KiwiBuild

The KiwiBuild scheme was first announced as Labour Party policy in 2012 by then leader David Shearer.{{cite news| url=https://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10848869 |title=Editorial: Kiwi build solid base for future at last |work=The New Zealand Herald |date=21 November 2012 |accessdate=5 July 2018}} The policy survived as party policy under all his successors and was a prominent feature of Labour's 2014 election campaign.

After the 2017 general election, the Sixth Labour Government of New Zealand took office. Finance Minister Grant Robertson outlined a mini-budget on 14 December 2017 which allocated $2 billion of capital spending to KiwiBuild. Homes built under the programme are sold to first-home buyers and the cash is recycled into further housing developments.{{cite news| url=https://www.nbr.co.nz/article/kiwibuild-spearheads-42-billion-capital-spending-programme-b-211193 |title=KiwiBuild spearheads $42b capital spending programme |first=Paul |last=McBeth |work=National Business Review |date=14 December 2017 |accessdate=5 July 2018}}

In mid-January 2019, Housing Minister Phil Twyford acknowledged that the government would be able to build only 300 of the 1,000 KiwiBuild homes it had promised by 1 July 2019.{{cite news |last1=Cooke |first1=Henry |title=Phil Twyford says only 300 KiwiBuild homes are due to be finished by July |url=https://www.stuff.co.nz/national/politics/110113848/phil-twyford-says-only-300-kiwibuild-homes-are-due-to-be-finished-by-july |accessdate=24 January 2019 |work=Stuff.co.nz |date=23 January 2019}}{{cite news |last1=Walls |first1=Jason |title=Housing Minister Phil Twyford is 'pretty gutted' KiwiBuild will fall short of its first year's target |url=https://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=12195042 |accessdate=24 January 2019 |newspaper=New Zealand Herald |date=23 January 2019}} That same month, it was reported that KiwiBuild's head Stephen Barclay had resigned following a dispute with Twyford over moving KiwiBuild from the Ministry of Business, Innovation and Employment (MBIE) to the new Ministry of Housing and Urban Development (HUD).{{cite news |last1=Sachdeva |first1=Sam |title=KiwiBuild boss resigns after reports of dispute |url=https://www.newsroom.co.nz/2019/01/18/404453/kiwibuild-boss-resigns-after-reports-of-dispute |accessdate=1 February 2019 |publisher=Newsroom |date=18 January 2019}}{{cite news |last1=Molyneux |first1=Vita |title=Kiwibuild boss Stephen Barclay resigns |url=https://www.newshub.co.nz/home/new-zealand/2019/01/kiwibuild-boss-stephen-barclay-resigns.html |archive-url=https://web.archive.org/web/20190119035113/https://www.newshub.co.nz/home/new-zealand/2019/01/kiwibuild-boss-stephen-barclay-resigns.html |url-status=dead |archive-date=19 January 2019 |accessdate=1 February 2019 |publisher=Newsroom |date=18 January 2019}} Later reports claimed that Barclay had been the subject of complaints by staff over his leadership behaviour and treatment of others. In late January, Barclay filed a constructive dismissal case against HUD, claiming that the Ministry had breached his privacy.{{cite news |last1=McCullogh |first1=Craig |title=Former KiwiBuild boss to launch legal action |url=https://www.radionz.co.nz/news/political/381119/former-kiwibuild-boss-to-launch-legal-action |accessdate=1 February 2019 |publisher=Radio New Zealand |date=28 January 2019}}{{cite news |last1=Cooke |first1=Henry |title=Former KiwiBuild boss Stephen Barclay suing Government over departure, says he was on track to meet first year goal |url=https://www.stuff.co.nz/business/110212442/former-kiwibuild-boss-stephen-barclays-employment-dispute-was-triggered-by-complaints-of-bad-behavious |accessdate=1 February 2019 |work=Stuff.co.nz |date=28 January 2019}} In August 2019, the Head of KiwiBuild Commercial, Helen O'Sullivan, also resigned, causing further disruption.{{cite news |last=McCullogh |first=Craig |title=KiwiBuild programme losing another top boss, Helen O'Sullivan |url=https://www.rnz.co.nz/news/political/397164/kiwibuild-programme-losing-another-top-boss-helen-o-sullivan |accessdate=5 September 2019 |publisher=Radio New Zealand |date=21 August 2019}}

On 4 September 2019 a "reset" of the scheme was announced by new Housing Minister Megan Woods. Changes included the target of building 100,000 houses over 10 years being abandoned, the allocation of $400 million to support alternative home ownership schemes (such as rent-to-own), those buying studios and one-bedrooms units only having to commit to one year of ownership opposed to three, the 10% deposit requirement for a First Home Grant being lowered to 5%, allowing groups of more than three to combine their $10,000 First Home Grants together for a single joint deposit, and the amount developers receive after triggering the underwrite being lowered.{{Cite news |url=https://www.newshub.co.nz/home/politics/2019/09/kiwibuild-reset-overly-ambitious-100-000-houses-in-10-years-promise-dropped-shared-ownership-schemes-in.html |archive-url=https://web.archive.org/web/20190904121113/https://www.newshub.co.nz/home/politics/2019/09/kiwibuild-reset-overly-ambitious-100-000-houses-in-10-years-promise-dropped-shared-ownership-schemes-in.html |url-status=dead |archive-date=4 September 2019 |author=Small, Zane |title=KiwiBuild reset: 'Overly ambitious' 100,000 houses in 10 years promise dropped, shared ownership schemes in |newspaper=Newshub |date=4 September 2019|access-date=5 September 2019}}{{cite news |last1=Walls |first1=Jason |title=KiwiBuild reset: Government axes its 100,000 homes over 10 years target |url=https://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=12264757 |accessdate=5 September 2019 |publisher=New Zealand Herald |date=4 September 2019}}{{cite news |last1=Whyte |first1=Anna |title=KiwiBuild reset sees 100,000 house target scrapped, 5% deposits for first home buyers introduced |url=https://www.tvnz.co.nz/one-news/new-zealand/kiwibuild-reset-sees-100-000-house-target-scrapped-5-deposits-first-home-buyers-introduced |accessdate=5 September 2019 |publisher=1News |date=4 September 2019}}

By September 2019, the scheme had produced only 258 homes, far below the set targets.{{Cite news |last=Moir |first=Jo |date=4 September 2019 |title=KiwiBuild: government to unveil 'reset' for flagship policy |work=Radio New Zealand |url=https://www.rnz.co.nz/news/political/398069/kiwibuild-government-to-unveil-reset-for-flagship-policy |access-date=3 August 2023}}

By October 2020 the scheme had produced around 600 homes,{{Cite news |last=Dreaver |first=Charlie |date=2 October 2020 |title=Covid-19 no reprieve for first home buyers |language=en |work=Radio New Zealand |url=https://www.rnz.co.nz/news/national/427475/covid-19-no-reprieve-for-first-home-buyers |access-date=3 August 2023}} and by May 2021, this number had increased to 1,058.{{Cite news |last=Coughlan |first=Thomas |date=1 July 2021 |title=KiwiBuild reaches first target — two years late 15,000 homes behind schedule |work=Stuff |url=https://www.stuff.co.nz/national/politics/300347258/kiwibuild-reaches-first-target--two-years-late-15000-homes-behind-schedule |access-date=14 December 2021}} By December 2023, this number increased to 2,229.{{cite web | url=https://www.hud.govt.nz/stats-and-insights/the-government-housing-dashboard/home-building/#tabset | title=Home building }}

To be eligible to buy a KiwiBuild home, buyers must be New Zealand citizens, permanent or usual residents, earn less than the relevant annual income caps ($120,000 for singles, $180,000 for couples) and intend to live in and own the home for at least three years.{{cite news| url=https://www.radionz.co.nz/news/political/361025/kiwibuild-eligibility-couples-can-earn-up-to-180-000 |title=KiwiBuild eligibility: Couples can earn up to $180,000 |publisher=Radio New Zealand |date=4 July 2018 |accessdate=5 July 2018}}

The scheme has attracted criticism around the income caps, with claims that they are too high for low-income buyers to be able to compete with those receiving higher incomes.{{cite news| url=https://www.stuff.co.nz/national/politics/105316140/kiwibuilds-in-auckland-unaffordable-for-many-govt-analysis-shows |title=KiwiBuilds in Auckland unaffordable for many, govt analysis shows |author=Cooke, Henry |work=Stuff.co.nz |date=9 July 2018 |accessdate=3 September 2018}}{{cite news| url=https://www.radiolive.co.nz/home/on-demand/morning-talk/2018/07/kiwibuild-not-aimed-at-low-or-middle-income-households---economi.html |title=KiwiBuild not aimed at low or middle income households |publisher=Radio Live |date=6 July 2018 |accessdate=3 September 2018}} Following the sale of the first KiwiBuild homes, then-Housing Minister Phil Twyford stated that the scheme was not targeted towards working poor and unemployed families, attracting criticism from aspiring home-owners and activists who argued that KiwiBuild will lead to increased speculation and gentrification.{{cite news| url=https://www.newshub.co.nz/home/politics/2018/10/kiwibuild-not-aimed-at-low-income-families-phil-twyford.html | archive-url=https://web.archive.org/web/20181029075715/https://www.newshub.co.nz/home/politics/2018/10/kiwibuild-not-aimed-at-low-income-families-phil-twyford.html | url-status=dead | archive-date=29 October 2018 |title=KiwiBuild 'not aimed at low-income families' - Phil Twyford |author=Palmer, Scott |publisher=Newshub |date=29 October 2018 |accessdate=29 October 2018}}

• Housing in New Zealand
• New Zealand property bubble

{{Reflist}}

• [http://www.mbie.govt.nz/info-services/kiwibuild Official website]

{{Sixth Labour Government of New Zealand}}

Category:New Zealand Labour Party

Category:2018 establishments in New Zealand

Category:Affordable housing

Category:Housing in New Zealand

Category:Sixth Labour Government of New Zealand