INDEPENDENT NEWS

Northland Takes Top Spot on ASB Regional Economic Scorecard

Published: Thu 7 Jun 2018 11:15 AM
Northland Takes Top Spot on the ASB Regional Economic Scorecard
• Holiday makers a-plenty in the Bay pushes the Bay of Plenty up nine spots to third place
• Five-plus-a-day proves fruitful for all three top regions securing their medal places
• While drought drags down central North Island regions Taranaki and Manawatu-Whanganui
A summer to remember for Northland as it climbs 6 spots to be the best performing region
Northland owned the summer of 2018, outperforming the rest of the country in the latest ASB Regional Economic Scorecard, and nudging Tasman from top spot last quarter.
The key to the Northland region’s success climbing to 1st place from 7th, has been solid 5 star ratings across all the measures, from employment, construction, retail trade, to house prices and new car sales, says ASB chief economist Nick Tuffley.
“Northland added a healthy 4.6% more jobs over the year and not surprisingly this growth then spilled over into the retail sector, where annual growth sales grew at over 5%. No doubt, the good summer weather contributed to consumers in the area slip, slop, slapping, and spending this summer and in doing so secured Northland top regional honours.”
Holiday makers move the Bay of Plenty up 9 spots to third place
The sun’s rays also shone brightly on the Bay of Plenty, with holiday makers moving in and bringing their cash with them.
“Accommodation was bursting at the seams and visitors to the Bay packed their wallets and spent locally. As a result, the region benefited substantially, pushing its economic performance from a ranking of 12 in the previous quarter to third place over the summer months,” Tuffley says.
However, one drag on the Bay of Plenty region over the quarter was employment – with the Kiwifruit sector failing to fill vacancies during the peak picking season.
“That said, the kiwifruit export season is set to shatter previous records in terms of returns, and on that basis, with regional incomes strong, the Bay may be set for a prolonged spell towards the top of the Scoreboard,” Tuffley says.
Housing and horticulture strong influences for top three
It was housing that kept Tasman in the top three. Although it slipped from 1st to 2nd, Nick Tuffley says house prices remain strong and so too does the labour market.
“The construction pipeline is also full, and we expect from here the outlook will continue to be favourable for Tasman. Plus, a strong horticulture sector is having a positive impact on Tasman, as it is on the local economies of the other top regions - Bay of Plenty and Northland,” Tuffley says.
Weather woes wreaked havoc for others
Having a negative effect on some regions was the weather. The central North Island regions of Manawatu-Whanganui and Taranaki were dragged to the bottom of the ASB Regional Economic Scorecard by drought, rounding out the Scoreboard at 15 and 16 respectively.
“The Taranaki region was one of the worst-hit by drought over summer and with this in mind, it’s not that surprising consumer confidence was the weakest in the country over the quarter.”
Unfortunately, Tuffley says, from here it may get worse before it gets better for the Naki. “The Government’s decision in April to cease issuing permits for offshore oil exploration will begin to filter through into the Scoreboard’s indicators from next quarter.”
For the Manawatu-Whanganui region, drought too dented agricultural production.
“The weak labour market remains the region’s Achilles heel, as the number of jobs continued to fall over the year. But the region is expected to recover and climb back up the Scoreboard on the back of otherwise healthy agricultural incomes. Also, it’s worth remembering the Government’s ‘free first year’ of tertiary study policy, which would potentially see Palmy swell with students all keen to spend locally,” Tuffley says.
ENDS
ASB Bank
Helping you get one step ahead.
In 1847, ASB opened as the Auckland Savings Bank with the pledge: 'to serve the community; to grow and to help Kiwis grow'. And that is very much what ASB is about today.
ASB is a leading provider of integrated financial services in New Zealand including retail, business and rural banking, funds management and insurance.
ASB strives to consistently provide its customers with outstanding service and innovative financial solutions. They're dedicated to providing simple financial products that allow their customers to bank with them how and when they want.
We all have our own ways to measure progress, and our own stories about the things that matter to us. Whatever way you choose to measure progress, and whatever your goals, ASB is there to help you get one step ahead.
Contact ASB Bank
Website:

Next in Business, Science, and Tech

Scientists Say Methane Emitted By Humans ‘vastly Underestimated’
By: NIWA
Record Dry Spells And Effects On Forests – Expert Reaction
By: Science Media Centre
Official Cash Rate Remains At 1.0 Percent
By: The Reserve Bank of New Zealand
Novel coronavirus detected in China –Expert Reaction
By: Science Media Centre
Flooding could release toxic gas – Expert Reaction
By: Science Media Centre
I tried to believe capitalism and the planet can coexist
By: The Conversation
Damning New Report Says Every Nation Undermining Children
By: Common Dreams - Andrea Germanos
‘And Then - Nothing. Silence’: The Deadly Facade Of ‘Democracy’
By: MediaLens
Concentration Of CO2 Hits 416 Ppm - highest EVER daily average, but it still wont be breaking news
By: Common Dreams - Jessica Corbett
23 Former Diplomats Urge Global Leaders To Adopt Paris-Style Agreement To Protect Biodiversity
By: Common Dreams - Jessica Corbett
Greenpeace Campaigner Of 22 Years Announces Bid To Stand For Parliament
By: Steve Abel
Kiwi youth feeling the heat
By: Business NZ
How NZ would fare during a world catastrophe
By: RNZ
Antarctic continent posts record temperature
By: United Nations
Climate action ‘both a priority and a driver of the decade
By: United Nations
View as: DESKTOP | MOBILEWe're in BETA! Send Feedback © Scoop Media