was I i...
    Jeremy Wells’ Mike Hosking on Radio Hauraki...
    The Daily Blog | 31-08
  • Maggie Barry slags Laila Harre & blogger, audience erupt
    The Coalition for Better Broadcasting held their public meeting in Auckland last night and it became a fiery shouting match when Maggie Barry decided to slag Laila Harre and me off. 250 people packed into the Pioneer Hall off High...
    The Daily Blog | 31-08
  • It has to be a full independent public inquiry and Key MUST front
      You know things are bad when images like this start appearing in the media.  It isn’t a ‘left wing conspiracy’ to point out the over whelming evidence of what is clearly a right wing conspiracy! If it looks like a conspiracy, sounds like a conspiracy...
    The Daily Blog | 31-08
  • Political Party social media stats – National playing Dirty Politics on s...
    Interesting data from friend of the blog, Marty Stewart, on social media likes and it shows an interesting question that post Dirty Politics should probably get asked…   …it’s interesting that Key has so many personal followers.  One wonders if...
    The Daily Blog | 31-08
  • The depth of the National rot and the compliance of our news media
    I’m so tired. Aren’t you? I don’t want to read the news anymore. It’s awful and I feel ashamed of it. We live in a country that people all over the world would give an arm, a leg; their life...
    The Daily Blog | 31-08
  • Conservative Party candidate links smacking ban with suicide, sexually tran...
    If Chemtrails, faked moon landings and climate change denial weren’t enough, welcome to your new Minister for Spanking,  Edward Saafi... The anti-smacking law is to blame for youth suicide, youth prostitution and even sexually-transmitted infections, a leading Conservative party candidate...
    The Daily Blog | 31-08
  • A brief word on the canonisation of Matthew Hooton
    Before we all start the canonisation of Matthew Hooton, let’s consider some home truths here shall we? While the Wellington Ruminator Blog, the blog who was previously mates with Judith Collins, now seems to have a crush on Matthew Hooton… …I...
    The Daily Blog | 31-08
  • A brief word on undercover cops in bars
    Dunedin police booze operation labelled ‘creepy’ Undercover police officers drank in Dunedin bars as part of an operation targeting liquor licensing offences. While police said the inaugural operation was a success — with most bars found compliant — the Hospitality...
    The Daily Blog | 31-08
  • Judith Collins press conference
    Judith Collins press conference...
    The Daily Blog | 31-08
  • GUEST BLOG: Angry Lawyer – Collins, Odgers, Williams and legal ethics
    We deserve better lawyers than Judith Collins Three of the worst offenders exposed in Dirty Politics are lawyers: Judith Collins, Cathy Odgers, and Jordan Williams. What Nicky Hager exposed them doing would be out of line for anyone, but from...
    The Daily Blog | 31-08
  • GUEST BLOG: Pat O’Dea – Necessary Defence
    Increasingly climate change is becoming the main fracture line between political parties. Where political parties stand on climate change defines political parties and movements like no other issue. The Mana Movement like the Maori Party it sprang from, came out...
    The Daily Blog | 31-08
  • Why it is all over for John Key
    Image: Melanie D I’ve been confident that National will lose this election and that our focus should be on what a progressive Government needs to establish as its agenda in the first 100 days. Past that point, the establishment pushes back...
    The Daily Blog | 31-08
  • A brief word to everyone who voted National in 2011
    I received this interesting email from a National Party supporter today… …let me say this to anyone who voted National last election – you should be ashamed by what has been revealed and what your vote ended up enabling but...
    The Daily Blog | 31-08
  • EXCLUSIVE: Déjà Vu All Over Again: John Ansell confirms his participation...
      THE MAN BEHIND the Iwi-Kiwi billboards that very nearly won the 2005 election for Don Brash and the National Party has confirmed his involvement in businessman John Third’s and former Act MP Owen Jennings’ campaign to drive down the...
    The Daily Blog | 31-08
  • Public Broadcasting Auckland debate 6.30pm tonight now with Colin Craig &am...
    The Coalition for Better Broadcasting debate on public broadcasting happens tonight at 6.30pm in Auckland at the Pioneer Women’s Hall, High Street, Auckland City.  In the light of Dirty Politics and the manipulation of the media, public broadcasting is more important for...
    The Daily Blog | 30-08
  • Winners & Losers in Collins sacking plus what’s the latest on Slater...
      Make no mistake, there was no way this was a resignation, it’s a face saving way out for Collins, she was sacked.  My understanding is that National internal polls are haemorrhaging and that the powers that be within National...
    The Daily Blog | 30-08
  • Third party propaganda attacks incoming Labour-led government
    . . Further to a report by Daily Blogger, Chris Trotter, on receiving information regarding planned attack-billboards, the following billboard is highly visible to traffic on the southbound lane of the Wellington motorway, just prior to the Murphy St turn-off....
    The Daily Blog | 30-08
  • Labour wins the Internet
    I’m sure I’m not the only one who tried to vote online for the leaders debate and couldn’t because the website was down. The next option was the txt vote, 75c a pop of course. So I’m not surprised that...
    The Daily Blog | 30-08
  • GUEST BLOG: Anjum Rahman – Rotherham and the need to challenge willful bl...
    I haven’t been following the events in Rotterham too closely.  I’ve read about the basic issues and the culture of silence that stopped action been taken even after complaints were made.  That culture of silence is incredibly familiar, and described...
    The Daily Blog | 30-08
  • Review: Hairspray
      Oh Hairspray! What fun! Somehow I managed to miss the movie when it came out, I had no idea really what it was about though I felt it had a vague relation to High School Musical. In retrospect, that...
    The Daily Blog | 30-08
  • Mounting global pressure against Timor-Leste’s ‘death sentence’ media...
    East Timor’s José Belo … courageous fight against ‘unconstitutional’ media law.Image: © Ted McDonnell 2014 CAFÉ PACIFIC and the Pacific Media Centre Online posted challenges to the controversial ‘press law’ nine months ago when it emerged how dangerous this draft...
    The Daily Blog | 30-08
  • GUEST BLOG: Curwen Rolinson – Spies, Lies and When Campaigns Are Fried
    Like most of the rest of the nation’s political classes, I was eagerly affixed to TV One from 12:30 on Saturday afternoon to witness the downfall of Judith Collins.Whenever we witness the crumbling of a titan of the political landscape...
    The Daily Blog | 30-08
  • BREAKING: Whaleoil crushes Crusher
    Judith ends up shooting herself A new email has been released suggesting that Collins was attempting to undermine the head of Serious Fraud Office with the help of far right hate speech merchant Cameron Slater. Unbelievable!   She has been forced...
    The Daily Blog | 30-08
  • BREAKING: Rumours Judith Collins gone at lunchtime
    Brook Sabin first of the mark with rumours Judith Collins is about to resign – PM announcing a statement at 12.30pm… …Paddy follows… …Vance confirms..   …if Collins is gone by lunchtime, it will be because the PM understands the...
    The Daily Blog | 29-08
  • BREAKING: UPDATE on DIRT ALERT!
    Thanks to the information passed to Chris Trotter by “Idiot/Savant” from No Right Turn it is now possible to identify at least some of the persons involved in this latest example of attack politics. What follows is Chris’s response to Idiot/Savant’s timely assistance: Well done...
    The Daily Blog | 29-08
  • Comparing burning puppets, hip hop lyrics and drunk student chants to black...
    Watching the mainstream media try and obscure Cunliffe’s surprise win in the leaders debate  is a reminder the Press Gallery is in depressed shock. The current spin line from the Wellington bubble media in the wake of Dirty Politics is that...
    The Daily Blog | 29-08
  • Why has it all gone quiet on Charter Schools?
    They’re one of ACT’s flagship policies and the National Party have been gung ho in supporting them. So how come we’re not hearing Hekia Parata, Jamie Whyte, Catherine Isaac, et al singing from the rafters about what a resounding success charter...
    The Daily Blog | 29-08
  • Moment of Truth – September 15th – Auckland Town Hall
    Moment of Truth – September 15th – Auckland Town Hall...
    The Daily Blog | 29-08
  • EXCLUSIVE: Dirt Alert! Are the Greens and Labour about to become the target...
    WE’VE SEEN IT ALL BEFORE. In 2005 pamphlets began appearing all over New Zealand attacking Labour and the Greens. For a couple of days both the parties targeted and the news media were flummoxed. Who was behind such an obviously...
    The Daily Blog | 29-08
  • The Donghua Liu Affair: the Press Council’s decision
    . . 1. Prologue . The Donghua Liu Affair hit  the headlines on 18 June, with allegations that David Cunliffe wrote a letter in 2003,  on  behalf of  business migrant, Donghua Liu. Four days later, on Sunday 22 June, the...
    The Daily Blog | 29-08
  • The difference between Cunliffe & Key in the debate
    It was with much interest that I watched the leaders debate on Thursday night.  I watched with an open mind, always happy to have my opinion changed.  Maybe John Key is all the wonderful things that many say about him,...
    The Daily Blog | 29-08
  • GUEST BLOG: Denis Tegg – When Did We Agree To Our Data Being Shared with ...
    New shocking evidence has emerged from Edward Snowden’s trove of documents about a program called ICREACH under which data collected by the GCSB is shared with 23 US spy agencies. Under new sharing agreements which appear to have commenced immediately after...
    The Daily Blog | 28-08
  • Why Internet MANA are the best political friends the Greens could ever get
    Metiria at last nights #GreenRoomNZ: standing on the shoulders and camera cases of giants  NZers, regardless of political spectrum or apathy level, have a wonderful beach cricket egalitarianism about us. If we can objectively conclude a winner, then that person...
    The Daily Blog | 28-08
  • Sick of the Sleaze? Protest against National’s dirty politics THIS SATURD...
    Sick of the Sleaze? Protest now dammit! Three weeks before the election, action is being taken across the country voicing a rejection of the National Government’s track record and direction. Rallies are being held in Auckland, Wellington, Christchurch and Dunedin...
    The Daily Blog | 28-08
  • GUEST BLOG: Sir Edmund Thomas – Address at Nicky Hager public meeting
    I regard it as privilege to chair this public meeting. I have long had the greatest admiration for Nicky Hager’s work, and nothing I have read or heard in the media over the past week or so has caused me...
    The Daily Blog | 28-08
  • Labour and New Zealand Superannuation
    The kerfuffle in the wake of Nicky Hager’s Dirty Politics has had a detrimental impact on our discussion of economic policies. Signs are that the main beneficiaries of the dirty politics revelations will be Winston Peters and Colin Craig; certainly National suffered...
    The Daily Blog | 28-08
  • Coalition for Better Broadcasting – Mike Hosking and the Leader’s Debat...
    A few weeks ago I blogged that Mike Hosking was a terrible choice as moderator for the TV One Party Leader’s Debate, because he is so embarrassingly biased in favour of John Key. So I watched the show with curiosity,...
    The Daily Blog | 28-08
  • Further criminal investigation into CTV Building collapse
    Police has today confirmed it will be advancing the criminal investigation into the collapse of the CTV building in February 2011....
    Scoop politics | 02-09
  • Greens policy to restore link between effort and reward
    The Green Party’s new workers policy articulates an alternative to wage repression and job insecurity based on restoring the link between effort and reward, according to FIRST Union. The core tenets of the policy include implementing an $18 minimum...
    Scoop politics | 02-09
  • Greens workers policy supported by union movement
    The CTU is supporting the Green Party’s policy launched today focused on improving life for working New Zealanders. “This policy shows the Greens commitment to collective bargaining as the best and fairest way to improve workers terms and conditions. It...
    Scoop politics | 02-09
  • Research Scholarships for Cannabis Treatments
    Medical cannabis research will be boosted by $140 million if the Aotearoa Legalise Cannabis Party is elected on September 20. Pediatric epilepsy treatment will be one of the main priorities for the research scholarships....
    Scoop politics | 01-09
  • Ngai Te Rangi Change to Tribal Elections
    Ngai Te Rangi has begun a postal vote of beneficiaries to change the way representatives are elected to the two Ngai Te Rangi tribal organisations....
    Scoop politics | 01-09
  • Greens’ commitment to pay equity welcomed by workers
    The Public Service Association (PSA) says the 58,000 workers they represent will benefit from the announcement by the Green Party of a commitment to pay equity and to a living wage for core public servants and contractors....
    Scoop politics | 01-09
  • Real People Powering Real Policy
    New Zealanders from all walks of life have helped the Internet Party create a full platform of strong, progressive and realistic policies that will create a better future for everyone, says leader Laila Harré....
    Scoop politics | 01-09
  • University of Canterbury to help with forestry safety
    The University of Canterbury is to launch a new research project to make sure New Zealand’s new forestry roads are safe and are established with minimal environmental impact....
    Scoop politics | 01-09
  • Time to get serious about ending homelessness!
    New Zealand needs a comprehensive set of policies that address the housing and support needs of homeless people as well as significantly increasing the supply of affordable, good quality houses and flats....
    Scoop politics | 01-09
  • Hundreds to join domestic, sexual violence march
    Several social service providers from across New Zealand have come together to call for an end to the epidemic level of domestic and sexual violence in New Zealand....
    Scoop politics | 01-09
  • Students helped with debt repayments
    New Zealand students now living in Australia are being reminded not to ignore their student loan debt as Inland Revenue expands its latest tool to help with repayments....
    Scoop politics | 01-09
  • Launch of GenderNeutral.co.nz website
    GenderNeutral.co.nz are excited to announce the launch of their new website, GenderNeutral.co.nz ....
    Scoop politics | 01-09
  • Factory farming debaters to look chicken in the eye
    MPs participating in a panel discussion about factory farming will come face-to-face with a real live hen, rescued from the claws of the intensive farming industry. Hettie the Hen will demonstrate to the MPs what little space is afforded to...
    Scoop politics | 01-09
  • Leadership stands strong behind Internet MANA relationship
    “There is now, and always will be, a range of views about many issues within our movement and members are free to express them, but Georgina’s views on Kim Dotcom are not shared by the MANA Movement leadership or the...
    Scoop politics | 01-09
  • Personal Statement by Matthew Hooton
    Personal Statement by Matthew Hooton 1 September 2014 For Immediate Release “This morning I made comments on Radio New Zealand’s Nine to Noon programme about an attempt by staff in the Prime Minister’s Office to interfere in the appointment...
    Scoop politics | 01-09
  • The Worm turns down for John Key
    John Key struggled to coax The Worm above the line in Thursday’s Leaders Debate, according to Roy Morgan’s Reactor, the original Worm. John Key struggled to coax The Worm above the line in Thursday’s Leaders Debate, according to Roy Morgan’s...
    Scoop politics | 01-09
  • The Edge Posts Naked Photos Without Consent
    The Edge website, owned by Media Works have published fully naked photographs of Jennifer Lawrence without her consent....
    Scoop politics | 01-09
  • Statement from the Governor-General on Ashburton Shootings
    The Governor-General, Lt Gen The Rt Hon Sir Jerry Mateparae, has expressed his deep shock following the shooting of three people in Ashburton today....
    Scoop politics | 01-09
  • Update on IGIS inquiry into release of NZSIS information
    In recognition of the public interest, the Inspector-General of Intelligence and Security, Cheryl Gwyn, took the unusual step of providing an update during the course of an inquiry and confirmed today that she would be summoning a number of individuals...
    Scoop politics | 01-09
  • An Open Government Plan developed in secrecy
    The State Services Commission sent NZ’s Open Government Action Plan to the international Open Government Partnership (OGP) Secretariat on 31 July. The countries involved in the OGP since its inception - from the UK and US to Indonesia and Brazil...
    Scoop politics | 01-09
  • KiwiRail; another year older and deeper in debt
    That is a lot of money and there are lessons that need to be learnt before we pour in another $1 billion....
    Scoop politics | 01-09
  • Fonterra China Deal Demands Safe Supply Chain
    The future success of Fonterra’s deal to sell infant formula in China [1] requires all milk it uses be safe and for Fonterra to secure its supply chain from contamination by GE DNA and pesticide residues. There is now significant...
    Scoop politics | 01-09
  • HRC praises Auckland mum for speaking out
    Race Relations Commissioner Dame Susan Devoy has praised an Auckland mother of four who went public after humiliating treatment by staff at The Warehouse....
    Scoop politics | 01-09
  • Southern DHB refers disputed issue to Serious Fraud Office
    Following advice from forensic investigation firm Beattie Varley Limited, Southern District Health Board has referred the expenditure at the centre of its long running dispute with South Link Health to the Serious Fraud Office. The parties have been...
    Scoop politics | 01-09
  • The Letter 1 September 2014
    Last night’s TVNZ Colmar Brunton poll puts the left and right 60 MPs each. United and the Maori Party say they will go with the side that gets to 61 MPs. ACT just needs just 1.3% or 28 thousand Party...
    Scoop politics | 01-09
  • Shopping Giveaway Harmless Fun For Kids
    Family First NZ is rubbishing claims by critics including Gareth Morgan that the New World ‘Little Shop’ promotion is harmful for kids, and says that kids should be allowed to be kids. “Children love acting like their parents and pretending...
    Scoop politics | 01-09
  • Red Cross launches employment service for former refugees
    New Zealand Red Cross is encouraging employers to give refugees a fresh startwith the launch of Pathways to Employment, a nationwide work assistance service....
    Scoop politics | 01-09
  • EDS welcomes Labour’s Conservation Policy
    The Environmental Defence Society has welcomed Labour’s Conservation Policy including the key objective of halting the current pattern of indigenous biodiversity decline within ten years....
    Scoop politics | 01-09
  • Poverty is falling and income inequality is not rising
    “A Roy Morgan poll shows that the issue people are most concerned about is income inequality. This just goes to show how the persistent repetition of a lie bewilders the public. Income inequality is not in fact rising. And the...
    Scoop politics | 01-09
  • Rotary NZ responding to Fiji water and sanitation issues
    Clean water and sanitation are vital to health. In Fiji Rotary New Zealand have been targeting 22 communities that are experiencing severe hardship mainly because they don’t have access to clean water for their drinking, cleaning and cooking needs....
    Scoop politics | 01-09
  • Work & Income shooting a Tragedy
    Kay Brereton speaking on behalf of the National Beneficiary Advocacy Consultancy group says; “Two people shot and another wounded, this is a tragedy and our deepest sympathy goes out to the family and whanau of the victims, as well as...
    Scoop politics | 01-09
  • 1080 Poison Deer Repellent not Effective – Farmers
    Four deer have been found dead within a farmer's bush block, after an aerial 1080 poison drop applied with deer repellent. The drop was part of a 30,000 hectare drop across the Northern Pureora Forest Park....
    Scoop politics | 01-09
  • Employment Charter will strengthen migrants’ rights
    Establishing an Employment Charter for construction companies is a critical step to strengthening the rights of migrant workers that are fast becoming the face of the Christchurch rebuild, according to an alliance of union groups. The charter has...
    Scoop politics | 01-09
  • Global March For Elephants and Rhino
    It’s a trans-national business that funds terrorist organisations, fuels conflict in Africa, and poses environmental, development and security challenges. The illegal wildlife trade is also a lucrative business, generating an estimated USD$20 billion...
    Scoop politics | 01-09
  • New series of videos aimed at disengaged youth
    From the people who brought you 'NZ Idle' (NZ's favourite web series about an artist on the dole) comes a new series about election time: Choice Lolz....
    Scoop politics | 01-09
  • Picket Of Leaders Christchurch Debate
    KEEP OUR ASSETS PICKET OF LEADERS CHRISTCHURCH DEBATE TUESDAY SEPTEMBER 2nd, 6 p.m. ST MARGARETS COLLEGE, SHREWSBURY STREET, MERIVALE...
    Scoop politics | 01-09
  • Vega Auriga should be detained in NZ until problems fixed
    Maritime Union of New Zealand National Secretary Joe Fleetwood says that the ship Vega Auriga should be detained in a New Zealand port until it is deemed seaworthy and crew issues have been fixed....
    Scoop politics | 01-09
  • Minor Parties Added to Election ‘Bribe-O-Meter’
    The Taxpayers’ Union have added the Green, ACT, United Future and Conservative Parties to the ‘ Bribe-O-Meter ’ hosted at taxpayers.org.nz . Excluding ACT and New Zealand First, the total election ‘bribes’ - that is new spending not already...
    Scoop politics | 31-08
  • Fiery Broadcasting Debate in Auckland
    Over 250 people turned out for the Auckland Broadcasting and Media Debate in Auckland City last night to hear politicians give their solutions to NZ’s media and broadcasting woes....
    Scoop politics | 31-08
  • Independent Epsom Candidate: Adam Holland
    Today I am very proud to have been nominated to run as an independent candidate by the people of Epsom in order to work hard for the people of Epsom, Mount Eden, Newmarket and Remuera....
    Scoop politics | 31-08
  • Voters favour parties with factory farming policies
    A Horizon Research poll shows that 64.7% of adults are more likely to vote for a political party with a policy against factory farming....
    Scoop politics | 31-08
  • Collins And Dirty Politics Drive The #nzpol Wordcloud
    After Judith Collins' resignation as Minister from Cabinet on Saturday, the data insight organisation Qrious collected all tweets that used the hashtag #nzpol and for approximately the 24 hours since the announcement to produced this wordcloud....
    Scoop politics | 31-08
  • Bill English: allegations against Judith Collins are serious
    Deputy Prime Minister Bill English told TV1’s Q+A programme that the allegations against Judith Collins are serious and that’s why an inquiry is needed....
    Scoop politics | 31-08
  • Culture Change Required
    "There are serious issues raised in an Employment Relations Authority judgement released this week. The culture within the Whangarei District Council (WDC) organisation must change. The culture of any organisation is defined by its leadership starting...
    Scoop politics | 31-08
  • Reducing Reoffending Statistic Challenged
    In Rethinking’s latest blog, http://blog.rethinking.org.nz/2014/08/th-bps-reducing-crime-and-reoffending.html it closely examines the current claim that reoffending in New Zealand has reduced by 12.5% since June 2011, and reveals how that figure has been achieved. It argues...
    Scoop politics | 31-08
  • University economics team studying workers’ comparing wages
    A University of Canterbury economics research team is looking at fairness of the job assignments and whether workers are sensitive to the wages of their co-workers....
    Scoop politics | 31-08
  • Statement by State Services Commissioner
    30 August 2014 "The State Services Commission was contacted by the Prime Minister's Office over the last 24 hours on this issue." “Any activity that undermines, or has the potential to undermine, the trust and confidence in the public service...
    Scoop politics | 31-08
  • Christchurch Council Circus … Continued
    In 2010 the UK Daily Mail investigated the antics of a major bureaucratically bloated London Local Authority and reported with THE GREAT INERTIA SECTOR ....
    Scoop politics | 30-08
  • The Nation Housing Debate
    Patrick It's the great Kiwi dream, but is owning the roof over your head now just a pipe dream for many Kiwis? Homeownership is at the lowest level in half a century. National's answer is to double subsidies to first-home...
    Scoop politics | 30-08
  • Time to Shine Light on Shadowy Spies
    Internet MANA has promised to set up a Royal Commission of Inquiry into New Zealand’s intelligence agencies, with a view to transferring oversight of spying operations to a new, independent authority....
    Scoop politics | 30-08
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