Sprawl not solution for Auckland housing affordability crisis

It would be a mistake for the Government to allow more development on Auckland's urban fringe in its attempt to address the growing housing affordability crisis, said Green Party housing spokesperson Holly Walker.

Ms Walker was responding to reports that the Government is expected to announce changes to development laws after its Cabinet meeting on Monday. The expected announcement is said to form the centre of the Government's response to the housing affordability inquiry by the Productivity Commission.

"Urban sprawl will not make housing more affordable because the types of houses that tend to be built in new developments are large and expensive," said Ms Walker.

"Housing developments on the urban fringe come with hidden transport and infrastructure costs which can be crippling for families' budgets."

In Melbourne, a series of extensions to the urban limit have resulted in a suburban glut of more than 35,000 unsold houses. Factors thought to be behind this include mortgage stress, poor infrastructure and transport services in outer-lying areas and limited local job opportunities.

"Without transport, local amenities, and local employment opportunities, outer suburbs can become poverty traps for families reliant on cars and who face higher petrol costs and costs of living," said Ms Walker.

"New Zealand research shows that mortgagee sales during the financial crisis have been concentrated on outlying suburbs with poor transport and infrastructure connections.

"The Government should not relax the development boundaries in Auckland, when the existing Auckland plan could allow for the development of up to 280,000 new dwellings within existing boundaries over the next 30 years.

"Medium-density, small dwellings centred around existing community amenities with good transport and recreational services is a better model for helping the average first home buyer in Auckland get a foot on the property ladder.

"We also need greater Government commitment to affordable housing.

"The Government should lead the way with the construction of new state and social housing, not push desperate home-owners and renters out to the fringes and create even greater inequality in our biggest city," said Ms Walker.