What happened Tuesday

Business / news

A review of things you need to know before you go home on Tuesday; waiting for the RBNZ, retail sales sag, most ahead on their mortgage payments, auctions sag, swaps on hold, NZD slips, & more

24th May 22, 3:59pm by David Chaston

Here are the key things you need to know before you leave work today.

MORTGAGE RATE CHANGES
No changes today as we await tomorrow's OCR decisions.

TERM DEPOSIT RATE CHANGES
Both HSBC and TSB raised their TD offers, but neither to market-leading levels.

CRIMPED DOMESTIC DEMAND SAVED BY TOURISM?
Retail sales in the March quarter underwhelmed most analysts, even though actual sales volumes were up +3.2% year on year and were better than the monthly electronic card data suggested. Further, many analysts think domestic spending will soften further over the coming months. That’s due to the pressure inflation will have on consumer spending and the pressure higher mortgage rates will have too. But although spending from domestic demand will soften, there is an expectation that tourism and hospo will rise as momentum grows from a re-opened border.

OVERALL IN GOOD SHAPE, BUT STRESS RISES AT THE MARGIN
According to the banker's trade lobby group, nearly half of the nation's 1.2 mln mortgage holders have paid down more than their scheduled payment arrangements - but some are struggling. These figures show a significant rise in the latter half of 2021 in the numbers of mortgage holders shifting to interest-only payment arrangements. And they revealed that 4300 borrowers were granted hardship relief but a further 7600 (+26%) applied and were [presumably] turned down.

FOLLOWING THE MONEY
We released out easy-to-understand summary tables of the Government's 2022/23 Budget yesterday, both for what is planned to be spent, and where the funds are expected to come from. And today, we released the first of the drill-down detail, this one for Social Welfare (or "Social Development", if you prefer the official sanitised term). That reveals the largest benefit is NZ Super, consuming just under 5.0% of our GDP (and up from 4.9% the prior year). Each day this week we will release further drill-down detail.

3 IN 4 HOUSES NOT SELLING AT AUCTION
The national auction sales rate dipped to just over a quarter last week, ranging from zero in Waikato to 51% in Canterbury.

REGULATOR FACES INDUSTRY BACKLASH
Last year the RBNZ said it was considering introducing a scheme to pay out claims in the event of an insurance company failing. The industry doesn't want such protection for their customers. On the general insurance side, this industry is dominated by two large Aussie-owned insurers. There is more competition on the life side but Aussie-owned insurers are important there too.

STAYING AT ORANGE
We are to remain in the 'Orange' pandemic traffic light setting. That is because of the 'likelihood of a secondary wave of cases appearing' in the plannable future.

LAST CENTURY [GRAVY] TRAIN SET
Dame Fran Wilde has been named the board chairperson overseeing the huge Auckland Light Rail project, currently expected to cost $29 bln for the 24 km route. The chances are it could cost almost $2 bln/km when completed. At peak hour, it might move 1% of Auckland's population, or 2% of all people going to work. Like the Central Rail Link, it is another Queen Street-focused project. Sadly, time and WFH have moved passed it, not to mention that Auckland Council seems to have destroyed Queen Street as a destination. Consultants Lucy Tukua and Leigh Auton have also been appointed to board roles.

'REAL' EXPANSIONS ROLL ON
Early May data has been released for the factory sector in both Australia and Japan. Both sets show manufacturing sectors expanding at moderate levels. Services expanded slower in Australia in May, but faster in Japan.

SWAP RATES ON HOLD
We don't have today's closing swap rates yet but they are probably little-changed today awaiting the RBNZ's signals tomorrow. A full +50 bps is priced in. The 90 day bank bill rate is up +3 bps today at 2.31%. The last time it was at this level was on 22 July 2016. The Australian 10 year bond yield is now at 3.32% and up +4 bps from this time yesterday. The China 10 year bond rate is now at 2.82% and unchanged. The NZ Government 10 year bond rate is now at 3.51%, down -1 bp and now below the earlier RBNZ fix for this bond which was up +3 bps, now at 3.53%. The UST 10 year is now at 2.85%, and up +4 bps from this time yesterday.

EQUITIES MIXED AGAIN
The S&P500 ended its Monday session up +1.9% on Wall Street today. Tokyo has opened down -0.5% today, and Hong Kong has fallen a further -1.4% in early trade. Shanghai has opened -0.4% weaker. The ASX200 is flat in early afternoon trade today, while the NZX50 is heading for a -0.5% reversal.

GOLD SLIPS
In early Asian trade, gold has slipped -US$2 to US$1853/oz.

NZD SLIPS
The Kiwi dollar has slipped slightly to 64.3 and down -30 bps from this time yesterday. We are down less at 91 AUc. And we are -½c weaker at 60.3 euro cents. That all means our TWI-5 is now just on 71.3 and -30 bps lower than this time yesterday.

BITCOIN SLIPS
Bitcoin is now at US$29,211 and down -3.2% from this time yesterday. Volatility over the past 24 hours has been high at +/- 3.0%.

Daily exchange rates

Select chart tabs

Source: RBNZ

Source: CoinDesk

Daily swap rates

Select chart tabs

Source: NZFMA

This soil moisture chart is animated here.

Keep ahead of upcoming events by following our Economic Calendar here ».

We welcome your comments below. If you are not already registered, please register to comment

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.

143 Comments

by Foxglove. | 24th May 22, 4:11pm 1653365502

Surely this government must be ousted in 2023. If only to avoid the sheer lunacy described in the 9th captioned para as above. It is the same naive, ill considered, vainglorious grandstanding of the cycle bridge that was hoisted up the flag pole by a bunch of show off, grinning incompetents with too much other peoples money to play with. Except of course this is on a far greater catastrophic scale.

by Smudge02 | 24th May 22, 4:15pm 1653365745

What gets to me is that come 12 months time we are going to have to hear them ‘tell’ us what an absolutely fantastic job they have done and that in order to show our gratitude we should vote them back in!

by Tim Depositor | 24th May 22, 4:27pm 1653366440

Don't forget Sir John Key's giving himself a knighthood inorder to swept into the directorships gravy boat.

Luxon is obviously looking to knight himself is a similar fashion.

And poor old Dame Jenny.

by profile | 24th May 22, 6:59pm 1653375553

The fool. The poor sap didn't know the the road to power is to marry in to the Mahuta family.

"Taumata Arowai is the regulatory body set up in response to Havelock North. We can see in this organisation that their focus isn’t solely water quality. According to their website, “Our name Taumata Arowai was gifted to us by Hon Nanaia Mahuta, Minister of Local Government”.

Having your name “gifted” by the reigning minister has a North Korean feel to it. This body enjoys a Māori advisory board whom it must consult. The chair of this advisory body is the minister’s sister."

by BlackKrim | 24th May 22, 8:37pm 1653381457

https://theplatform.kiwi/opinions/co-governance-the-crown-and-the-mahut…

by Pa1nter | 24th May 22, 5:24pm 1653369841

To be fair if we were as poorly regulated and corrupt as other places we'd have that bridge up lickity split at 1/4 the price.

by JimboJones | 24th May 22, 7:36pm 1653377817

Why does everyone hate the cycling bridge? Is it really that stupid to allow a large number of people to be able to walk or cycle the relatively short distance from their home to work? I just don’t get it?

we threw away almost as much money just last year on the stupid winter energy payment. At least we would have the cycling bridge for a hundred years or more.

by Hummy | 24th May 22, 8:11pm 1653379894

Probably it's more about having your priorities right.

by RickStrauss | 25th May 22, 9:09am 1653426540

Yeah, we figure we can get a project with a lower ROI but that's for cars.

by redcows1 | 24th May 22, 8:12pm 1653379952

It's just an automatic and slightly unhinged and shrill reaction from a populace stuck in their cars.

Makes absolutely no sense that so many hate on any alternative. Of course they were added and abetted by waka kotahi who every time the government said yes to a price added in a few hundred million cause they really don't want anything to do with a transport system that caters for less than four wheels.

by Pa1nter | 24th May 22, 8:14pm 1653380092

I guess because the idea of a cycling bridge in principle sounds lovely, but the realities of a daily bicycle commute over the Auckland Harbour Bridge is something that'd be relegated to the hardcore and medically insane.

by Emma Lodge | 24th May 22, 9:20pm 1653384010

I don't know about you but the logistics of cycling to work is just not practical. I sweat like a pig (actually like 10 pigs ) and there are no shower facilities at my work. It's not because I am unfit (my second job is a group fitness instructor). If there was some magical personal hygiene fairy i would absolutely bike or walk to work. I suspect a lot of people feel the same.

by Miguel | 25th May 22, 12:01am 1653393702

Ebikes change all that. You can dial up the motor assistance to make riding a breeze on the ride on, and dial back the assist on the way home. Honestly try one, it’s night and day difference

by Emma Lodge | 25th May 22, 12:15am 1653394529

Oooh. Is there full assistance mode for my sweating problem?

by agnostium | 25th May 22, 12:43am 1653396197

There is full assistance but you do not need to use it to not break a sweat. My partner cycles up hill in normal clothes on her way to work and has never broken a sweat. When you hit a hill the assist kicks in and it's like gently cycling on the flat. Same if it's windy, the assist just negates the wind resistance. Try it. I have yet to know someone who tried it who was not impressed.

by Pa1nter | 25th May 22, 7:26am 1653420362

Ebikes are nice. End of the day this is a pedal assisted commute from the shore to the Auckland CBD over the Harbour bridge. It's bad even on a motorbike half of the time. If you're someone who needs to be presentable for their job, open air transport over the harbour bridge isn't a sensible option. Unless you have a shower at the other end, and a spare half an hour when you get there.

by agnostium | 25th May 22, 1:45pm 1653443141

No, you're completely wrong on this sorry. You do not need a shower and you can turn up presentable.

by kensinma69 | 25th May 22, 3:33pm 1653449581

Just a FYI - pigs don't/can't sweat :)

by Squishy | 24th May 22, 4:24pm 1653366278

...chances are it could cost almost $2 bln/km when completed.

For a tram service? The recently opened Elizabeth Line in London cost the equivalent of NZ$37bn for a 60 mile track and that's a proper subway system.

We are to remain in the 'Orange' pandemic traffic light setting. That is because of the 'likelihood of a secondary wave of cases appearing' in the plannable future.

I was half expecting another border closure for Monkey Pox.

by JimboJones | 24th May 22, 7:34pm 1653377644

The light rail is pretty much a proper subway system. The only advantage heavy rail would bring is capacity, but at much higher operating cost and hence lower frequency.

by ngakonui gold | 24th May 22, 4:20pm 1653366026

Fran Wilde.....why can't these polis just fade away or are her super payments not enough.

How long is this build going to take?

by Independent_Observer | 24th May 22, 4:22pm 1653366155

Thoughts on swaps.....are falling share markets declaring deflation is coming, or are they setting up for another rebound higher?

by Squishy | 24th May 22, 5:25pm 1653369912

"If you no longer buy the dip you are no longer a speculator."- Fraternal Association of Gambling Gentlemen and Yach owning degenerates.

Seriously though you'd need to be braver than I am to try to catch this falling knife.

by Independent_Observer | 24th May 22, 5:39pm 1653370746

Was perhaps more referring to swaps bouncing higher as opposed to shares. I think we might be at the start of a longer term bear market for assets/shares etc.

by HouseMouse | 24th May 22, 7:44pm 1653378299

The former.

you know, what I have been saying for ages:

- OCR hikes

- recession (deep)

- OCR cuts

by Norm | 24th May 22, 8:41pm 1653381679

A financial markets manager, for one if the big banks, told me SWAPS just overshot, the recent reduction is a re-balancing and if the OCR increases by 50 points and the Reserve Bank's narrative doesn't change much, they should stay at similar levels.

by lonewolfnz | 24th May 22, 4:29pm 1653366550

So here is what I have been doing lately:

1) Crypto (out) - all cashed out and in term deposits. Waiting for next RBNZ call (hoping for a slight bump)

2) Equities - dollar cost averaging back into low risk value stocks / ETF via Hatch

3) Gold - matching the equity investment. All dollar cost averaging

4) Crypto (in) - getting back in gradually (less than 1% of what I once had) Almost all entirely BTC and ETH so far - no defi stuff or funny business.

5) Properties - all mortgages and debts now paid off. The rental now funds some of the investments above.

Expecting a bit of a down-turn, maybe for the rest of the year. Hopefully we bottom soon but prepared for the long ride

by Dgm | 24th May 22, 4:37pm 1653367046

Maybe you should be Warren buffets advisor

by lonewolfnz | 24th May 22, 4:51pm 1653367905

Its funny but I'll buy some of his shares. He has endured the market well (better than Cathy Wood!)

I see he has finally started to deploy his cash reserves now

by Hardly | 24th May 22, 6:03pm 1653372224

I don’t like his odds of enduring the next market cycle just on a longevity basis.

by Baywatch | 24th May 22, 5:17pm 1653369456

50% of Buffets portfolio is Apple, then oil, bank, credit cards, Pepsi and Cocoa Cola shares, ..

by Pragmatist | 24th May 22, 7:12pm 1653376348

So he picks companies with successful products in high demand.. Not stupid.

by Baywatch | 24th May 22, 8:17pm 1653380233

Or he got lucky with Apple..

by Hummy | 24th May 22, 8:29pm 1653380961

Soon the company who sells you the apple you can eat will be better investment.

by Yvil | 24th May 22, 4:50pm 1653367822

Great to hear what some people are doing, rather than hearing people make fun of what others are doing, keep it up!

This comments section would be so much better, if we could all lift each other up to make better investment decisions!

by Dgm | 24th May 22, 4:55pm 1653368136

I bought 6 houses.. hope I have lifted your spirits

by Brock Landers | 24th May 22, 4:57pm 1653368248

Yes, but how many trees did you cut down to fatten your wallet?

by Yvil | 25th May 22, 10:53am 1653432794

The cynical and sarcastic people who like to make fun of others, have let themselves known

by Zen20 | 24th May 22, 4:58pm 1653368294

Be quick

by HouseMouse | 24th May 22, 7:50pm 1653378627

How about you Yvil, keen to hear.

as you know, I sold shares in October, sitting on the sidelines with cash right now.

I feel the time to buy shares again will be around April/ May 2023, but it’s important to keep nimble and keep an open mind.

by Nifty1 | 24th May 22, 9:09pm 1653383354

April/May 2023 seems a long way off, market sentiment can change quickly...

by Norm | 24th May 22, 9:37pm 1653385027

Yes, far too many variables that could have a major influence on our economy, to predict anything with confidence that far out, and many are external so out of our control (for example, the Fed, oil, war, China).

by Yvil | 25th May 22, 10:58am 1653433115

HM, we have similar views on a recession coming and most assets losing value over the next 12 months, so I have no shares (I have not been successful at investing in shares in the past), I don't own any crypto as I don't really understand it fully, I have just a few properties (sold 1 in 2021 and 1 in 2020) and I have some cash in the bank earning bugger all to invest, probably in 2023. Until then I will just look after my business best I can and also travel.

by J.C. | 24th May 22, 5:01pm 1653368498

Luv your work Wolfie

by Nzdan | 24th May 22, 6:04pm 1653372256

I'm confused and genuinely curious. Why would you be 99% cashed out of Crypto, in particular Bitcoin? I thought Cryptocurrency, namely Bitcoin, was a robust store of wealth due to the 21 million coin limit etc and was free from manipulation from Central Banks etc.

by lonewolfnz | 24th May 22, 8:02pm 1653379328

Due to our tax laws I'm a forced seller into NZD for a start (sold up at 46k on 1 April).

Long term I think its a great investment (hence I'm buying back in) but there are a range of reasons I sold - made life changing wealth so happy to sit it out and take a break for a while - my rentals and term deposits mean I could chuck in the towel at work if I was so inclined. Short term I see visions of 2018.

If we had decent tax rules (say a FIF regime or something) I might have just sat it out.

by HouseMouse | 24th May 22, 7:47pm 1653378458

Nah, the worst of the recession will be first half of next year.

OCR cuts will start by mid 2023, the economy will splutter into a very sluggish recovery from late 2023/ early 2024.

by lonewolfnz | 24th May 22, 7:59pm 1653379186

Entirely possible. My worst case is a two year bear market recession, ending late next year. But those term deposits should have a fairly decent return towards the top of the hiking cycle.

The rest of the world might fare differently

by Norm | 24th May 22, 9:49pm 1653385766

You seem so sure HM. I seem to remember, not to long ago, some commenters on here thinking the OCR would be cut sometime this year. My point is, you'd have to be really lucky to get any economic predictions right, a year out, at the moment. Most commenters couldn't even predict what the OCR was going to increase by the day before the last review, let alone a year out.

by HouseMouse | 24th May 22, 10:44pm 1653389065

I have a pretty good track record, so yeah I back myself.

but hey it’s just my view, a random anonymous punter on a small website at the bottom of the world…

by Fitzgerald | 25th May 22, 6:33am 1653417196

It is good to back yourself.

The biggest potential mousehook that I see in your prediction is the fact that a recession in NZ does not necessarily mean that the OCR will be quickly dropped.

If there is inflation in the rest of the world, then our OCR & mortgage rates will keep getting dragged up, whether or not we are in recession.

Too much faith in the RBNZ to be anything but an insignificant little bit player in the global banking system.

Perhaps also a little too much faith that we are not about to enter a debt doom loop, where defaults + falling prices = much higher mortgage rates as extra risk premiums are added to our shonky housing debts.

by Trickledown | 24th May 22, 8:57pm 1653382629

Thanks for the info LoneWolf. Question - do you invest in gold via ETFs? Or else?

by RickStrauss | 24th May 22, 4:55pm 1653368130

Sadly, time and WFH have moved passed it, not to mention that Auckland Council seems to have destroyed Queen Street as a destination.

LOL, jeepers, bit of an ideological bent on display there, David.

by Pragmatist | 24th May 22, 7:15pm 1653376500

He's not wrong though. Why would you go there for a retail store if theres a second option, unless you already have to go into the shitty for work?

by JimboJones | 24th May 22, 7:24pm 1653377095

How have Auckland Council caused it though?

by Foxglove. | 24th May 22, 7:31pm 1653377466

Oh, who else might have caused it then?

by JimboJones | 24th May 22, 7:38pm 1653377932

I seem to recall some kind of pandemic…

by Foxglove. | 24th May 22, 7:47pm 1653378446

Oh for heaven’s sake! The pandemic cop out. How convenient. The truth is with or without the pandemic, they were stuffing it up before, during and after the pandemic. How did the pandemic actually alter whatever plans were in place. Just delayed and protracted the pain inflicted on the associated businesses.

by HouseMouse | 24th May 22, 8:00pm 1653379247

Bullshit.

it was mainly pandemic, and before that a shift of corporates to Wynyard Quarter that had next to nothing to do with council.

the CRL has also been a big disruption, but that was more government-led than council-led, and once finished will be great for the CBD.

Btw, I work in the CBD two days a week, the energy is returning.

If you and David are referring to the traffic calming in the CBD - actually, it creates a much nicer environment for workers and shoppers.

by Foxglove. | 24th May 22, 8:07pm 1653379667

Align with Streetwise 5.42pm as below (except for the firing squad) No pandemic promoted and sponsored that sort of planning and construction. It sits there regardless, plain to the eye, and ugly.

by HouseMouse | 24th May 22, 8:13pm 1653380003

I guess it’s subjective.

I see a rejuvenated Britomart and waterfront, a very nice Commercial Bay and an underrated lower - mid Queen Street.

Have you ever looked up above the verandas? There’s lots of lovely old buildings along Queen Street, in very nice condition. Especially in lower Queen Street.

by Foxglove. | 24th May 22, 8:36pm 1653381370

Yes I have and I worked in one of them in the 1960s. But it’s what’s on the footpaths that counts for a city’s culture. For example Philadelphia where I worked over twenty odd years ago. Some of the most beautiful commercial architecture you could ever behold if you get up high enough to actually be able to see it. But down below not only crappy but dangerous. Auckland downtown has been gutted by the never ceasing alterations and public works.If that was not so the bureaucracy would not have had to cough up assistance packages to the retailers for the revenue they destroyed. Perhaps you may be right that the historical downtown will return to its former vibrancy. But in its present condition and atmosphere it is distinctly Vauxhall Gardens terrain, as per Dickens.

by HouseMouse | 24th May 22, 8:37pm 1653381444

I have lived in 2 or 3 large world cities where parts of them were heavily disturbed by public works. But once finished, the cities were enhanced.

I learnt from those to withhold judgement on a city while much of it is being disturbed by temporary public works which will ultimately enhance it.

by gnx | 24th May 22, 9:54pm 1653386044

Spent a few days in Philly a few weeks back. Mostly around Rittenhouse Square area.

It was a very nice area.

by Foxglove. | 25th May 22, 8:41am 1653424910

Did you get to the civil war museum a couple of streets east. Fascinating. Includes General Mead’s horse’s head, Jefferson Davis smoking jacket in which he was arrested and a length of tree trunk from Gettysburg consisting of more lead than wood. Only in America!

by Hardly | 24th May 22, 9:56pm 1653386209

I went to Auckland before the pandemic. Went to queen street and the surrounds to find breakfast. It was a desert. Nobody there, nothing good on offer. Wellington CBD you can throw a rock and hit a good place to eat.

by RickStrauss | 25th May 22, 9:19am 1653427197

This is actually bollocks, though.

The pandemic reduced foot traffic to where it's now almost a quarter of the 2019 volume, a massive factor. But council was "stuffing it up", but you list no specifics.

So what actually has changed in Queen St? Instead of four lanes of cars sitting there you have two lanes of cars and a bus lane. And some planter boxes. And...some planter boxes and a bus lane have destroyed Queen Street?

What else? Surely there must be more to it than the fact there's one fewer lane of cars each way, and a few planter boxes and wider footpaths in places? Are people seriously trying to argue that is what has made the difference? That looks to me like an ideological reaction rather than any depth of thinking on the issue.

Meanwhile, Commercial Bay through to Britomart attracts a lot of foot traffic, yet doesn't have cars driving constantly through all of it. Yet, that cannot be for apparently we need 4 lanes of traffic through the middle for it to thrive.

Reality just doesn't seem to support the ranters of "council is destroying the CBD!" Perhaps this is why they stick to vague general statements and don't list specifics?

by HouseMouse | 24th May 22, 8:27pm 1653380875

There’s still a number of specialty stores in the CBD that don’t exist to the same quality elsewhere eg. Unity Books, Marbecks.

There’s a very good art gallery, and if you like music then you can only see the NZSO in the CBD.

Many of Auckland’s best restaurants are still in the CBD, too.

by positivelywallstreet | 24th May 22, 8:35pm 1653381307

Been there..done that.. not the Sympathy Orchestra…can you list the best restaurants?

We prefer Newmarket.

by HouseMouse | 24th May 22, 8:39pm 1653381565

The NZSO is a very good orchestra, the art gallery is a very good art gallery. Neither perhaps world class but still very good.

by HouseMouse | 24th May 22, 7:53pm 1653378823

It’s a ridiculous comment from David.

perhaps he could clarify just how Auckland Council have destroyed Queen Street?

by RandomKiwi | 24th May 22, 8:40pm 1653381623

One reason is because the council has distorted the commerical leasing market by acting as property developers i.e. Britomart.

by agnostium | 24th May 22, 9:21pm 1653384088

You'll need to explain further, I'm not following the logic...

by RickStrauss | 25th May 22, 9:18am 1653427114

Britomart is private property, isn't it?

by WestieAJ | 24th May 22, 5:07pm 1653368871

The total value of stock held at 31 March 2022 was $9.3 billion, up 12 percent ($1 billion) compared with March 2021.The largest increase came from hardware, building, and garden supplies, up 26 percent ($304 million), followed by motor vehicle and parts retailing, up 16 percent ($276 million).

Those 2 sectors experienced the largest decline in sales as well. 121 m and 157 m respectively. The competing churches of Mitre10 and Bunnings not doing so well? Cheap home equity loans are no longer a good idea to fund new vehicle purchases?

by Pragmatist | 24th May 22, 7:17pm 1653376656

Or just people putting off jobs around the house? We want to insulate the exterior walls of this place, but with GIB availability being what it is, we're not going to do it this winter. Maybe next year.

by chebbo | 24th May 22, 5:21pm 1653369667

Anyone who has travelled internationally knows that some kind of commuter rail service from the airport to the CBD is a given. Why this isn't being prioritised I have no idea. At least it would get used.

by Baywatch | 24th May 22, 5:52pm 1653371577

Hired a car last week and was told its now $6.00 if you want a pickup by courtesy van at Auckland airport for 2 min trip to depot. Same for the way back, so I walked and asked who thought this was a good idea? Was told its Auckland Airport and they charge the company's $12.

Same as Uber - charge $4.00 but they cannot use the drop off lane outside terminal - you have to walk.

I wonder what other charges they will come up with?

by Nzdan | 24th May 22, 6:10pm 1653372656

I found it hilarious at CHCH Airport many years ago. If you caught the bus from inside the Airport grounds it was something like $5 for the bus ticket. But if you walked 300m to the bus stop on Orchard Road, you could catch the same bus for $1.50.

As you say, the Airports have a habit of putting up toll gates for Taxis and Buses.

by Hardly | 24th May 22, 6:29pm 1653373799

Sydney and Heathrow pull this trick as well.

by Brock Landers | 24th May 22, 6:19pm 1653373194

Wow. Wtf.

by RickStrauss | 25th May 22, 9:21am 1653427315

A lot of our economy seems to be about ticket-clipping these days.

by Foxglove. | 24th May 22, 7:32pm 1653377571

Sydney? Financial disaster. Heathrow ditto.But at least they had Olympic games to think about.

by streetwise | 24th May 22, 5:42pm 1653370964

It would be best if Queen St was wiped off the face of the earth. It's worse than a slum. At least a slum has some vitality. It's more like the aftermath of Chernobyl. It's claustrophobic. It's a narrow dingy canyon hemmed in with vast cliffs of ugly uninspiring skyscrapers. It's a complete disgrace as a portal to Auckland. The previous Councils, councilors, mayors and town-planners who authorised and designed this nightmare should be sought out, lined up and shot Stalin-style, especially those behind the Light Rail fiasco.

by Foxglove. | 24th May 22, 6:57pm 1653375459

Extraordinary really isn’t it. Paid by the people to bastardise the city the people live in.

by positivelywallstreet | 24th May 22, 7:04pm 1653375865

We visit Auckland , and usually stay in the CBD, currently Federal St.

Measured against the Newmarket mall, the CBD is a disorganised mess, on several levels and no escalators, to demonstrate the planners don’t care they removed the only escalator, the Victoria Street Bus Service.

Currently Britomart is deserted, we abandoned it, we would go to Newmarket, but it’s expensive for accomodation.

The planners vision may never happen..

by HouseMouse | 24th May 22, 8:08pm 1653379709

Oh god, here we go again.

I suggest taking the train to the lovely, redeveloped Britomart. Pop in to the excellent Commercial Bay for a bite / coffee.

Then start the walk up Queen Street. Suggestion - look up! There are many wonderful old buildings still extant. Lovely.

on the street itself, the Nikau Trees are thriving and looking great.

I don’t understand the hatred that Queen Street receives…

yes many shops have closed, but you will see that in many downtowns right now in the face of the pandemic.

yes, there are many homeless - my best friend in Sydney tells me it’s the same there.

by positivelywallstreet | 24th May 22, 8:14pm 1653380067

excuse me,

we have hop cards and ride the public transport

your in a fantasy world

and that is no disrespect for the staff, they are great.

by HouseMouse | 24th May 22, 8:20pm 1653380458

Do you mean ‘You’re’?

by positivelywallstreet | 24th May 22, 8:29pm 1653380972

If it helps your understanding..

by HouseMouse | 24th May 22, 8:30pm 1653381059

It merely shows your lack of intelligence.

so which urbane metropolis do you reside in, Hamilton?

by positivelywallstreet | 24th May 22, 8:38pm 1653381500

We see no real value in metropolis, been there..done that..

by RickStrauss | 25th May 22, 9:24am 1653427443

You're describing a place prioritised for businesses rather than people. Interesting.

by Hardly | 24th May 22, 6:00pm 1653372025

$29B is insane. Is there a source for that figure?

A fast rail system between Hamilton and Auckland CBD would be much better value and I’ve seen that quoted as cheap as $14B. It could also connect to the airport with a short connection.

I’m supportive of public transport initiatives and definitely something connecting the airport but this project seems to be and overpriced connection for a few suburbs.

by Nzdano | 24th May 22, 6:34pm 1653374094

$15K per household in the country.

Enough to buy every household a used Nissan leaf.

by Ahuhyeah | 24th May 22, 8:16pm 1653380192

Haha brilliant opportunity cost.

by hum | 24th May 22, 6:41pm 1653374465

29B is the new 29M. Saying that i am off to my business to increase my prices

by JimboJones | 24th May 22, 7:27pm 1653377233

No, people just randomly say it is going to cost double etc. last I heard it was around 10 billion in todays money.

by kiwikidsnz | 24th May 22, 9:31pm 1653384672

"...as cheap as $14B"

Seriously ?

by RickStrauss | 25th May 22, 9:26am 1653427589

If you liberalise zoning within 2 km of the rail you basically fit a whole bunch more local community and businesses within easy distance of fast public transport that avoids congestion. Worth doing rather than more constant sprawl at the fringes that will be increasingly expensive on ratepayers for long term maintenance.

by Beanie | 24th May 22, 6:12pm 1653372777

Just watching 1News when Katie Bradford informed us that Auckland is "the engine room of the NZ economy."

Time to find a different news source.

by Foxglove. | 24th May 22, 7:07pm 1653376032

Recall, way back on TV1, McPhail & Gadsby segment of Muldoon’s transport minister McLachlan playing with Dinky toys, trucks, graders etc. Déjà vu!

by Larry76 | 24th May 22, 7:49pm 1653378587

Are you going to say it’s the “heartland”? That place that’s been making the same low value primary produce since 1955? The place that only survives by adding more fertiliser and discharging more wastewater? The place that every year gets slightly older, greyer and damper?

If you want a decent customer base, access to talent and a value-added processing centre there is only Auckland. I say this as an ex-Wellingtonian.

by Beanie | 24th May 22, 9:42pm 1653385322

In my mind the engine room of an economy is where the the bulk of our export revenues come from. Those things that pay for all the imports that support our way of life. Dairy, meat, wood, fruit. So yes, in the past and for the foreseeable future, the heartland.

by vman | 24th May 22, 6:32pm 1653373920

https://www.newshub.co.nz/home/new-zealand/2017/09/government-to-build-…

People have short memories,it wasn't that long ago that the Nats were proposing what would have been the worlds most expensive road per km...and this is for an above ground motorway...your dreaming if you think they are more clever,the only difference will be if ACT has their say,you would be paying a toll on every new PPP road that is built...

by Pragmatist | 24th May 22, 7:27pm 1653377233

Ah, criticism from Greater Auckland. So its probably a good idea then.

by RickStrauss | 25th May 22, 9:28am 1653427691

So long as neither pragmatism nor a decent ROI is desired, the road is a great idea. The soaring cost of land acquisition is just another sign of our success at enriching ourselves by pumping the property market.

by Firstclass | 24th May 22, 6:55pm 1653375346

Light rail system should be renamed "slow tram service".

People on bicycles get faster to work, it is a laughably slow tram, not a train.

by JimboJones | 24th May 22, 7:30pm 1653377436

Where do people get this from? They are building a fully underground light rail system, it will be as quick as any other metro in the world. The only real difference between the light rail they are building and heavy rail is the capacity, even then not by much.

by IT GUY | 24th May 22, 7:44pm 1653378243

light rail will be too slow for airport travel, light rail will be a commuter link, and will kill shops along the way as built, look at the Albert street disaster....... we are heading for a property bubble burst its no time to build a new light rail while the CRL is still not finished.....

by Whatwillhappen | 24th May 22, 11:18pm 1653391126

And remember the cost will be paid for ultimately by a targeted tax/rate on homes in the area.

by RickStrauss | 25th May 22, 9:29am 1653427775

Er, if you look overseas you will find that local businesses do quite well along arterial rail transport routes, if you liberalise zoning to allow intensification near the rail.

by agnostium | 24th May 22, 7:24pm 1653377052

"Auckland Council seems to have destroyed Queen Street as a destination"

Ermm there was this thing called covid that required businesses to shut down, cruise ships and international tourists to stay away and local workers to work from home. Perhaps that had something to do with the plight of Queen St?

by positivelywallstreet | 24th May 22, 7:27pm 1653377262

Yup, they sure did, Sky Tower is a destination….for the pokie players..

We go for the music at the weekend..there is only a handful there..

by Pragmatist | 24th May 22, 7:27pm 1653377266

And before Covid?

by positivelywallstreet | 24th May 22, 7:37pm 1653377826

We have been staying in the CBD from 2017, it was naffed then, propped up by international students.

by agnostium | 24th May 22, 7:40pm 1653378058

Just out of curiosity, where did you go that was really good? City centre obviously not your cup of tea so just getting a feel for what your cup of tea is?

by positivelywallstreet | 24th May 22, 8:03pm 1653379403

Paris, Sydney, London, Rome, but small cities Carcassonne, Toledo, Verona, Granada.

We head to the city centres, Auckland is a slum like say..Naples.

by HouseMouse | 24th May 22, 8:20pm 1653380411

A slum like Naples…. Wow.

ps I have been to Naples - ridiculous comparison.

by positivelywallstreet | 24th May 22, 8:23pm 1653380612

me too…

by HouseMouse | 24th May 22, 8:29pm 1653380972

Yeah, and It’s a ridiculous comparison.

by agnostium | 24th May 22, 8:39pm 1653381589

Lovely, I mean in New Zealand.

By the way, if you think Naples is a slum I assume you have never been.

by HouseMouse | 24th May 22, 8:42pm 1653381723

It’s got plenty of lovely parts but many of the central areas are pretty seedy - much worse than central Auckland, with which the silly comparison was made.

by Noncents | 24th May 22, 8:43pm 1653381839

A bit harsh. The homeless people in Naples were much nicer and the public trasnport is a lot better.

Only thing AKL has better is the Rubbish collection.

by positivelywallstreet | 24th May 22, 8:52pm 1653382361

We were on a Mediterranean cruise one day and stopped at Naples, the people in the square looked nice, the area looked like karangahape road, but better built.

by HouseMouse | 24th May 22, 8:58pm 1653382700

Wow. A very quick stop in Naples from a cruise ship informs your comparison with Auckland...

I stayed there for 3 nights some 6 years ago, in the central area. It's much rougher and seedier than Auckland.

by positivelywallstreet | 24th May 22, 9:07pm 1653383266

I doubt it..we used stay adjacent the railway station and be kept awake by the screaming at 3am.

I always contrasted it with Rome where the student quarter was so orderly.

by agnostium | 24th May 22, 8:44pm 1653381845

Cool, do you know what else all those lovely cities have in common?

They are building shit loads of cycleways, reducing the amount of cars in the city centre, getting rid of publicly owned parking, investing in massive public transport projects and huge city centre transformational public realm projects. All the things Auckland Council is trying to do but keeps getting held back by people who want Auckland to be more like Tokoroa.

by HouseMouse | 24th May 22, 8:50pm 1653382241

hahaha nice one!

Reducing car dominance in Queen Street will kill business, don't ya know??!!??

The lack of worldliness in this country is really frustrating, ey?

by agnostium | 24th May 22, 9:27pm 1653384477

It's absolutely mental.

Kiwi visits international City, comes back raving about how great it is and how shit new Zealand cities are by comparison.

New Zealand city officials says we're going to improve your city to be more like those cities you all love.

Kiwi says: no way mooaaarrrr roads, moooooarr parking

by HouseMouse | 24th May 22, 9:41pm 1653385307

Haha, yeahhhhh

Yeah, you know, calm the traffic in the CBD (which was horribly congested and generated horrid levels of air pollution), don't ban cars but calm them, widen footpaths. Build quality underground rail with quality, well designed new train stations, acting as a catalyst for urban redevelopment in and around said new train stations....

Sounds terrible, ey?????

by IT GUY | 24th May 22, 7:46pm 1653378393

Hobson street has been a shitehole of international buy a degree/visa students for way too long.

by HouseMouse | 24th May 22, 9:10pm 1653383458

Hobson Street is also a peripheral street in terms of the CBD, a through road to the motorways, that means little to the CBD experience.

by agnostium | 24th May 22, 7:45pm 1653378309

Before Covid was absolutely buzzing with some of the highest retail rents and footfall counts in the country.

by agnostium | 24th May 22, 7:38pm 1653377934

I'm talking data not personal preference. I get some people prefer Sylvia Park and Pukekohe and that's fine. But based on the numbers it was buzzing.

by JimboJones | 24th May 22, 7:41pm 1653378100

Not sure why everyone hates on Auckland City too, it’s a pretty cool place and will be amazing once all the work is finished.

by IT GUY | 24th May 22, 7:48pm 1653378488

once all the hospo has closed due to lack of support /

by HouseMouse | 24th May 22, 8:18pm 1653380317

Agree, I don’t get it. Sure it’s not Manhattan, but…

obviously the pandemic and CRL have been major disturbances, but temporary ones…

by Foxglove. | 24th May 22, 8:51pm 1653382319

And the proprietors, staff and people with livelihoods collapsed by the major temporary disturbances? Collateral damage. Chaff to the wind. There it is then. As Mr Wilson in the Herald complains. 38 vacant retail locations. Wonder exactly why that is. Where did all those old soldiers go then.

by HouseMouse | 24th May 22, 8:56pm 1653382592

I have a huge amount of sympathy for those businesses disrupted / destroyed by the CRL disturbance. That doesn't mean the project shouldn't have happened, though. Otherwise, numerous major public works projects in NZ and internationally would never have happened. Projects that have transformed cities and societies.

The issue with the CRL was that it should have been managed better and fairer compensation should have been provided.

And again, why the finger pointing at council from rightists such as David? Because the evil, leftist council is an easy target for rightists. However, If I remember correctly, the Nats drove forward the CRL project.

by positivelywallstreet | 24th May 22, 8:57pm 1653382628

The disruption ruins the CBD, like Victoria Street…it had better be good.

by agnostium | 24th May 22, 9:35pm 1653384928

The city centre has to change or it will be left behind. We are in competition with other cities around the world to attract talent.

I agree that the disruption is painful, much like surgery and rehab to fix a broken limb, but you have to fix it none-the-less.

Personally I like the approach council took on High Street, transformed the street overnight in 48 hrs with tactical changes. Achieved many of the same outcomes as a full street upgrade but with none of the construction disruption (more space for people walking, less car parking=less vehicles, more loading zones and and mobility parks). Europe and US are doing a whole lot more of this very effectively by closing off streets and converting car parks to cycle lanes, bus lane and outdoor dining. The common denominator is getting rid of as many cars as possible (only keep the essential).

by positivelywallstreet | 25th May 22, 7:30am 1653420640

We do like high street and it’s triangle, I think on reflection more effort should go into east west integration from federal to high street, including bridging over Queen.