2. Question No. 2—Prime MinisterHon JUDITH COLLINS (Leader of the Opposition) to the Prime MinisterQuestion No. 2—Prime Minister2. Hon JUDITH COLLINS (Leader of the Opposition) to the Prime Minister: Does she consider the over $4600 increase in the median annual cost of renting a house since she became Prime Minister and the over 21000 people on the State house waiting list signs of a housing emergency?Rt Hon JACINDA ARDERN (Prime Minister): We have long called the housing situation in New Zealand a crisis. I'm pleased the member now shares this view. New Zealand has a longstanding shortage of homes caused by a lack of investment in the infrastructure needed for new housing and Government investment in new housing. This is why the Government has stopped the previous Government's sale of State houses; has delivered 6000 additional public homes since we came into office; and is investing in 18000 more homes by 2024. It's why we set up the National Policy Statement on Urban Development commissioned the comprehensive review of the Resource Management Act and are now implementing its findings. It's why we're investing in the infrastructure needs for new homes—such as the New Zealand Upgrade Programme—and shovel-ready projects and legislated the Infrastructure Funding and Financing Act. We're starting to see some progress with annual new home construction at its highest level since 1974. There is more to do including for renters and we've been upfront on that and will continue that work in the new year.Hon Judith Collins: Does she believe an increase in the number of people receiving the hardship assistance emergency housing grant from 9000 in September 2017 to now 44000 is a sign of a housing emergency under her watch?Rt Hon JACINDA ARDERN: It is a sign of longstanding income inadequacy and I now look forward then to the member's support for increases in for instance ongoing support for those who are on Government benefits. We increased those benefits this year by $25 a week; I don't believe they supported that. We removed the hours test for those who otherwise were previously ineligible for the in-work tax credit. We indexed benefits to wages. None of those changes do I recall the National Party supporting.Hon Judith Collins: Well if she's done all of that then how come everything's got a lot worse under her watch?Rt Hon JACINDA ARDERN: The other point that I would make is that alongside those changes—which were necessary; which that last Government did not support—we also have eased the access to that support as well. We knew during COVID-19 in particular we needed to make it easier for people to access Government support and we have done that.Hon Judith Collins: Does she believe increased rental costs are partly to blame for the more than doubling of people receiving hardship assistance for food since she became the Prime Minister?Rt Hon JACINDA ARDERN: As I've already said we have eased the access to that support. We've also made sure that people who have genuine—that have housing needs—are able to join the housing register. I do acknowledge that under the National Government they in fact cut the register so roughly 4500 were taken off it. What we have now is a much more accurate picture of need. Imagine the situation had we not continued to increase Government support. But what I would say is there is need out there we will likely see that increase over Christmas and we're working with social agencies to make sure we continue that support.Hon Judith Collins: Is the Prime Minister in her answer seriously suggesting that people receiving hardship assistance for food are now receiving it and they wouldn't have received it prior to her becoming the Prime Minister?Rt Hon JACINDA ARDERN: What I am saying is that we have made it easier to access; you don't for instance necessarily need a face-to-face appointment with someone at Work and Income. Now I cannot say—hand on heart Mr Speaker—whether that would have meant that people wouldn't have got that support prior but what I can say is we have made it more straightforward.Hon Judith Collins: What actions will her Government take to urgently increase the number of private rental properties in New Zealand?Rt Hon JACINDA ARDERN: As we have heard a number of economists state some of the issues we see in our housing market are down to housing supply and housing demand. We have tried to address both supply and demand by making sure for instance that we've put a stop to foreign buyers in the residential housing market. We've also done things like close tax loopholes and we've with urgency tried to address the inadequate supply. We're seeing now that come through with consents at the highest level since the 1970s. Our hope is that over time that will make a difference unlike the global financial crisis period where we saw housing construction halve. Hon Judith Collins: Can she now advise us why it is then that everything's got so much harder for people renting under her watch?Rt Hon JACINDA ARDERN: Again I'll come back to the fundamental point. That is: economists in the Reserve Bank have identified rents are primarily driven by supply and demand. So if the member would like a period of introspection the fact that we inherited a housing market that was shy roughly 70000 houses that were needed is having a significant impact on the housing market.