Source: Federated Farmers
Ready-mixed concrete: June 2023 quarter – Stats NZ information release
Ready-mixed concrete: June 2023 quarter – Information release
10 August 2023
Ready-mixed concrete statistics provide an indicator of construction activity.
Key facts
- In the June 2023 quarter, the actual volume of ready-mixed concrete produced was 1.07 million cubic metres, down 11 percent compared with the June 2022 quarter.
- In the year ended June 2023, 4.4 million cubic metres of ready-mixed concrete was produced, down 4.2 percent compared with the year ended June 2022.
- In seasonally adjusted terms, the volume of ready-mixed concrete fell 0.4 percent in the June 2023 quarter, following a 5.5 percent fall in the March 2023 quarter.
Visit our website to read this information release:
Housing Market – NZ property resale gains fall to lowest level since 2015 – CoreLogic
The frequency of NZ property owners reselling for a profit has fallen again, as the country’s housing market downturn flows through to softer resale results.
The latest CoreLogic NZ Pain & Gain report shows the proportion of properties being resold for more than the original purchase price – a gross profit or ‘gain’ – in Q2 this year fell to 93.1% down from 94.1% for the first three months of this year.
The figures are the lowest for any quarter since Q4 2015 and well down on the peak of 99.3%, recorded in Q4 2021. The gains themselves have reduced too, with the median profit of $290,000 well down on Q4 2021’s peak of $440,000.
CoreLogic NZ’s Chief Property Economist Kelvin Davidson said for investors, that can be a cash windfall but for most owner-occupiers gross profit is equity that needs to be recycled back into the next purchase.
He said the drop in the share of property resales being made for a profit, and the fall in the size of those profits, is widespread across owner classification, property type and geography.
“The large majority of property resellers in the second quarter of 2023 still got a price higher than what they originally paid, reflecting that most people have held their property for several years,” he said.
“What this report shows is the frequency of those gains has declined further, or in other words there’s been a rise in the proportion of resellers seeing ‘pain’ – especially if they’ve only owned the property for a short period of time.”
“It’s not surprising to see the frequency of resale gains decline further as national average property values are 13% below their peak and are now back down at mid-2021 levels. Anybody who bought a year or two ago and has sold more recently has seen market conditions change significantly.”
Hold period
Across New Zealand as a whole, properties that were resold for a gross profit in the second quarter of 2023 had been owned for a median of 8.4 years, pretty much unchanged from the previous quarter’s figure. Of the loss-making resales in Q2 2023, about 60% of those had a hold period of less than two years.
Mr Davidson said the median hold period for loss-making resales was broadly unchanged from the previous quarter.
“The most striking aspect of the median of 1.8 years means there was a tendency for recent loss-making property resales to have been originally purchased around the middle of 2021, when the market was very strong, and looked different than it does now,” he said.
“Presumably, many of these resellers had intended to hold for longer, but perhaps due to changed personal circumstances they had to sell.”
Major centre pain greatest in Auckland
Auckland vendors felt the most ‘pain’ among the main centres, where 11% of property resales in Q2 were made below the original purchase price, broadly unchanged from 11.2% in Q1 2023.
Hamilton recorded 10.7% of resales at a gross loss in Q2, up from 7.6% in Q1. Gross loss resales in Dunedin was 5.9% in Q2, while Christchurch recorded an increase in ‘pain’, from 3.7% in Q1 to 4.9% in Q2.
The median resale loss in Q2 2023 was $95,000 for Auckland, $82,500 for Wellington, and around $50,000 apiece for Hamilton, Christchurch, and Dunedin. On the flipside, the median gains were around $360,000 in Auckland, Tauranga, and Wellington, $305,000 in Hamilton, and in the mid-$200,000s in Dunedin and Christchurch.
Apartment pain on the rise
The proportion of houses being resold for a loss increased to 6.2% in Q2 2023 from 5.2% in the first quarter of the year, hitting the highest level since Q1 2016. Apartments resold for a gross loss increased to 26%, up from 24.9% in Q1 and the highest level in a decade.
“The breakdown of the pain and gain data by property type reaffirms the recent change in market conditions, with gross resale profits less common and the size of those profits down too – for both houses and apartments,” Mr Davidson said.
“There is a tendency for apartments to be resold at a loss more often than houses, perhaps reflecting a greater proportion of investor ownership but we’re not seeing signs of apartment owners ‘abandoning ship’.”
Pain & Gain outlook
Mr Davidson anticipates a further increase in the proportion of properties resold at a nominal loss, even as the wider housing market finds a floor. Due to the recent drops in house prices, a potential slow recovery back to previous levels, and the role of hold periods, the ‘pain’ indicator tends to lag house prices themselves.
As an example, he said following the Global Financial Crisis, prices started to rise again from mid-2010 but it was another nine to 12 months until the bulk of the resale ‘pain’ stopped increasing.
“A further increase in the share of property resales being made for a loss seems likely in the next few quarters, even as property values themselves stop falling,” Mr Davidson said.
“But with the labour market still robust and few signs to date of widespread mortgage repayment problems, it’s unlikely we’ll see a return to the ‘pain’ peaks of previous cycles in the near term.”
About CoreLogic NZ
CoreLogic NZ is a leading, independent provider of property data and analytics. We help people build better lives by providing rich, up-to-the-minute property insights that inform the very best property decisions. Formed in 2014 following the merger of two companies that had strong foundations in New Zealand’s property industry – Terralink Ltd and PropertyIQ NZ Ltd – we have the most comprehensive property database with coverage of 99% of the NZ property market and more than 500 million decision points in our database.
We provide services across a wide range of industries, including Banking & Finance, Real Estate, Government, Insurance and Construction. Our diverse, innovative solutions help our clients identify and manage growth opportunities, improve performance and mitigate risk. We also operate consumer-facing portal propertyvalue.co.nz – providing important insights for people looking to buy or sell their home or investment property. We are a wholly owned subsidiary of CoreLogic, Inc – one of the largest data and analytics companies in the world with offices in New Zealand, Australia, the United States and United Kingdom. For more information visit corelogic.co.nz.
Energy News – Time for a national discussion on gas
The Government released today its Gas Transition Plan Issues Paper which provides the strongest signal yet that the Government sees gas as key to the energy transition.
The paper suggests that natural gas and LPG will be required for some years yet and that biogas and hydrogen have a role to play and could be produced at commercial scale in New Zealand.
GasNZ chief executive, Janet Carson, says the paper provides the impetus for a national discussion on gas.
“Let’s talk seriously about the future of gas and what it will take to get some serious investment in hydrogen gas and in biomethane. And let’s ask Kiwis what they think.
“Kiwis love gas – from continuous hot water, warm homes, cooking and barbecuing – it is hard to imagine life in Aotearoa without it.
“Our electricity system also depends on it to cover the gaps in electricity generation when hydro storage is low, the sun’s not shining and the wind’s not blowing.
Referring to the Ecogas and Firstgas Group collaboration in Reporoa, Carson notes that with a single biomethane project currently underway in New Zealand, there is significant opportunity for growth of the renewable gas sector.
Australians are tapping into the bioenergy opportunity with around 240 biogas plants already operating.
In April this year, GasNZ hosted a renewable gas tour of Australia to see first-hand the range of hydrogen and biogas projects being undertaken in Australia, including the Australian Gas Infrastructure Group’s (AGIG) renewable hydrogen development that delivers a five percent renewable gas blend to more than 4000 gas customers in Adelaide’s south in the suburbs of Mitchell Park.
“If you’re decarbonising energy, why wouldn’t you use the billion-dollar infrastructure you already have to help. The issues paper recognises the sense this makes.
“We congratulate the Government for putting the paper out there, now we need to take that discussion to marae, restaurants, hotels, laundromats and every New Zealander that depends on gas.
“Developing the renewable gas sector will give the two million Kiwis who directly rely on gas every day the reassurance that their fuel of choice will continue to be available – providing all the benefits of gas, while also helping to reduce our carbon emissions.
“The final Gas Transition Plan will have a profound effect on New Zealand’s future and a smooth transition to a net zero emission economy will ensure reliable and affordable forms of energy are available to consumers, and the flexibility to choose.
“I think Kiwis are really going to like this. So, let’s let them tell us what they think.
“The paper recognises that the transition challenge is not exclusively about reducing emissions but about the evolving role of natural gas and LPG in supporting the wider energy transition.
“The more energy options we have, the better for consumers and communities. Let’s make sure gas, in its many forms, is one of those options.”
About GasNZ
GasNZ represents renewable gas, natural gas and LPG companies. Its vision is that renewable gases, including biogases and hydrogen gas, are a material part of the energy mix in Aotearoa. GasNZ members cover all gas energy fuels and all parts of the gas chain: gas producers; gas distributors; gas wholesalers and retailers; and gas equipment suppliers.
Politics and Finance – Proposed BNPL regulations still leave room for harm – Good Shepherd
Source: Good Shepherd NZ
Energy News – Policies to improve investment confidence needed to avert energy crisis
Source: Energy Resources Aotearoa
Government News – Improvements needed when tamariki are returned home while in State custody
The safeguards and support for tamariki (children) and rangatahi (young people) who remain in or return to their parents’ care while in State custody are not always there, despite this group being at higher risk of harm than others in care, according to report from Aroturuki Tamariki, the Independent Children’s Monitor.
Returning Home from Care looks at the experiences and practices surrounding tamariki and rangatahi cared for at home by their parent/s while in State custody. As at 30 June 2022, 12 percent of tamariki and rangatahi in care (627 tamariki and rangatahi) were living in this type of care arrangement.
Successive Oranga Tamariki Safety of Children in Care reports have found that tamariki and rangatahi in return or remain home arrangements are at higher risk of harm than those in other types of care.
Aroturuki Tamariki Chief Executive Arran Jones says when tamariki or rangatahi are taken out of the care of their parents the goal is to return them home, but this must be when it is assessed as safe, and the home environment can meet their needs. “We heard that for many tamariki, rangatahi and whānau, the supports and services are not in place.”
Findings from the Returning Home from Care report include:
Planning is important to the success of a return home, however almost half were unplanned.
Policy at the time of our report recommended that tamariki returned home are visited weekly for the first four weeks, however only 19 percent of children who returned home were visited weekly.
Communication, collaboration, funding, and inconsistent policies were barriers to successfully supporting tamariki and rangatahi returning home.
There is limited visibility of the success of a return or remain home.
“Our report found that planning is important to the success of tamariki returning home, however data shows that almost half of these are unplanned. Some of those unplanned returns may be rangatahi voting with their feet, but it is important that social workers are checking on the safety of tamariki and rangatahi,” said Mr Jones.
Oranga Tamariki policy in place at the time of the review recommended that tamariki and rangatahi returned home are visited every week for the first four weeks, however data showed that only 19 percent of tamariki and rangatahi who returned home were visited weekly in the first four weeks.
Across the first four weeks, tamariki and rangatahi whose return home was unplanned were visited less frequently, than those whose return was planned (75 percent of planned returns received at least one visit in the first four weeks, compared to 63 percent for unplanned).
“We also heard that communication, collaboration, and funding across the social sector were barriers to success. Lack of coordination in the policies and practice of government agencies was also identified as a barrier to a successful return home,” Mr Jones said.
Examples of barriers across the social sector include long waiting lists for assessments and specialised support for parents, such as alcohol and drug counselling, and for tamariki, such as mental health or disability assessments. Uncoordinated policy and practice between government agencies can lead to delays in parents receiving the right support or in accessing a suitable, stable home so their children can return.
Data on the success of tamariki returning home is limited. For example, Oranga Tamariki do not know how many tamariki are subsequently removed from the care of their parent/s following a return home. This reduces opportunities for Oranga Tamariki to understand what is working well and where there are areas of risk.
“It is the responsibility of Oranga Tamariki to ensure tamariki in State custody who are returned home are safe there. Considering the assessment of risk by Oranga Tamariki, supports must be in place to keep tamariki safe and give parents the best chance of keeping tamariki at home.
“There is no visibility at a nationwide level if anyone else is checking on tamariki, and there is no reporting on the success, or otherwise, of a return home. Having those assurance processes in place will enable Oranga Tamariki to know if tamariki are safe and if the right supports are in place. This is how they can learn and improve.
“We have seen what a good return home looks like, and this needs to be the experience for all tamariki and rangatahi, not an exception. There is clearly room to do better for sake of tamariki and their parents,” Mr Jones said.
The Returning Home From Care report is available on the Aroturuki Tamariki websitehttps://aroturuki.govt.nz/reports/returning-home-from-care
About Aroturuki Tamariki
Aroturuki Tamariki, the Independent Children’s Monitor, was established in 2019 to monitor compliance with the National Care Standards Regulations. It became a departmental agency on 1 May 2023, and its role expanded under the Oversight of the Oranga Tamariki System Act, to monitor the wider oranga tamariki system. That is, the supports and services provided to tamariki and rangatahi, and their whānau, who are known to Oranga Tamariki.
Education News – New Ara Te |Pūkenga te reo kaiako follows teaching tradition to meet district demand
Source: Te Pukenga
Marine Environment – Enviro Groups slam decision to continue trawling Hauraki Gulf – Greenpeace
Source: Greenpeace
Sport and Hospitality – WITNESS A GLOBAL SPECTACLE: FIFA WOMEN’S WORLD CUP 2023™ CAPTURING THE WORLD’S ATTENTION
ENJOY AN ELEVATED EVENT EXPERIENCE WITH OFFICIAL HOSPITALITY FROM MATCH HOSPITALITY
9 August 2023 – Auckland – The highly anticipated FIFA Women’s World Cup Australia & New Zealand 2023™ is in full swing as we move into through the Round of 16 and beyond, and the excitement is palpable as fans from all corners of the globe eagerly turn their focus to the top teams in women’s football, competing to claim glory this year in the biggest women’s single-sport event in the world.
Fans can still secure seats and elevate their experience of the event with MATCH Hospitality, the official hospitality provider for this prestigious tournament.
Growth mindset
Audiences and interest in women’s football has shown incredible growth in recent years. FIFA’s second edition of the benchmarking report also found that club revenue growth was up 33% on the preceding year.
Tournament hospitality too is growing, with global demand for FIFA Women’s World Cup Australia & New Zealand 2023™ Official Hospitality well surpassing that of the preceding tournament.
Customers from 45 countries have already purchased packages, with Australia, the US, the UK, Switzerland, Germany and Aotearoa New Zealand topping the ‘charts’.
The most popular matches for hospitality sales – so far – include the Final, and the opening day match between Australia and the Republic of Ireland in Sydney at Stadium Australia. Hospitality packages remain on sale for a number of matches and venues as the tournament progresses.
US-specific
Hospitality sales [Gross Revenue] in the United States (US) for the FIFA Women’s World Cup in Australia and New Zealand 2023™ are pacing ahead of the FIFA Women’s World Cup France 2019™
60% of the US-based hospitality sales sold to date have been for matches during the Group Stage (July 20 – August 3, 2023)
35% of the US-based hospitality sales sold to date have been for the Final Round Series (Semifinals and Final) – (August 15 – August 20, 2023)
The majority of US-based fans purchasing premium hospitality packages primarily hail from the West Coast – particularly California.
Some of the most popular matches for fans traveling from the US who have purchased hospitality packages are: Australia vs Ireland, USA vs Netherlands, USA vs Vietnam, England vs Denmark, Portugal vs USA, Australia vs Nigeria, as well as later stage matches and the event culmination – the Semifinals, and Final.
60% of US-based hospitality sales to date have been at the “MATCH Club Hospitality Level” (this is consistent with the Men’s World Cup in Qatar).
The Official Hospitality Programme from MATCH Hospitality allows guests to create their ideal tournament experience, with options to choose from across multiple tiers of hospitality – as single match packages or bundled by theme such as venue, team, or stage of tournament.
Offerings include MATCH Place which offers a simple, convenient means to secure your seats and enjoy the benefits of hospitality, to MATCH Club for passionate fans wanting a casual family-friendly environment; to MATCH Private Suite and MATCH Shared Suite delivering a refined dining, décor and football viewing experience.
“This tournament is not just a sporting event; it’s a celebration of indomitable spirit and talent in women’s football. We are thrilled to welcome guests from all corners of the world and provide them with an unforgettable experience that embodies the magic and excitement of this beautiful game.” Vivienne Bervoets, chief administration officer at MATCH Hospitality.
For more details about the Official Hospitality Programme at the FIFA Women’s World Cup Australia & New Zealand 2023™, please visit www.fifa.com/hospitality.
About MATCH Hospitality & the FIFA Official Hospitality Programme
MATCH Hospitality is the world’s leading player in sports hospitality. Since 2007 we have curated and facilitated premium hospitality products at some of the world’s most significant sporting events. MATCH Hospitality has a global network of Sales Agents which offer sports events owners and rights holders worldwide access to customers in the market for exclusive hospitality products. MATCH Hospitality is the trusted authority in the production, marketing, sales, customer service and product development for significant events, boasting extensive expertise and experience, including the ongoing responsibility for the entire operation of the FIFA Hospitality Programme.
For more details about the Official Hospitality Programme at the FIFA Women’s World Cup Australia & New Zealand 2023™, please visit www.fifa.com/hospitality
For more information on the FIFA Women’s World Cup Australia & New Zealand 2023™, please visit https://www.fifa.com/fifaplus/en/tournaments/womens/womensworldcup/australia-new-zealand2023