1. Housing Affordability and Availability—Government Measures to AddressDENIS O'ROURKE (NZ First) to the Minister for Building and HousingWEDNESDAY 6 JULY 2016Mr Speaker took the Chair at 2 p.m.Karakia.ORAL QUESTIONSQUESTIONS TO MINISTERSHousing Affordability and Availability—Government Measures to Address1. DENIS O'ROURKE (NZ First) to the Minister for Building and Housing: Does he stand by the Prime Minister's statement yesterday that the Government has a comprehensive housing plan for New Zealand?Hon Dr NICK SMITH (Minister for Building and Housing): Absolutely. This Government has under way the most comprehensive programme of housing reform covering social housing covering the planning issues covering emergency housing and covering the quality of our older housing as well as our new. The fact that residential construction is at an all-time high of over $11 billion per year—30 percent higher in inflation-adjusted terms than the last boom—shows how successful we have been in growing supply.Denis O'Rourke: Is the comprehensive housing strategy aimed at accelerating house prices to $1 million all over the country or just in Auckland?Hon Dr NICK SMITH: No. House price inflation is growing too quickly although I note that it doubled under the previous Government. What I would draw the member's attention to is that in his own city of Christchurch this Government's housing programme has got housing inflation in that city at under 3 percent and rents dropping by 5 percent over the last year. We need to adopt the same measures that we have in Christchurch in other parts of New Zealand to get house price inflation down.Nuk Korako: What specific steps has the Government taken to address the planning constraints on new housing noting that the Productivity Commission identified this as the No. 1 reason for declining homeownership over the past 30 years?Hon Dr NICK SMITH: Our immediate response to the Productivity Commission was providing for special housing areas of which we have done 210. That has freed up over 6000 hectares of land for a potential yield of 70000 new homes. We have also passed special legislation for a new plan for both the cities of Auckland and Christchurch which will be completed next year. The new National Policy Statement on Urban Development Capacity and the Resource Management Act (RMA) reforms that are currently before Parliament are the proper long-term fix to those systematic problems.Denis O'Rourke: Is the comprehensive housing strategy designed to force skilled workers to leave Auckland or to stop them moving there because houses cost too much?Hon Dr NICK SMITH: Having skilled workers in Auckland is absolutely crucial to the record building boom occurring in that city. I am surprised at the question by the member because I constantly hear him calling on my colleague to actually shut down immigration and stop us getting the workers that we need in order to build the houses that New Zealand needs.Nuk Korako: What specific steps has the Government taken as part of its housing plan to improve the quality of New Zealand homes?Hon Dr NICK SMITH: Our first priority was addressing the lack of insulation in Kiwi homes which has made them cold and damp. We have to date insulated 320000 homes and with the law that came into effect last week another 180000 will be insulated. That makes 500000 homes that will have been insulated. That compares with fewer than 50000 under the previous Government. We have also passed laws for smoke alarms—that is saving lives—and for earthquake-prone buildings. We also have a comprehensive programme about improving our building standards so that our new homes support both innovation and good quality.Denis O'Rourke: Will the Government adopt New Zealand First's housing policy for a new housing commission to develop a genuine long-term housing strategy for New Zealand comprising people who know what they are doing?Hon Dr NICK SMITH: I have seen New Zealand First oppose RMA reform. I have seen it oppose special housing areas. I have seen it oppose the new unitary plan for Auckland and for Christchurch. I have seen it oppose getting skilled building workers into New Zealand—Rt Hon Winston Peters: I raise a point of order Mr Speaker. I cannot let that Minister create dissension and discord in this House by telling a tissue of lies.Mr SPEAKER: Order! The member will not raise such spurious points of order. His parliamentary colleague asked a question about why the Government will not support a New Zealand First policy. That gives a fairly wide ambit to the Minister in answering the question.Hon Dr NICK SMITH: I could also recite the many other laws that he and his colleagues have opposed that are part of the real solutions that will help Kiwi families get access to a good-quality home.Hon Gerry Brownlee: Does the Minister believe that by doubling up on addresses you can increase the housing supply?Hon Dr NICK SMITH: I have noted that imaginative solution—having twice as many addresses—as being one of the answers to housing supply but no we are focusing on building new houses and actually New Zealand residential building activity is at an all-time high.Denis O'Rourke: Why does he not adopt New Zealand First's housing policy to reduce demand in Auckland by making it illegal for non-residents who are not New Zealand citizens to buy houses there?Hon Dr NICK SMITH: Because this Government is basing its policy on the facts and the facts are that we have absolute data on the tax residency for every home purchased in the last 6 months. Of 67000 transactions there was actually a reduction in the very small number that were overseas and although the member wants to join up with the Pauline Hansons and those guys who want to blame overseas people actually we just need—Mr SPEAKER: Order! The answer is now too long.Nuk Korako: What are the next steps in the Government's housing programme?Hon Dr NICK SMITH: A key priority is advancing the Crown land programme which has been so successful in Christchurch and in Auckland and today I announced another block of 10 hectares in Manukau that is surplus from the district health board. That will provide 250 houses a good portion of which will be social houses and affordable houses which are needed so much in that part of the city. We have got work under way around urban development authorities reform of the Unit Titles Act and reform of the Building Act as the next steps that we need to take to keep up that momentum of record house building.Richard Prosser: I seek leave for the Minister to table the evidence he has of New Zealand First opposing RMA reform.Mr SPEAKER: Order! The member cannot seek leave on behalf of another member.