Media Statement
26 February 2009

Continued attack on red-tape “great news for businesses and investors”

The decision by the Government to proceed with the next stage of regulatory reform has been welcomed by one of the key stakeholder groups advocating for the cutting of bureaucratic red-tape in New Zealand.

Cabinet plans to shortly develop a terms of reference for a review of the Building Act 2004, the Overseas Investment Act 2005, and the next stage of reforms to the Resource Management Act 1991. Property Council Chief Executive Connal Townsend described the news, which was today announced by the Minister for Regulatory Reform, Hon Rodney Hide, as a real confidence-booster for business leaders and investors.

“Rodney Hide today confirmed that Cabinet is committed to establishing a terms of reference for the review of some of the most cumbersome and expensive pieces of legislation in modern history. Cutting through red-tape by overhauling New Zealand’s current building and investment compliance regulations is great news for businesses and investors.

“Property Council is very supportive of this latest development. What we are witnessing is a Government that is actually serious about clearing away the burden of compliance costs and regulations that have made it prohibitively expensive to development properties, build factories and workshops, and create jobs for New Zealanders,” Connal Townsend said.

In addressing an audience of Property Council Members this morning, Mr Hide said the Government’s focus on regulatory reform largely mirrors a number of key recommendations contained in Property Council’s 2008 manifesto publication, A Roadmap for Reform. He advised that Cabinet plans to determine the terms of reference for the forthcoming review of legislation by 30 April.

Mr Hide also described the local government sector as “totally dysfunctional and a mess” and called on city, district and regional councils to “focus on the necessities, not the luxuries” in order to deliver value for money to ratepayers.

Property Council is working collaboratively with Ministers and other Members of Parliament to support changes to legislation. Every practical step should be taken to restore confidence to the building and construction sector, generate wealth and investment, and create jobs.

“Property Council has previously made detailed recommendations to the Government on a range of public policy issues, including changes to the Building Act, the Resource Management Act, and the Overseas Investment Act. We look forward to continuing to work with the Government to cut red-tape and reinvigorate investor confidence,” Connal Townsend said.

ENDS

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