Stimulus package delivers jobs and better homes

A Government stimulus package has delivered more new homes, more improved homes and created more jobs than promised.

Phil Heatley says the latest figures from Housing New Zealand Corporation (HNZC) show the ‘Jobs and Growth’ package delivered well above expectation.

"In February 2009 I announced that as part of the Government’s Economic Stimulus Programme, Cabinet had approved a 'one off' payment of $124.5 million to be put toward improving state housing. At that time it was anticipated this sum would deliver 69 new homes and allow for improvements to 10,000 state homes.

"In fact this particular cash injection built 87 new state homes and funded an additional 11,290 upgrades."

This has not only resulted in improved living conditions for tenants, it also serves as a long-term investment for the Corporation, significantly reducing the amount of deferred maintenance.

Part of HNZC’s remit was to ensure that nationally, the greatest possible number of building contractors gained work.

"On average more than 1430 additional jobs were created in any one month to deliver new and improved housing. That’s a potential 1430 families who have benefited from this programme, with the flow-on benefits to the general economy," says Mr Heatley.

"All of these gains were made in addition to HNZC’s business as usual. The Corporation upgraded a total of 19,451 homes and increased its net stock of housing by 550 homes between February 2009 and June 2010.

"HNZC have worked hard to deliver maximum results from the money provided. This successful outcome is a credit to both HNZC staff and management. I would like to thank them for their hard work and congratulate them on the outcome of this particular programme."