A political power struggle has broken out over the future of the $625 billion housing sector after the Productivity Commission's hard-hitting report to the Government challenged Auckland Council's plans.
Murray Sherwin, commission chair, called for urgent action so "Auckland is able to provide entry-level priced housing in volume for the many people and families who wish to live there".
But outspoken councillor and anti-sprawl advocate Mike Lee called Mr Sherwin's team "rednecks in expensive suits, right wing provincially minded branch managers with no ideas for economic development". Mayor Len Brown's council wants to squeeze 75 per cent of the city's housing growth in the next three decades within existing boundaries but Mr Sherwin's report said that was wrong and called for "reconsideration" of the plan which goes before the council in just two months. That left Mr Lee fuming.
"Freeing up productive rural land? You mean more urban sprawl for Auckland. Haven't we already tried that? The costs are traffic congestion, roading, water and sewerage reticulation. Those have been externalised on to long-suffering ratepayers.
"There is more than ample land already available for housing development in Auckland despite the obsessive lobbying of the land bankers. In terms of house prices, I wonder if the so-called Productivity Commission has anything to say about the exorbitant costs of construction materials in New Zealand? Let me guess, I bet they also recommend more privatisation of public assets?