By Gareth Vaughan
Highlighting a faster growing, younger and more ethnically diverse population in Auckland than the rest of New Zealand, Roy Morgan Research's annual State of the Nation report outlines increasing differences between Auckland and the rest of New Zealand.
And perhaps not surprisingly, the report also shows Auckland with the lowest rate of home ownership, highest percentage of renters and most crowded houses.
Michele Levine, Roy Morgan's CEO, told interest.co.nz in a Double Shot interview, that there might be a growing disconnect between Auckland and the rest, or alternatively there may just be some differences that people learn to live with.
"The Government could decide they want a fairly consistent New Zealand and put social policies in place to make sure that all the people spread out equally," Levine said. "But government's don't tend to do that these days. I think we sort of live in a world where the people make their own decisions."
"And I think what we'll see is that people will live in Auckland. They'll do the things that they want to do and then they'll gradually, as the opportunity arises, or as their lives change, they'll decide where in New Zealand they'll actually want to live."
The report shows New Zealand's population up by 552,600, or 14.2%, between June 2001 and June 2012. Over this period Auckland recorded 23.7% growth, just under twice the growth of New Zealand's total population and more than double the growth in Wellington and "the rest of New Zealand", the two other geographic areas the Roy Morgan report focuses on. Wellington and the rest of New Zealand recorded growth of 11.7% and 10.2%, respectively.
And, over the 10 year period, Auckland’s population grew to 31.5% of the New Zealand total, an increase of 2.4%.
"Auckland's growing at something like double the rate of places like Wellington. And apart from the growth, we're also seeing it's a younger population. There's an influx of younger people and also there's more ethnic diversity, and more people that were actually not born in New Zealand," Levine said.
"So Auckland's not just growing because everyone else in New Zealand is moving to Auckland, it's attracting people from other countries."
Just two-thirds of Aucklanders were born in NZ
The report certainly highlights Auckland's greater ethnic diversity noting only two-thirds - 66.4% - of Aucklanders were born in New Zealand and 12% were born in Asia. Some 78.9% of Wellington's, and 85.8% of the rest of New Zealand's populations were born in New Zealand. People born in Britain make up the largest group of immigrants in Wellington and the rest of the country.
Auckland's ethnic European, or Pakeha, population comprises 61.2% of the total population versus 73.7% in Wellington and 77% in the rest of New Zealand.
"Diversity can be fantastic and different ethnic make-ups, and people from different countries, is what has driven many countries in the past," Levine said. "New people coming in, new blood, enthusiasm, excitement, ready to do whatever it takes to make a success of things. That has always been really good but the growing pains along the way can be quite tricky."
In terms of age, Auckland has a younger population than the rest of the country. The 18-24 age group comprises 14.1% of Auckland's population compared with 12.7% across all of New Zealand. In the 25-34 bracket it's 18.3% to 16%, in the 35-49 age range it's 26.5% versus 25.5%. And in the 65 and over category Auckland's at 13.1% versus 16.2% across the nation.
Home ownership up
Meanwhile, some 72.3% of New Zealanders own their own home or are paying one off. This is up from 70.7% in 2005, and is higher than 64.9% in Australia. And 35.7% of New Zealanders aged 18 and over own their home outright or live in the family owned home, which is up from 32.6% in 2005.
At 32.3%, Auckland has a lower rate of home ownership than 35.2% in Wellington and 37.7% in the rest of New Zealand. Auckland's also home to the highest percentage of renters at 32.3%, versus 29.6% in Wellington and 24.7% in the rest of the country. The city of sails also has the most crowded houses, with five or more people living in 23.9% of households, compared with 18.8% in Wellington and 16.2% in the rest of the country.
"I think it's a combination of people having to live together to cover costs - both student generation, new people moving into the country and probably more larger families," said Levine. "The ethnic make up is probably driving quite a lot of this but not all."
"(So) they're nuanced differences but they're significant," Levine added.
Average wealth of Aucklanders higher, but they also have more debt
The average wealth per person is also highest in Auckland at NZ$397,000 versus NZ$363,000 in Wellington and NZ$358,000 in the rest of New Zealand. The average debt per person is highest in Auckland at NZ$54,000, compared with NZ$50,000 in Wellington and NZ$46,000 in the rest of New Zealand. This gives an average net wealth in Auckland of NZ$343,000 per person, NZ$313,000 in Wellington and NZ$312,000 elsewhere.
Perhaps surprisingly, at 29.8%, Auckland has a lower percentage of the population with a home loan than elsewhere. That compares with 31.5% in Wellington and 33.1% in the rest of New Zealand.
"This is a real set of competing things in that whole area," said Levine. "And I think the thing really is that wealth in New Zealand, household wealth in New Zealand, is very much driven by housing, very much driven by housing prices."
"And it's not that different across the areas. There are little nuances but it's not hugely different. If you take Auckland the housing prices are higher but fewer people have them so the two things cancel each other out. And obviously those people who are in the market and have actually bought houses have had to take out larger mortgages."
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