Tommy Honey: Construction Industry Council ED on the drop in building consents

Early Edition with Ryan Bridge

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3M ago 3:29

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There's a belief New Zealand's building sector is still many months away from a rebound, as consents plummet.

Stats NZ data shows fewer than 34,000 new homes were consented in the year to June.

That's a 24% annual drop, and five-year low.

Construction Industry Council Executive Director Tommy Honey told Ryan Bridge it's a continuation of a trend that began mid-2022

He says they've been waiting for that to reverse —or at least plateau— but numbers are still seemingly sinking.

Annual building consents of apartments have also plummeted, with a 51% drop in the year to June.

Honey told Bridge apartments are seen as a risk for builders, developers, and investors.

He says it's also related to inflation running high, and while that's turning a corner, there's a lag at the Reserve Bank.

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