1
00:00:00,200 --> 00:00:03,760
Speaker 1: New figures from the Building Research Association show construction companies

2
00:00:03,920 --> 00:00:07,160
Speaker 1: making up a third of all businesses in liquidation. That's

3
00:00:07,240 --> 00:00:10,400
Speaker 1: up from twenty five percent and twenty twenty two. Chris

4
00:00:10,440 --> 00:00:12,760
Speaker 1: Penk they building a construction minister with me this morning.

5
00:00:12,760 --> 00:00:15,600
Speaker 1: Good morning minister, Good morning to you Jee. Not a

6
00:00:15,640 --> 00:00:18,640
Speaker 1: great number to have on your watches, as the minister.

7
00:00:18,720 --> 00:00:21,240
Speaker 1: Not a great stat to have liquidations up thirty seven

8
00:00:21,320 --> 00:00:22,759
Speaker 1: percent in the year of February.

9
00:00:23,640 --> 00:00:25,640
Speaker 2: Yeah, I mean, not a great stat but I mean

10
00:00:25,720 --> 00:00:28,480
Speaker 2: more importantly than for me is minister or the government.

11
00:00:28,520 --> 00:00:30,160
Speaker 2: He has a lot of real world paine out here.

12
00:00:30,200 --> 00:00:32,360
Speaker 2: It's been really hard for the last few years. So

13
00:00:32,800 --> 00:00:35,240
Speaker 2: we're obviously focused on the things within our control, which

14
00:00:35,280 --> 00:00:37,760
Speaker 2: is turning it around in terms of the rules and

15
00:00:37,800 --> 00:00:40,240
Speaker 2: regulations that actually make it easier, not hardner. So when

16
00:00:40,280 --> 00:00:42,680
Speaker 2: people can climb out of that hole, it's a bit

17
00:00:42,720 --> 00:00:45,600
Speaker 2: easier to do so. But the more important big picture,

18
00:00:45,640 --> 00:00:51,320
Speaker 2: Staff is all the macroeconomic conditions around inflation, ocr coming

19
00:00:51,360 --> 00:00:54,360
Speaker 2: down and so on, and part of taking our medicine,

20
00:00:54,360 --> 00:00:55,680
Speaker 2: to use your metaphor of a minute ago.

21
00:00:55,760 --> 00:00:57,080
Speaker 1: Yeah, and we'll come to that in a second. How

22
00:00:57,080 --> 00:00:59,120
Speaker 1: many tradees have left the country do we know.

23
00:01:00,120 --> 00:01:02,760
Speaker 2: I mean, we don't know to the precise number, but

24
00:01:02,800 --> 00:01:05,440
Speaker 2: it's a combination of people having gone to Australia or

25
00:01:05,680 --> 00:01:08,520
Speaker 2: or decided to do other things. So obviously that's a

26
00:01:08,600 --> 00:01:12,240
Speaker 2: real problem in an issue. And you know, we say

27
00:01:12,280 --> 00:01:14,679
Speaker 2: when a Kiwi family set shopping.

28
00:01:16,480 --> 00:01:19,080
Speaker 1: Do they not give you numbers on that? The officials

29
00:01:19,120 --> 00:01:21,800
Speaker 1: they don't give you numbers on how many traders have

30
00:01:21,880 --> 00:01:22,720
Speaker 1: left New Zealand.

31
00:01:23,840 --> 00:01:27,040
Speaker 2: No they don't. I mean, we don't make people say

32
00:01:27,080 --> 00:01:29,399
Speaker 2: when they leave the country. But I mean anecdotally, at

33
00:01:29,480 --> 00:01:32,560
Speaker 2: least we can say it's a massive problem. And the

34
00:01:32,560 --> 00:01:33,800
Speaker 2: point I was just going to make is it's a

35
00:01:33,840 --> 00:01:35,680
Speaker 2: problem for them, But obviously it's also a problem for

36
00:01:35,760 --> 00:01:37,600
Speaker 2: the sector because when we start to pick up the

37
00:01:37,680 --> 00:01:40,640
Speaker 2: levels of activity again, people to do the work.

38
00:01:40,760 --> 00:01:43,200
Speaker 1: Which leads me to my next question. Are we in

39
00:01:43,319 --> 00:01:47,160
Speaker 1: a perfect storm? The OCRs coming down, prices are stabilizing

40
00:01:47,280 --> 00:01:50,960
Speaker 1: or increases, builders have gone to the wall, and traders

41
00:01:51,000 --> 00:01:53,360
Speaker 1: are going to Australia. Is this the perfect storm when

42
00:01:53,400 --> 00:01:56,840
Speaker 1: it does crank up for a repeat of the housing crisis?

43
00:01:58,120 --> 00:01:59,880
Speaker 2: Well, I mean I don't. I don't think so in

44
00:02:00,120 --> 00:02:02,400
Speaker 2: terms of the capacity to bounce back, but it will

45
00:02:02,440 --> 00:02:05,240
Speaker 2: be slower than it otherwise needed to have been. And

46
00:02:05,560 --> 00:02:08,920
Speaker 2: unfortunately this is the long run passion of the construction sector.

47
00:02:09,320 --> 00:02:11,800
Speaker 2: We have a deeper sort of boom and bus cycle

48
00:02:11,880 --> 00:02:14,239
Speaker 2: than we need because you know, there is a lag

49
00:02:14,280 --> 00:02:16,959
Speaker 2: effect basically. So I mean one of the things we

50
00:02:17,040 --> 00:02:19,280
Speaker 2: can do is just to try and be clear headed

51
00:02:19,320 --> 00:02:22,239
Speaker 2: about that and to say, well, we know that times

52
00:02:22,320 --> 00:02:24,800
Speaker 2: will be better and to avoid them being tougher for

53
00:02:24,880 --> 00:02:26,799
Speaker 2: longer until we climb out of that hole. We need

54
00:02:26,840 --> 00:02:28,800
Speaker 2: to do everything in our power to make it quicker

55
00:02:29,040 --> 00:02:31,400
Speaker 2: and easier so that people can crank up the work

56
00:02:31,520 --> 00:02:33,399
Speaker 2: more quickly and not shed people along the way.

57
00:02:33,720 --> 00:02:36,639
Speaker 1: Monster appreciate your time. Did you see the poll last night?

58
00:02:36,960 --> 00:02:39,960
Speaker 1: What can you sum up your vision in one word

59
00:02:40,000 --> 00:02:41,000
Speaker 1: for us Minister?

60
00:02:41,360 --> 00:02:44,800
Speaker 2: I think tougher is not bad actually or no best

61
00:02:45,200 --> 00:02:47,120
Speaker 2: and it might not be sexy, but actually it's we're

62
00:02:47,120 --> 00:02:52,799
Speaker 2: at the country, you know, the post COVID spending spurges

63
00:02:52,919 --> 00:02:55,639
Speaker 2: has finished and we've got to you know, get out

64
00:02:55,680 --> 00:02:58,040
Speaker 2: of that hole. So I think that's what we're doing.

65
00:02:58,160 --> 00:02:59,720
Speaker 2: And it's slow bit sure, but a lot of people

66
00:02:59,760 --> 00:03:01,440
Speaker 2: are really had to do it, and I think.

67
00:03:01,280 --> 00:03:04,280
Speaker 1: We'll give you Chris Pink Building and Construction Minister. For

68
00:03:04,400 --> 00:03:07,400
Speaker 1: more from Early Edition with Ryan Bridge, Listen live to

69
00:03:07,480 --> 00:03:08,040
Speaker 1: news talks.

70
00:03:08,080 --> 00:03:11,360
Speaker 2: It'd be from five am weekdays, or follow the podcast

71
00:03:11,400 --> 00:03:12,280
Speaker 2: on iHeartRadio