Housing Affordability, Sustainable Economy, Access To Public Transport Top Infrastructure Priorities For NZers

Research reveals almost 1 in 5 New Zealanders spend more than 50% of household income on mortgage – compared to global average of 11%.

• Research on intergenerational views on infrastructure needs shows that housing affordability, a sustainable economy and access to reliable and affordable public transport are top priorities for New Zealanders
• 17% of New Zealand respondents to global survey say they spend more than 50% of household income on mortgage or rent, compared to a 10-country average of 11%
• 63% of NZ respondents say there is a need for more varied, cheaper housing like apartments or town houses in their area
• GHD says to address these core issues there needs to be a strong focus on zoning and infrastructure prioritised where it encourages affordable housing development closer to workplaces, public transport and existing amenities
• Smart tech like ‘digital twins’ and scenario modelling will support informed planning decisions

19 July 2023 – Auckland A new report released by Global Professional Service Firm GHD reveals that housing affordability, a sustainable economy and affordable and reliable public transport are top priorities for New Zealanders.

GHD’s CROSSROADS report also shows that 17% of New Zealand respondents say they spend more than 50% of household income on mortgage or rent compared to a 10-country average of 11%.

CROSSROADS is a global survey of intergenerational equity through an infrastructure lens, conducted across 10 countries and surveying more than 13,000 people across four cohorts – Gen Z, Millennials, Gen X and Boomers.

The report’s findings underscore the significant need for uptake of smart digital tools, strategic zoning along transport corridors, and making better use of existing resources, if we are to address housing affordability for future generations.

The report also highlights that New Zealanders are less optimistic that decisions being made today will result in our communities being better off in 30 years’ time compared to the global average when it comes to providing more affordable housing, improving public transport, transforming existing land or buildings into community facilities/housing, and planning ahead for future needs.

“CROSSROADs research underpins an urgent need to be more strategic with our land use and infrastructure decisions, if we are to make communities stronger and housing more affordable for generations to come in New Zealand,” says David Norman, GHD NZ’s Chief Economist.

“New Zealanders want to live in communities with good transport connections, where it is easy to get to work and be part of a strong community. To get there, we need an approach to land zoning and pricing that reflects the true cost of infrastructure, which would naturally direct growth into existing brownfield locations and unlock land to deliver more affordable housing at scale.”

The survey’s findings for New Zealand also show most respondents across all generations are willing to adapt their behaviours and contribute to solutions, but there is a strong expectation that governments and businesses take the lead in driving large-scale change.

“We need a coordinated approach to address the complexities of urban growth and infrastructure demands,” says Stephen Douglass, GHD’s Future Communities Leader, New Zealand Asia-Pacific.

“Greater uptake of digital tools and scenario planning are some of the ways infrastructure development can be better coordinated for the benefit of councils, communities, developers and funders. For example, digital twins can be used to visualise different urban planning scenarios – this saves time, cost and increases the chances of accurate costing and planning upfront.

“History demonstrates clearly that when you zone for development in places close to work, transport and other amenities, and provide certainty to developers, that is where the growth will go. This naturally supports improved housing affordability, transport and environmental outcomes.”

Read the full CROSSROADS Report or find out more at: crossroads.ghd.com

About CROSSROADS Global Research Report

CROSSROADS is an exploration of intergenerational equity, through an infrastructure lens. By overlaying community sentiment with GHD’s technical insights, the report is intended to spark an informed discussion of what can be done today to support the delivery of fair and fit-for-purpose infrastructure for tomorrow.

For its CROSSROADS report, GHD conducted a survey across 10 countries: Australia, Canada, Chile, New Zealand, the Philippines, Qatar, Singapore, the United Arab Emirates, the United Kingdom, and the United States. A total of 13,000 adults, sampled to be representative of age, gender and region in these countries, participated in the survey in mid-May 2024. The survey explored views on various aspects of infrastructure and intergenerational equity, aiming to uncover shared aspirations and potential future solutions.

Survey respondents were sourced from Ipsos Panels, ensuring a wide and representative sample from each country.

Sample size: 1,000 respondents per country for most countries, with a larger sample size of (4,000 respondents) in the US. The data from the US was weighted to represent one-tenth of the total survey, ensuring a balanced and proportional reflection of the overall population.

Demographics: Adults aged 18 and above, encompassing a wide age range, covering Gen Z, Millennials, Gen X and Baby Boomers. The sample also included diverse ethnicities and Indigenous voices to ensure representativeness

Key New Zealand statistics from CROSSROADS:

• Affordable housing is the top priority for Gen Z respondents, while Millennials, Gen X and Baby Boomers say the biggest issue is building a sustainable economy with 44% of NZers ranking this in their top three priorities
• Additionally, 84% of Gen Z and 82% of Millennials say that increased housing costs have made it harder to afford other necessities, compared to 69% of Gen X and 55% of Baby Boomer respondents.
• 17% of NZ respondents spend more than 50% of household income on mortgage or rent, compared to a global average of 11%.
• 63% of NZ respondents say there is a need for more varied, cheaper housing like apartments or town houses in their area.
• Over a third of NZers ranked improved transport in their top three concerns – specifically having reliable alternatives to private vehicles

Other key New Zealand findings of CROSSROADS survey include:

• New Zealand respondents are less optimistic than the global average that our country is heading in the right direction when it comes to providing more affordable housing, improved public transport, transforming existing land or buildings into community facilities/housing, and planning ahead for future needs.
• Respondents in New Zealand and other “Anglosphere” countries where housing affordability is a major concern are more likely to report being pessimistic about the future, compared to Philippines, Singapore, Chile, Qatar and UAE. For “Anglosphere” nations in particular, financial strain highlights the need for affordable housing solutions, with many residents feeling little progress is being made. Gen X respondents in New Zealand express the most pessimism, compared to other generations.
• There is widespread support from all generations of New Zealanders for more green and sustainable building methods, like energy-saving designs or low-carbon materials (agreement from 74% of Baby Boomers, 81% of Gen X, 80% of Millennials and 75% of Gen Z).
• Communities are worried about climate change and other environmental impacts. Respondents in all countries rated “building a sustainable economy” that promotes circular solutions among their top three priorities. Most respondents across all generations are willing to adapt their behaviours and contribute to solutions, but there is a strong expectation that governments and businesses take the lead in driving large-scale change.
• The survey also pointed the way towards a greater uptake of water metering with 61% of New Zealanders saying they know how much water they use and are actively trying to use less. This is below a 10-country average of 74%. 73% of New Zealanders agreed that internet connected smart devices and apps would help them manage and better understand their water and energy use – on par with the 10-country global average.

About GHD:

GHD is a leading professional services company operating in the global markets of water, energy and resources, environment, property and buildings, and transportation. Committed to a vision to make water, energy, and communities sustainable for generations to come, GHD delivers advisory, digital, engineering, architecture, environmental and construction solutions to public and private sector clients. Established in 1928 and privately owned by its people, GHD’s network of 11,000+ specialists are connected across more than 160 offices located on five continents.

© Scoop Media