KiwiBuild wheel of fortune

Photoshopped image credit: Technomage

The government?s spin on the KiwiBuild wheel of fortune did not turn out as happily as they would have liked. Quote.

Housing Minister Phil Twyford is teasing details of his upcoming KiwiBuild “recalibration“, which will include providing private developers more incentives to build KiwiBuild homes.?

End quote.

Recalibration is another name for “back to the drawing board.” Straight after the election, the government came out with all guns blazing, hired a couple of big guns to run the show and promised delivery of affordable houses each year. Things did not go to plan because their houses are not affordable and production is well under target. Quote.

Speaking at the Labour Party retreat in Wairarapa this afternoon, Twyford, and Prime Minister Jacinda Ardern again attempted to distance the Government from previously promised KiwiBuild targets.

The pair repeatedly told reporters the goals were not helpful.

The Government had previously said it would build 5000 in 2020, 10,000 the year after, and 12,000 every year after that until 2028.

“[Those] targets have not been a useful way to demonstrate our delivery programme, that’s why the minister is looking at that again,” Ardern said.? End of quote.


What?s this mumbo jumbo? Interpretation: we didn?t meet our targets, the public is not happy so, going forward, we will simply remove the targets. There problem solved. But we will also have to think of another way to explain how we are spending the total $2.5 billion over the next five years, without demonstrating accountability. Big brush strokes will be needed with not too much detail. Oh, and by the way, we will need a bit more money. Quote.

One way would be to offer a stronger incentive for developers, as well as how the Government could make KiwiBuild better for first-home buyers.

“The idea is to provide a package of assistance to developers that would be enough of an incentive to get them to commit to serious volumes of affordable housing year-on-year.? End of quote.

NEWSTALK ZB

And here was I under the illusion that this government was creating additional affordable housing. Absorbing these suggested incentive costs and still managing to produce affordable homes must be giving the financial planners heart palpitations because it will be nigh on impossible.

31%
×