Report forecasts $100 billion construction boom   30 Oct 2014

New Zealand Government

Report forecasts $100 billion construction boom


Building and Housing Minister Dr Nick Smith today welcomed the findings of the second National Construction Pipeline report, which confirms building and construction activity in New Zealand is expected to reach unprecedented levels by 2017.

“The report released today points to the biggest construction boom this country has seen in decades totalling $100 billion over the next three years. It anticipates a minimum 10 per cent increase in activity every year to 2017, reaching a value of $35 billion. We are looking at the longest sustained period of growth in construction activity in 40 years,” Dr Smith says.

The latest findings support similar projections made in the first National Construction Pipeline report released in December last year. It shows slightly greater construction activity this year, and a lower peak in 2017 with the boom peaking slightly later in Christchurch in 2017 and Auckland in 2018.

“Growth in construction activity is on the cards for every region in New Zealand. I am particularly encouraged to see the strong forecasts for Auckland and Christchurch,” Dr Smith says.

“Auckland shows the highest level of construction activity, accounting for more than one-third of the upcoming workload in terms of value. This rapid rate of growth is driven by residential building, with the value of this work expected to more than double in value between 2012 and 2017.

“This affirms the success of the Government’s Housing Accord with the Auckland Council, where we will see thousands of new homes coming to market for families in the next few years.

“The forecast for Christchurch is further evidence that the post-earthquake rebuild efforts in the city are moving at pace. There are at least six Government projects due to begin in the next six months, with a collective value of nearly $1 billion.

“There is further good news for Christchurch in that this Government-funded construction activity appears to have wider, positive flow-on effects, with non-earthquake related, non-residential construction also expected to grow.”

The National Construction Pipeline provides national and regional forecasts of activity for residential and non-residential building and construction by central and local government, as well as the private sector.

The reports are commissioned by the Building and Construction Productivity Partnership, which is part of the Ministry of Business, Innovation and Employment (MBIE), and jointly prepared by BRANZ and Pacifecon New Zealand Limited. Its forecasts show the nature and timing of future building and construction work by type and by region through to December 2019.

“The National Construction Pipeline was developed following the recommendation of the Building and Construction Sector Productivity Taskforce for the publication of a forward-looking programme of sector activity. It provides the country’s building and construction sector with more certainty of future workloads, allowing the sector to better plan and invest in advance.

“This latest set of forecasts paints a golden era for New Zealand’s building and construction industry. The Government’s challenge is to invest in the skills to support this growth and to ensure our regulatory environment maintains high standards of quality through this period of rapid growth.”

The second National Construction Pipeline report is available at: http://www.buildingvalue.co.nz/publications

ends

Add a comment

News

Hilary Timmins' Award-Winning UK Documentary Series To Inspire NZ Students

29 Jun 2020 Education
Dream Catchers, produced and directed by Hilary Timmins, celebrates the success stories of more than thirty inspirational New... more

New Zealand reaffirms support for Flight MH17 judicial process

7 Mar 2020 News By Rt HON WINSTON PETERS
Ahead of the start of the criminal trial in the Netherlands on 9 March, Foreign Minister Winston Peters has reaffirmed the need to... more

Business

NZ Government's Economic package to fight COVID-19

17 Mar 2020 Business News By RT HON JACINDA ARDERN
The Coalition Government has launched the most significant peace-time economic plan in modern New Zealand history to cushion the... more

NZ Government announces aviation relief package

19 Mar 2020 Business News By Hon Phil Twyford
Transport Minister Phil Twyford today outlined the first tranche of the $600 million aviation sector relief package announced earlier... more

Living

Diversity was Key at New Zealand Trade Tasting in London

6 Jun 2022 Food & Wine
New Zealand Winegrowers Annual Trade Tasting was recently held in London, on Wednesday 4 May, in Lindley Hall. It was the first... more

Kiwi author stuns Behind the Butterfly Gate

12 Jan 2022 Arts By Charlotte Everett
Hidden behind the Butterfly Gate is where the secret has been kept for 76 years...  New Zealand writer Merryn Corcoran’s... more

Property

Fairer rules for tenants and landlords

17 Nov 2019 Property By Minister Kris Faafoi
17 NOVEMBER 2019 The Government has delivered on its promise to the over one million New Zealanders who now rent to make it fairer... more

New Zealand Government will not implement a Capital Gains Tax

17 Apr 2019 Property By RT HON JACINDA ARDERN
The Coalition Government will not proceed with the Tax Working Group’s recommendation for a capital gains tax, Jacinda Ardern... more

Migration

Boosting border security with electronic travel authority – now over 500,000 issued

19 Nov 2019 Migration By Hon Iain Lees-Galloway
19 NOVEMBER 2019 We’ve improved border security with the NZeTA, New Zealand Electronic Travel Authority, which helps us to... more

Christchurch reinstated as refugee settlement location

18 Aug 2018 Migration
18 AUGUST 2018 HON IAIN LEES-GALLOWAY The announcement that Christchurch can once again be a settlement location for refugees... more

Travel

Gallipoli Anzac Day services cancelled

19 Mar 2020 Travel & Tourism By RT HON JACINDA ARDERN
The New Zealand and Australian Governments have announced this year’s joint Anzac Day services at Gallipoli will be cancelled... more

New Zealanders advised not to travel overseas

19 Mar 2020 Travel & Tourism
New Zealanders advised not to travel overseas more

Sport

The Skipper's Diary: Sir Richard Hadlee honouring his father and NZ's Forty-Niners

27 Oct 2019 Cricket By Charlotte Everett
NZNewsUK London Editor Charlotte Everett spoke to Sir Richard Hadlee about why he’s chosen to publish his father’s... more

PREVIEW: All Blacks v England semi-final

26 Oct 2019 Rugby
The two most convincing quarterfinals winners are set to square off in a semifinal showdown for the ages when the All Blacks meet old... more

Columns

Gordon Campbell on the Gareth Morgan crusade

11 Nov 2016 Opinion
Gordon Campbell on the Gareth Morgan crusade First published on Werewolf The ghastly likes of Marine Le Pen in France and Geert ... more

Gordon Campbell on the US election outcome

10 Nov 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on the US election outcome Well um.. on the bright side, there (probably)... more

Kiwi Success

Congratulations to Loder Cup winner

26 Sep 2018 People By Hon Eugenie Sage
25 SEPTEMBER 2018 The Loder Cup, one of New Zealand’s oldest conservation awards, has been awarded to Robert McGowan for 2018... more

Appointments to New Zealand National Commission for UNESCO

16 Aug 2018 Appointments
16 AUGUST 2018Appointments to New Zealand National Commission for UNESCO HON JENNY SALESA Associate Education Minister Jenny Salesa is... more

Recruitment

Historic pay equity settlement for education support workers

14 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more

Historic pay equity settlement for education support workers

22 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more