Getting a consent takes longer than building

Press Release: New Zealand National Party

It is ridiculous that government red tape means it now takes longer to get consent to build a house than to actually build it, says National's Building spokesman, Dr Nick Smith.

The Master Builders' Federation representing 1700 building companies, have told the Local Government Select Committee today that 'it takes longer to sort out consent issues than it actually takes to build the house', and that delays have got so bad that it is 'beyond frustration'.

"It is no wonder house prices are going through the roof, and home ownership is in decline, when the red tape has got so bad that it takes months to get building and resource management consents.

"These delays make a joke of the Labour Government's rhetoric about improving productivity, as its increases in red tape are reducing productivity in the $13 billion- a-year building industry.

"The cost of vacant land, builders sitting idle and compliance costs of the additional red tape is contributing to higher house prices. This is contributing to New Zealand's inflation, interest rate and exchange rate problems.

"The fundamental problem is that Labour has relied on increased red tape and bureaucracy to address the quality problems in the building industry, when a more sound approach is to strengthen the commercial accountability in the industry.

"National will review the Government's Building Act to reduce compliance costs and drive quality by making builders more commercially accountable for the state of their work."