NZ Engine

Source: New Zealand Government

Pacific Wardens will continue to support safer, stronger communities with a funding boost through Budget 2025, announced Pacific Peoples Minister Dr Shane Reti.  

 “Pacific Wardens are a trusted and vital presence in our communities — helping to keep our streets safer, our young people supported, and our neighbourhoods connected,” says Dr Reti. 

 “This Government is committed to strengthening their impact by providing the resources, structure, and certainty they need to grow and thrive in the years ahead.” 

 Pacific Warden Groups have been a trusted presence for over a decade across Auckland and South Waikato. They provide a calm, reassuring influence on the ground — from patrolling streets and community spaces to being a visible, approachable presence at large-scale events like the Pasifika Festival and Polyfest. 

 “Wardens are often the bridge between communities and support services. They speak the language, understand the culture, and are well placed to de-escalate conflict, deter crime, and guide young people towards safer choices,” says Dr Reti. 

 Through Budget 2025, the Government is investing $1 million over four years — $250,000 per year — to support the Auckland Pacific Wardens Trust. 

“This is a practical investment that will go directly toward volunteer training, uniforms, and transport. It also allows the Trust to establish a paid coordinator role and build stronger national governance – providing the stability and structure these groups need to grow,” Dr Reti says. 

 The funding delivers on a key commitment in the National Party and New Zealand First coalition agreement, recognising the value Pacific Wardens add to New Zealand’s social fabric. 

 “Our Government backs community-led initiatives that work. This funding helps Pacific Wardens do what they do best — supporting communities, reducing harm, and strengthening social cohesion. I commend the Trust and all its volunteers for the vital work they do, and I look forward to seeing their impact grow,” says Dr Reti. 

Source: Building Research Association of New Zealand (BRANZ)

House prices are becoming more affordable, with section prices down 15% ($35,000) from their mid-2022 peak. However, the high cost of building continues to make new builds inaccessible for many, according to the latest data from the Building Research Association of New Zealand (BRANZ).

These findings have been drawn from BRANZ’s new data tool BRANZ Build Insights – the first of its kind to bring together reliable economic insights from across the building sector.

The latest quarterly data (January–March 2025) reveals that the average price for a section and new standalone house is down 4.1% to $1,018,000 – $43,000 less than the previous quarter (October–December 2024).

However, this remains substantially more expensive (+$201,000) than buying an existing home.

A driving factor for this is that house build prices have continued to increase in recent years and at nearly twice the rate of inflation. Latest estimates show that building a basic 200m2 home, which would have cost just over $650,000 in mid- 2022, will now cost $777,000. This is nearly a 20% increase over a time when general inflation rose 12%. Existing property prices have increased slightly over the same period.

BRANZ Senior Economist Matt Curtis says: “We’re still experiencing high build costs since the pandemic, from a number of factors, including increased material costs, higher wage costs as well as the general inflation we’re seeing across all sectors.

“But this new data is showing us the first signs of improving affordability in the new-build sector and since 2023, the number of building consents issued for standalone homes has been slowly increasing – growing 5% in the year ending March 2025 compared to the year ending March 2024.

“We’re also seeing house sizes getting smaller to adapt to rising costs. The average size of new standalone houses consented in 2024 was 176m2 compared to 184m2 in 2023,” he says. “Generally, smaller and simpler houses are a good thing – they cost less to build and are also more cost-effective for people to live in, with less energy and maintenance expenses.”

Since 2022, the building and construction industry has faced significant challenges, including a decline in new startups and notable increases in business liquidations (up 37% in the year to February 2025 compared to a year earlier).

However, the sector’s skills pipeline shows a more promising outlook. This has been underscored by a surge in trades training, and carpentry apprenticeships have more than doubled in the past decade, with 21,165 apprentices in 2023 compared to 9,280 in 2014.

BRANZ CEO, Claire Falck explains how the data from BRANZ Build Insights brings together reliable insights from BRANZ and multiple data sources across the building sector into one trusted tool:

“BRANZ Build Insights features data that can help the sector forecast construction demand, track workforce trends and better calculate expected build delivery and consenting times. It’ll also help us understand changes in New Zealanders’ living conditions and the impact of new initiatives across our housing.

“Having all this data in one place means anyone can easily track building system trends and outcomes, which will help support industry best practice, decision-making, and analysis.

“This tool will continue to grow with new reliable data sources being added, allowing a more enriched understanding of the building sector,” says Claire. “It will also be coupled with regular BRANZ economic reports to give sector-leading updates on the status of the built environment, on a regular basis, for the first time.”

Click here for the BRANZ Build Insights Tool

Click here to view the full BRANZ Build Insights Q1 Economic Report

Q1 2025 building and construction sector insights:

Reduced section prices: The average 500m2 section in the March quarter is $240,000, $35,000 less than in mid-2022. There are however significant regional variations: For instance, the average cost of a 500m² section in Auckland is over $505,000, compared to $65,000 in the West Coast.
Reduced overall new build cost: The total average price for a section and new build standalone house is $1,018,000 – $42,000 less than the $1,060,000 in December 2024.
Construction costs outstrip inflation: The cost to build a house has increased by nearly 20% since mid-2022, with an average 200sqm house now costing $777,000. Over the same period when general inflation rose 12%.
Shift in consents: Building consents for standalone houses have increased slightly, whereas consents for attached dwellings have decreased by 17%.
Decline in consent value: The total value of residential building consents has fallen by 13% compared to 2023 after adjusting for inflation.
Growth in construction businesses: There are more construction businesses and workers now than ever before, with 81,891 businesses operating in 2024.
Increase in construction businesses: There are now more construction businesses than ever before – 81,891 in 2024, outpacing the growth rate of all industries in the last decade. However, construction business liquidations were up 37%, and made up 31% of all business liquidations.

Positive long-term outlook: Despite the economic downturn, the long-term outlook remains positive, with more construction businesses being started and fewer ceasing operations compared to other industries.
Surge in apprenticeships: Carpentry apprentices have more than doubled in the past decade, with 21,165 apprentices in 2023 compared to 9,280 in 2014.
Increase in trades training: Participation in trades training has nearly doubled since 2014, with the total number of trainees, apprentices, and tertiary qualification students in construction increasing from 57,000 to 93,000 in 2023.

Notes:

About BRANZ Build Insights

BRANZ Build Insights is a new tool created by BRANZ to track building system data.

Bringing together reliable insights from across the building sector into one trusted source, BRANZ Build Insights supports industry best practice, decision-making and analysis.

BRANZ Build Insights can help you:

Gain insights into forecasted demand
Track workforce trends
Better predict build delivery and consenting times
Understand living conditions for New Zealanders
Monitor changes across the building sector
Identify the uptake of innovation and business resilience

About the Building Research Association of New Zealand (BRANZ)

BRANZ is a trusted, independent expert in building construction. We provide practical research, testing, quality assurance and expertise to support better buildings.

Source: Family First

MEDIA RELEASE – 28 May 2025

TWO OUT OF THREE PARENTS WITH DEPENDENT CHILDREN SUPPORT BAN

A new poll has found increasing support for a ban on social media for children under 16, and decreasing opposition.

In a poll by Curia Market Research and commissioned by Family First NZ, 1,000 respondents were asked: Would you support or oppose a law that bans children from all social media until they reach 16 years of age?

56% of respondents support banning children under 16 from social media, and 26% are opposed.

A similar poll with the same wording by the same research company in April 2024 found opposition at 45% and support at just 39%.

Support for a social media ban has grown from 39% support to 56% support in just over 12 months. Opposition has dropped form 45% to 26%. In both polls, 16-18% are uncertain.

Those with dependent children were more likely to support the ban (62%) than those without dependent children (53%).

Interestingly, when comparing the two polls, net support for a ban has risen amongst National, Labour and Green voters.

Family First has long advocated for better regulation of social media and support for parents so as to protect young people.

“First and foremost, there needs to be a community response where parents unite to ensure their young children are not exposed to social media, but there is also room for government support to empower parents,” says Mr McCoskrie.

Dr Jonathan Haidt – author of “The Anxious Generation: How the Great Rewiring of Childhood is Causing an Epidemic of Mental Illness” – notes in his acclaimed research that there is a clear correlation between the introduction of smart phones and a significant decline in young people’s mental health. (Dr Haidt was a guest at last year’s Forum on the Family and he called on New Zealand and other countries to do more to protect young people from the harms online.)

“This is an important discussion which should not be delayed any further.”

The nationwide poll was carried out between 19 May and 21 May and has a margin of error of +/- 3.1%.

Source: New Zealand Government

Record global sales and strong grower returns from Zespri confirm that New Zealand’s horticulture sector is back on track and growing fast—driven by hardworking growers and a Government focused on lifting productivity and cutting red tape.
“This week’s announcement by Zespri of more than $5 billion in global sales for the 2024/25 season marks a 31 per cent increase on the previous year, with a record 220.9 million trays sold. Direct grower returns have topped $3 billion for the first time, highlighting both strong demand and growing confidence in the sector,” Agriculture Minister Todd McClay says.
“The horticulture industry is going from strength to strength as export revenue is set to reach $8.0 billion this year, up 12 per cent on last year and kiwifruit is leading the way,” Associate Agriculture Minister Nicola Grigg says.
“This Government is backing growers with practical policy, better market access, and fewer bureaucratic obstacles to increase returns at the farm gate,” Mr McClay says.
“Last year, we moved at pace to bring the EU Free Trade Agreement into force many months ahead of schedule, saving New Zealand kiwifruit exporters $43 million in tariffs in the first year alone. Since then, kiwifruit exports have increased by 69 per cent, contributing a further $316 million.”
Key actions the Government has taken to free up horticulture and drive farmgate returns include:

Removing barriers to vegetable growing
Improving the Freshwater Farm Plan system
Passing an RMA amendment bill focused on primary sector needs
Rebalancing the hierarchy of obligations for Te Mana o te Wai
Introducing a replacement National Policy Statement for Freshwater Management
Introducing pragmatic rules for on-farm water storage
Investing more in catchment groups – empowering local decision-making
Providing further funding for East Coast debris clean-up
Ceasing the implementation of new Significant Natural Areas (SNAs)
Increasing investment into Rural Support Trusts
Committing over $400 million to accelerate emissions-reduction tools for farmers
Expanding market access through new and existing trade agreements in the EU, UK, UAE, GCC and launching negotiations with India.
Removing $733 million in non-tariff trade barriers

“We’re focused on farmgate profitability and cutting the red tape that’s been holding growers back,” Mr McClay says. 
“Our primary sector is firing again, and this Government is going to keep backing it every step of the way,” Ms Grigg says.

Source: New Zealand Government

New Zealand’s sheep and beef farmers are delivering record-breaking red meat export sales and driving strong farmgate returns to the rural economy Agriculture Minister Todd McClay says. 

“March was a standout month for our red meat exporters, with a record $1.26 billion in export sales—a 34 per cent increase on March last year. First quarter exports also hit $3.28 billion, up 28 per cent from last year. This is great news for farmers, processors, and rural communities across New Zealand,” Mr McClay says.

The global appetite for high-quality, natural protein is continuing to grow, driving strong prices for New Zealand lamb and beef.
“This reflects a deeper, longer-term shift in global consumer behaviour. People everywhere are turning to clean, high-quality, safe and sustainable animal protein, and New Zealand is delivering,” Mr McClay says.

Beef and Lamb New Zealand’s February forecast projected red meat export revenue to achieve an additional $1.2 billion for the 2024/25 production year. That outlook is well on track, thanks to our farmers hard work and world leading production, with April Stats NZ data confirming an additional $1.1 billion or 5 per cent increase in red meat exports over the past year bringing the total value to $10.6 billion.

The Government is doing its part to ensure farmers see more returns at the farm gate by restoring confidence, slashing red tape, and opening up new opportunities.

Key actions to drive growth and keep Wellington out of farming include:

• Removed agriculture from the Emissions Trading Scheme
• Currently banning full farm-to-forest conversions
• Started the process of replacing the National Policy Statement for Freshwater Management
• Moved to fundamentally reform the Resource Management Act
• Halted unworkable winter grazing, stock exclusion, and Significant Natural Area (SNA) rules
• Begun rebalancing Te Mana o te Wai to restore the rights of all water users
• Disbanded Labour’s He Waka Eke Noa initiative
• Repealed the punitive Ute Tax
• Commenced an inquiry into rural banking
• Halted Labour’s costly Freshwater Farm Plans
• Completed a number of Free Trade Agreements that offer farmers greater opportunity in new markets
• Removed $733 million in non-tariff trade barriers 

“Our farmers are world leaders in producing high-quality, safe, sustainable, grass-fed meat. This Government backs them 100 per cent, and we’ll keep cutting through the red tape so they can keep delivering for New Zealand,” Mr McClay says.

Source: New Zealand Government

New Zealand and Sri Lanka have committed to further boost bilateral cooperation, Deputy Prime Minister and Foreign Minister Winston Peters says.  
“Our governments are investing more in ties between Sri Lanka and New Zealand because we want to get more out of them, for the mutual benefit of our peoples,” Mr Peters says, at the conclusion of his visit to Colombo.  
“Across a wide range of domains – including education, tourism, agriculture, trade, security and sport – New Zealand and Sri Lanka share an appetite to do more together.” 
While in Colombo, Mr Peters held discussions with President Anura Kumara Dissanayake, Prime Minister Harini Amarasuriya and Foreign Minister Vijitha Herath. Mr Peters’ visit is the first by a New Zealand Foreign Minister to Sri Lanka since 2013. It follows the opening of the New Zealand High Commission in Colombo in 2021 and the Sri Lankan High Commission in Wellington in early 2025.  
“As trade-dependent island nations, New Zealand and Sri Lanka have much in common. During my visit, we discussed with Sri Lanka’s leaders how to strengthen capability development, share technical expertise, and increase mutually beneficial trade,” Mr Peters says. 
“We also shared views on the increasingly uncertain and disordered global environment and the interconnected challenges of development, trade and security in the Indo-Pacific region.” 
Mr Peters and Foreign Minister Herath discussed the rapidly growing people-to-people connections between the countries. Mr Peters also announced places on short term training courses for Sri Lankan officials and launched a Sustainable Water and Livelihoods project. 
Sri Lanka was the second of four destinations on this ongoing tour, following Australia. Mr Peters travels to Nepal today.

Source: New Zealand Government

The Government is making good progress on its exploration of supercritical geothermal as a potential energy source, with a governance group established and potential drilling sites being identified, Regional Development Minister Shane Jones and Science, Innovation, and Technology Minister Shane Reti say.

“We need to drill an exploratory deep well to prove the commercial viability of supercritical geothermal energy. We are about a year from starting to drill but we are getting closer to locating potential geothermal fields in the Taupō Volcanic Zone,” Mr Jones says.

The choice of sites will be based on rigorous data, scientific research, and engineering experience. The location of the first exploratory well site is expected to be finalised later this year.

The Coalition Government has ringfenced $60 million from the Regional Infrastructure Fund to invest in exploring the potential of supercritical geothermal technology to help secure New Zealand’s future energy needs.

“It will be a big challenge but the potential if we can do it will be globally ground-breaking,” Mr Jones says.

“Our geothermal resources aren’t affected by weather in the same way renewable energy sources such as hydro, solar and wind are. This is particularly important in the context of energy security for New Zealand’s future prosperity.”

Geothermal energy is sourced from extremely hot rock heated by magma. At present, conventional geothermal wells are drilled to a maximum depth of about 3.5km. Scientists believe by drilling beyond this, possibly to 6km deep, the energy output could be up to three times greater than traditional geothermal energy generated from steam.

“With the search for potential exploratory well sites being narrowed down, we need to develop and prove the drilling and engineering systems for extracting the energy. Supercritical geothermal wells require casing materials that can withstand both high temperatures and potentially corrosive supercritical fluids,” Dr Reti says.

“I’m issuing a challenge to the New Zealand science and research community – academics, scientists and industry – help us find the solution. A lot of innovative research is happening across the country in pockets that could lead to the solution we need. It will be through these experts and sectors coming together and working collaboratively that we will crack this,” Dr Reti says.

The Ministry of Business, Innovation and Employment (MBIE) and GNS Science are leading the initiative, with MBIE setting up a Supercritical Geothermal Governance Group tasked with providing oversight and advice, and supporting the successful delivery of the project.

The  Supercritical Geothermal Project Board members are: 

• Chairperson – Hon Tim Groser – has 35 years career in trade and economic issues. He was former NZ Ambassador to the United States, former Minister of Trade, and Minister for Climate Change.
• Dr Charlotte Severne (Ngāti Tūwharetoa, Ngāi Tūhoe) is the Māori Trustee and leads Te Tumu Paeroa – the Office of the Māori Trustee. She holds a PhD in geology and has held various governance leadership roles within the primary and energy sector.
• Keith Turner – an electrical engineer and business executive with more than 50 years’ experience in the electricity sector, including being the chairman of Transpower. He is a Distinguished Fellow of Engineering New Zealand.
• Jason Hollingworth – over 30 years’ experience in a range of senior corporate finance roles. His is currently the CFO at Vector. His previous roles include being CFO of SKY TV, TelstraClear, and investment manager for Ngai Tahu Holdings. 

A total of $5m of the $60m government funding will be drawn down for work on the detailed design and costs of drilling the first exploratory well.

Mr Jones will launch a geothermal strategy for New Zealand during Geothermal Week in Taupō in July.

Source: New Zealand Government

The Government is delivering over $100 million in investment through Budget 2025 to ensure more tamariki Māori thrive at school.

“This Government is firmly committed to properly resourcing our bilingual education system and lifting achievement for Māori students. Our Budget 25 investment delivers on the commitments through our Māori Education Action Plan, which takes a practical approach to strengthening outcomes for ākonga Māori,” Education Minister Erica Stanford says. 

This investment encompasses:

• $10 million to launch a new Virtual Learning Network (VLN) for STEM education (Science, Engineering, Technology and Mathematics) subjects in Kaupapa Māori and Māori Medium education settings, addressing the shortage of qualified STEM teachers proficient in both subject matter and te reo Māori. This will fund 15 kaiako to deliver online STEM education to up to 5,577 Year 9-13 ākonga.
• $4.5 million to develop comprehensive new te reo matatini and STEM curriculum resources and teacher supports for approximately 2,000 Year 9–13 learners in Kaupapa Māori and Māori Medium education. For the first time ever, students will be able to study Shakespeare, international literature, and iconic New Zealand works, including The Bone People entirely in te reo Māori.
• $2.1 million to develop a new Māori Studies subject for Years 11–13, offering students to deepen their understanding of Māori cultural practices, narratives, knowledge, and language. This new learning area will be developed by Mātauranga Māori experts and will support learners to grow their knowledge of Māori culture, narratives, philosophies, Mātauranga and language.
• $14 million into training and support for up to 51,000 teachers/kaiako in Years 0-13 schools to learn te reo Māori and tikanga as appropriate benefiting over 560,000 students.
• An additional $60m of ring-fenced funding for Māori Medium and Kaupapa Māori Education property, which will deliver up to 50 new classrooms to support the network, providing access to immersion schooling for approximately an additional 1,100 ākonga.
• $4.8 million to appoint seven new curriculum advisors for Kaupapa Māori and Māori medium education to support kaiako in implementing the redesigned Te Marautanga o Aotearoa, including Rangaranga Reo ā-Tā, Poutama Pāngarau, and Hihira Weteoro, benefiting over 27,000 ākonga.
• $4.1 million to support the sustainability and data capability of the Kohanga Reo Network.
• $3.5 million to support WAI 3310 Waitangi Tribunal Education Services and Outcomes Kaupapa Inquiry.

“Each of these investments aim to drive student achievement for our tamariki Maōri so they thrive in the classroom. The Budget 2025 Māori education package delivered alongside investments support every child so they get the very best start and grow the New Zealand of the future”.

Source: PHARMAC

When a medicine is no longer under patent, suppliers can sell a generic, often less expensive, version of that medicine. Once a year, we invite suppliers to bid to be the main suppliers of medicines that are no longer under patent. Depending on which supplier’s bid is successful, the funded brand of medicine could change.

The annual tender process kicks off in July, when we release consultation on a draft list of items that we are considering including in the upcoming tender.

We ask clinicians, people who use the medicines, and suppliers a range of questions, including whether or not the item should be included in the tender, and what we should consider when reviewing bids and product samples. We are keen to understand any support that might be needed if we were to change brands.

Once the consultation closes, we send the information to our Tender Clinical Advisory Committee, which is made up of doctors, pharmacists, nurses and other clinical specialists, for its input.

After we’ve considered their advice, we finalise the list of items to be included in the tender and issue an “Invitation to Tender” for these items. This invites suppliers to submit their commercial bids. The tender closes in December, and then we start evaluating the bids.

We then ask some suppliers to send us samples of the medicines they’re bidding to provide as the main supplier. We hold a two-day meeting of the Tender Clinical Advisory Committee in February or March, where Pharmac staff and committee members inspect labels, open packages, test creams, taste medicines, shake bottles and discuss what might work best.

Sometimes, the committee will identify usability issues, which we must consider as part of the bid assessment. A crucial step is identifying what information people prescribing, dispensing, and taking medicines would need to help them understand a potential change in the medicine’s brand.

Our goal is to ensure we provide enough support so people can feel reassured during a change.

We then assess the bid against our decision-making framework, the Factors for Consideration. Specifically, we evaluate whether:

• the supplier can meet demand and has a reliable supply record
• the brand is approved by Medsafe
• the price is sustainable and offers savings that can be reinvested into funding more medicines
• there are groups of people for whom a brand change may not be appropriate. If so, we consider what actions Pharmac can take to mitigate or prevent any negative impacts on these individuals and their families or whānau.

We announce these decisions throughout the year, at the end of every month.

Source: Statistics New Zealand

Employment indicators: April 2025 – 28 May 2025 – Employment indicators provide an early indication of changes in the labour market.

Key facts
Changes in the seasonally adjusted filled jobs for the April 2025 month (compared with the March 2025 month) were:

• all industries – down 0.1 percent (2,246 jobs) to 2.35 million filled jobs
• primary industries – up 0.1 percent (108 jobs)
• goods-producing industries – down 0.3 percent (1,393 jobs)
• service industries – down 0.1 percent (1,081 jobs).

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