By Callum Purves

The New Zealand Taxpayers’ Union is slamming the Government’s plans to implement a cap on emissions from new buildings – a policy which will drive up house prices and put more pressure on Kiwi families during a cost of living crisis.

Taxpayers’ Union Campaigns Manager, Callum Purves says:

“A cap on construction emissions would unnecessarily drive up construction costs and in turn would result in increased house prices, higher rents and a reduced growth in supply.

“25.9% of renters spend more than 40% of their income on housing, if the Government truly cared about reducing the cost of living, they would focus on removing barriers to supply rather than making it more expensive to build houses.

“Not only will this proposal make people’s lives even tougher, but it won’t even make a shred of difference to the environment. Construction emissions are already governed under New Zealand’s Emissions Trading Scheme so any reduction would simply free up carbon credits to be used to increase emissions in other sectors.