Kerre Woodham Mornings Podcast

• Kerre Woodham: What can we do about rate rises?

  Commentators are telling us that the tide is turning, that we've reached the bottom of the cycle. ANZ has lowered its mortgage interest rates, so other banks will surely follow suit, bringing relief to many households. Spring is almost here. And then the rates bill arrives in the mail. Any financial gains are immediately lost, any lift of the spirits plummets. The Government is well aware that rising rates are adding to the economic doom and gloom. They put councils on notice last year to deliver value for money and promised to name and shame councils who were profligate spenders. They called it a table of spending, we call it naming and shaming. The report is designed to hold councils accountable on six metrics: Rates – the change in rates since the previous year and the forecast change in rates over the next 10 years. Council debt Capital expenditure, including a breakdown by activity class such as roading and water services. Balanced budget – to show whether the Council is actually coping with the rates that come in with the money it has or having to borrow to sustain itself. Road conditions – so ratepayers can compare the state of their local roads with councils across the country. Local Government Minister Simon Watts says communities can now compare how much their council spends on core essentials like infrastructure and see whether their rates are going up more than average. We have been clear, says Simon Watts, that we want to see councils get back to basics, focusing on delivering essential services and infrastructure, improving local decision making, and supporting their communities through the cost of living, not adding to it. He's also introducing a bill to remove four well-being provisions: social, economic, environmental, and cultural. They were reintroduced by Labour in 2019 after being removed by the previous National government in 2012, who removed them after Labour introduced them in 2002. So there's been a bit of political ping pong going on there. It will also impose a requirement on councils to prioritise core services when managing finances and setting rates. The threat of a rates cap too is ever present. If you don't stop increasing rates, then we will put a cap on you, the central government has said to local, so that you can't just hoick up the rates to pay your bills. Simon Watts points to rates caps in NSW and Victoria and says the same could happen here. I’m not sure that is the answer, not without accepting a massive loss in services, but how on Earth do you manage to budget when your rates rise well beyond inflation? What options do you have? There's a story in today's New Zealand Herald of a rates rise of 72% for one family in Orewa. That's because they're living on land that's ripe for development, except, of course it's not, because WaterCare is not issuing any resource consents, because there simply isn't the infrastructure to sustain any more development. So they're facing a huge hike in their rates because of the value of the land, but the value of the land can't be realised. So how on Earth do you cope with the 72% rise in rates? How do you manage? Do you sell the property because you simply can't afford the rates? Do you apply for rates relief? Do you just not pay it? For a long time, those who have bothered to vote in local body elections have voted for councillors who promise there'll be no rates rises, which means that a lot of the work that councils are doing has been delayed. They haven't had the money because homeowners, ratepayers, have elected councillors that have promised there will be no rates rises. But all that's doing is delaying the inevitable. In part, we have brought this on ourselves. You vote for people who aren't going to increase rates, you don't bother to vote. You don't bother to stand for council. When I say you, I mean we. So in part, we've brought this on ourselves. And because there haven't been the cheques and balances to monitor the spending, irresponsible councils have been able to do exactly as they wish - vanity projects wasteful spending. And those within the infrastructure of Council too have spent like drunken sailors. I would very much like to hear from those of you who have received your rates bill. Around the country, we've seen massive increases. Are you getting value for money from your Council? And what on Earth can you do about it? See omnystudio.com/listener for privacy information.

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• Jonathan Young: Ara Ake Head of Industry and Government Engagement on the impact of the rapidly declining gas supply

  The speed of decline of our gas supply could be hampering the transition to alternative energy. A Business NZ survey of commercial and industrial users shows average price rises have topped 100% in the past five years. Nearly half made various cuts to their business. Energy innovation centre Ara Ake's Jonathan Young told Kerre Woodham supply's fallen a lot quicker than anyone expected. He says it's hurting as companies try to transition. Young says it's like a relay runner falling short ahead of the baton exchange, and it's leading to de-industrialisation. LISTEN ABOVE See omnystudio.com/listener for privacy information.

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• Sam Warren: Taxpayers' Union Local Government Campaigns Manager on rising property rates

  The economic doom and gloom continues with rising property rates. Some rural areas are even facing increases substantially higher than the average council rate. One Orewa family is facing a 72% rates rise on their rural property, as it was zoned for new development – development that can’t be done for several years. Taxpayers' Union Local Government Campaigns Manager Sam Warren told Kerre Woodham they’re strongly pushing for rates capping laws that would stop any rates increases above the level of inflation. He says it would keep the councils focused on the important things, and ensure you can’t be costed out of your own home. LISTEN ABOVE See omnystudio.com/listener for privacy information.

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• Kerre Woodham: Will we soon see the Greens leading the government?

  I asked on Friday how anyone could vote for Labour given the latest Treasury report into their irresponsible spending of taxpayer money that came out last week. That irresponsible spending that contributed greatly to the recession, the high mortgage interest rates to unemployment - when so many of the same people, those people who made so many stupid decisions are still there, how could anyone, I asked, think that Labour should get another crack at government? The answer is quite a few of you think they should. The latest Taxpayers Union Curia poll that came out yesterday shows that if an election were held on Sunday, the result would be a hung parliament with the centre right bloc gaining 61 seats and the centre left block getting exactly the same - 61 for National, for ACT, for NZ First, 61 for Labour, the Greens and Te Pati Maori. Labour’s up two points, National’s down 2 points. It's only a poll - and we all know the Winston Peters dictum, the only poll that counts is the one that counts on election day. But it is a clear indication that when you campaign on fixing the economy, ‘hang on, help is on the way, we're here now, the grown-ups are in charge,’ then you have to actually fix it. Things have to change. Cost of living remains voters’ most important issue. Closely followed by the economy, then health and employment. All of those hang around the economy, hang around pulling the right levers to get things cracking again. Your average hard-working Kiwi is exhausted and tired of being told that things are coming right, that the ship is slowly turning around and heading in the right direction. So, this latest poll may be an expression of exhaustion and dissatisfaction. It may just be an indication that more people are starting to agree with Greens Co-leader Chloe Swarbrick that capitalism’s cooked. The Greens held their AGM over the weekend and Swarbrick urged the party faithful to build the parties fan base. She wants them to be talking to miners and factory workers and farmers to people who are fed up with politics and the two main parties and who are looking for alternatives, alternatives to the main parties and alternatives to capitalism. She also says she wants to have more say in the next government, she and Marama Davidson want to be the ones calling the shots, forming the government and deciding the policies. Chloe's put herself up as finance minister in the next coalition government. And if you want to see what that looks like the Greens, unlike Labour, have put up their economic policies to be scrutinised. They have put up an alternate budget. What this latest poll says is that Green supporters should take heart. People are tired, they are fed up, they can't see the status quo helping them. National, Labour, whatever, they're interchangeable. They're hard workers, they're good citizens, and they're still not getting ahead. The only way they can see a future for themselves and their families is by leaving the country. Does that mean they're ready to put the Greens in the driver's seat? Well, according to this latest poll, they're willing to put Labour there, so surely it's not such a great stretch of the imagination to see the Greens getting the votes they need to call the shots in 2026. See omnystudio.com/listener for privacy information.

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• David Birkett: Federated Farmers Arable Chairperson on the gas shortage potentially temporarily shutting down Kapuni fertiliser plant

  A hit for the Taranaki region, with dwindling gas supply forcing a potential short-term shutdown of a local fertiliser plant. Ballance Agri-Nutrients may have to cease operations at Kapuni for up to four months if it can't secure more gas before its contract expires next month. The company manufactures about a third of the country's urea fertiliser each year. Federated Farmers Arable Chairperson David Birkett told Kerre Woodham it’s been an ongoing issue that has just been getting worse and worse. He says that plants like that in Kapuni was built around the gas supplies nearby, and to convert it to another fuel source would be a huge and expensive process. LISTEN ABOVE See omnystudio.com/listener for privacy information.

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