Auckland needs ‘fit-for-purpose urban vision’, says big new report

Auckland is falling behind other similar cities. It lacks a “fit-for-purpose urban vision” from its leaders and needs to “shift gear” or it will not prosper.

This is the key finding of a new report called the State of the City, released this morning, which compares Auckland with nine other “peer cities”.

Relative to the likes of Brisbane, Australia; Austin, the United States; and Copenhagen, Denmark; Auckland is not doing enough to meet its “competitive challenges”.

These include low productivity, deficits in transport and other infrastructure, “slower progress” towards decarbonisation, and concerns about affordability and safety.

Capacity for tech innovation and the “knowledge economy” are also weak and the city is not doing enough about sustainability.

On the positive side, resilience has grown after the storms of early 2023, while the advantages Auckland offers as a place to live remain strong. There is significant potential in the city’s bicultural and multicultural character.

The report warns that this is not just an Auckland issue: what affects the city also affects the country. New Zealand needs Auckland to be doing better.

This is the second annual State of the City report and it has been produced by the Committee for Auckland, a group that brings together public and private sector leaders in the city.

The other peer cities Auckland is compared with are: Dublin, Ireland; Fukuoka, Japan; Helsinki, Finland; Portland, US; Tel Aviv, Israel; and Vancouver, Canada.

As with Brisbane, Austin, and Copenhagen, all are of a similar size, with developed economies, and reputations as good places to live, work and play.

Copenhagen is one of Auckland's 'peer cities': similar, and therefore a competitor for talent and investment.

The first report was released a year ago and there will be a third in August 2025. Deloitte and Auckland Council’s economic development agency Tātaki Auckland Unlimited was also involved, with support from Koi Tū: the Centre for Informed Futures and the Government’s Auckland Policy Office.

The analysis was done by a British company called the Business of Cities and is based on more than 120 studies of cities globally.

“It’s fair to say,” says Tim Moonen from the Business of Cities, “that this year’s analysis holds Auckland up to a pretty harsh glare in this global spotlight”.

This is despite the city often being viewed as “having more of the ingredients, if not the outcomes, than other excellent cities, to help people get on in life, to grow a lower-waste economy, to respond to future crises”.

Perception, says Moonen, as well as performance, has become a problem. In the period 2012-2016, the city ranked on average 32nd in the world across a range of perception measures. Now, it’s 60th.

There’s been a “steady and notable drop in how often Auckland is seen as a top pick over the last decade”, Moonen says, “especially for businesses or investors”.

“Auckland is less often a poster child for city excellence or experience.”

Moonen also warns of “a new geography of competition”. Mid-size cities such as Auckland can’t rely on their inherited advantages. They compete with each other and they also compete with bigger cities such as Sydney and Barcelona.

“There are new technologies, new national policies for cities and urbanising industries, so even very good cities are losing out to bigger markets.”

Many other cities are “better at growing and attracting scarce talent, commercialising more of the ideas that they incubate, and addressing their transport and infrastructure gaps”.

Moonen says the positives for Auckland include the way it has rebounded after Covid-19, the 2023 floods, and high interest rates.

The city has been “faster than some others in some technology sectors and investment”. More companies are reaching “viable scale” and “neighbourhood amenities, the superb green spaces, have really resurfaced”.

But perhaps the biggest issue is that “prosperity has clearly dropped”.

“Other cities are growing productivity and wages faster,” he says. They have “bigger clusters in higher-paid sectors and less-chronic problems of affordability”. Whereas in Auckland, “inequality is clearly a drag on prosperity and access for Māori and Pasifika communities remains a major barrier”.

What does the city have to do now? The report identifies three critical areas for Auckland to address.

The first, says Mark Thomas from the Committee for Auckland, is to “build up Auckland’s competitive position in key industries”.

Committee for Auckland director Mark Thomas. Photo / Jason Oxenham

The second is to create “new, jointly developed local and central Government policies that enable scale, speed, and co-ordination in how infrastructure is delivered”.

As the report notes: “the coalition Government has made a commitment to institute long-term infrastructure deals”. A “city deal” would, in theory, set out a policy and funding framework for medium- and long-term development that transcends short-term politicking.

Mayor Wayne Brown is keen on a city deal too, but he told the Herald last week that Auckland is like a “city state” and should be making its own decisions. There’s been no support from the Government for that.

The third area to address is the lack of vision. Thomas says the city needs “conscientious and collaborative leadership about the city’s direction, appeal, and identity development”.

The unique culture of Tāmaki Makaurau Auckland needs a 'fresh narrative', says the report. Photo / Jay Farnworth

A key part of that, the report says, is making more of what makes Auckland unique: its kaupapa Māori and its diversity.

“Auckland has a culture and diversity advantage that can be used more purposefully to decisively promote the city, remind people of the city’s special qualities, and crystallise the unique value that Auckland presents which separates it from other places,” it says.

“This requires a fresh narrative allied to cultural development and innovation in how Auckland expresses its sense of self through its urban form, its economy, and institutions.”

Simon Wilson is an award-winning senior writer covering politics, the climate crisis, transport, housing, urban design and social issues, with a focus on Auckland. He joined the Herald in 2018. See here for his Comment piece on the State of the City report.