New Zealand’s National and Labour parties are advancing rival plans on food, jobs and housing before the Saturday, Nov. 7, election, as inflation eases but unemployment stays elevated and home values remain below their peak.
Statistics New Zealand (Stats NZ) put annual inflation at 3.7% in September, compared with 4.1% in June. Grocery food prices increased 3.0% over the year, while electricity rose 9.3%. Petrol was up 19.1% from a year earlier, although its price fell 6.5% in the September quarter.
National proposes separating New World and PAK’nSAVE to increase supermarket competition. The party says the change could save shoppers an average NZ$560 a year, and would proceed only if the Commerce Commission confirms it is workable. Labour proposes making it illegal for large companies to overcharge for essentials and changing supermarkets’ access to wholesale supply.
Stats NZ put seasonally adjusted unemployment at 5.6% in the June quarter, up from 5.4% in March, with 171,000 people unemployed. The number of unemployed people ages 15 to 24 rose by 12,200, or 19.5%, in the year to June. National projects an average growth rate of 2.7% and 220,000 additional jobs by 2030 in its campaign plan. Labour says it would fund housing, school and hospital projects and give nearly 30,000 apprentices NZ$1,000 each for tools and gear.
Cotality’s Home Value Index put the national median property value at NZ$797,078 in September, down 0.3% from August and 1.3% from a year earlier. Cotality said values were 19% below their 2021-22 peak, but 37% above September 2016. Kelvin Davidson, Cotality NZ chief property economist, said buyers could take time over a purchase in the cautious market.
Both parties propose expanding first-home loan access for buyers with a 5% deposit and an income cap of NZ$300,000. Labour also proposes rent-to-buy for eligible Kāinga Ora and community-housing tenants. Its platform includes a 28% tax on qualifying gains from investment-property sales after July 1, 2027, with family homes and farms exempt; Labour says the revenue would fund health care.
New Zealand uses mixed-member proportional representation, under which parties commonly negotiate to form a government. The Electoral Commission says official election results are due Nov. 27.
