Labour would spend more than $4 billion building state homes and fixing schools and hospitals under a jobs plan aimed at getting unemployed Kiwis back into work.
The party unveiled its "Start work now" policy today, saying 171,000 New Zealanders are out of work and 20,000 people have lost construction jobs since National took office.
The vast majority of the money, $2.9 billion in capital, would go to Kāinga Ora to build state houses, with another $760 million in operating funding to cover extra rent subsidies and running costs for Kāinga Ora and community housing providers. Labour said the package would deliver at least 6000 additional social housing places over four years.
Labour leader Chris Hipkins and Labour jobs spokesperson Ginny Andersen made the policy announcement in Hamilton on Thursday.
Hipkins said the plan would tackle a backlog of public building work while creating jobs.
"When the Government funds a building project, the benefits go well beyond the worksite. Builders hire tradies, tradies buy materials, suppliers get more orders, apprentices get hours and local businesses benefit from workers spending in their communities."
The plan would fund at least 6000 new social housing places and repair more than 2000 schools. (Source: 1News)
Labour would also allocate $450 million to improve state and integrated schools, made up of $400 million in capital funding and about $50 million in operating funding. The party said work at more than 2000 schools, covering classrooms, heating, plumbing, drainage, playgrounds and sports facilities, would begin within 12 to 24 months.
A further $200 million in capital would go towards hospital repairs, with Health New Zealand directed to finish projects already on its books.
Andersen said the country could not afford to keep delaying the work.
"We need to get Kiwis back to work. That means building homes, fixing schools and repairing hospitals, not sitting on our hands."
She said the policy was about "putting government investment to work - improving public infrastructure, supporting local businesses and giving the construction sector greater certainty".
Labour would also expand Apprenticeship Boost and introduce Māori Trades Training, supporting nearly 30,000 apprentices and giving each $1000 towards tools and gear.
The party said the plan would be paid for from future operating and capital allowances, with most of the housing operating funding falling between 2028 and 2031.
National campaign chair Simeon Brown said it was another promise from Labour with no detail about where the money is coming from.
“Even if Labour could explain how it would pay for all these promises, it has no idea how to deliver. This is the party that promised 100,000 KiwiBuild homes and light rail for Auckland and delivered neither.
“Labour’s plans are simply not credible. Every time Chris Hipkins announces another spending commitment, the question remains the same. How will Labour pay for it, and how many new taxes will Kiwis be hit with?”
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