Auckland, 16 March 2021 – In 2018, Ipsos New Zealand started tracking the key issues facing New Zealand. In February 2021, three in five (60%) New Zealanders rated housing as a top issue; more than twice as many than any other issue. Although housing has consistently been a top concern, this latest survey saw it reach its highest level since surveying began.

The Ipsos New Zealand Issues Monitor asked 1,000 New Zealanders to select, from a list of 20, the three most important issues facing the country and the ability of the country’s political parties to best manage these issues. The New Zealand Issues Monitor has been running since February 2018.

The top three issues facing New Zealanders in February 2021 are housing / price of housing, followed by poverty / inequality and inflation / cost of living.

Other highlights from the key findings include:

• When it comes to housing, Aucklanders are more concerned (67%) when compared to the rest of New Zealand (57%).
• The ratings of Government performance increased at the height of the COVID-19 pandemic and despite a drop in February 2021, remain higher than pre-pandemic levels.
• The Labour Party continues to be perceived as the most capable of handling the majority of the issues facing New Zealanders, with the exception of environmental concerns and issues facing Māori where the Green Party and Māori Party are preferred respectively.
• Whilst housing is the top issue in New Zealand, just 22% of Australians consider it a top issue, where the economy tops the list (37%)

Key Issues Facing New Zealanders:

In November 2020, concerns about housing / price of housing reached the highest level since tracking began (53%). February 2021 saw a further increase in concerns, with three in five (60%) now considering housing & the price of housing a top issue facing New Zealand. At a regional level, 67% of Aucklanders consider this a top issue, compared to 57% of people living outside of Auckland.

Two in five (42%) New Zealanders consider the Labour to be the party most capable of managing this issue.

Poverty / inequality is considered a top issue by more than a quarter (28%) of New Zealanders and has been a top-5 issue since tracking began in 2018. More than half (52%) of New Zealanders believe that the Labour Party are the most capable of managing this issue.

A quarter (24%) of New Zealanders consider inflation / cost of living a top issue, with concerns being higher for those aged under 50 years (28% vs. 18% of those 50+ years). Women (29%) are also more likely to be concerned about this issue than men (19%). Just one year ago, in March 2020, both the Labour and National Parties were seen as capable of managing this issue by a similar proportion of respondents. However, since then, the gap has widened considerably, and now the Labour Party (45%) is seen as capable at handling this issue by twice as many than the National Party (22%).

During the COVID-19 pandemic, the economy became the biggest concern for New Zealanders. Concern reached its peak in May 2020 (47%) and since then has gradually decreased, now at 23%. Men (26%) are more likely to be concerned about the economy than women (20%). The Labour Party continues to be seen as the party best fit to manage this issue, with nearly half (48%) of New Zealanders backing them.

Healthcare / hospitals has consistently had a spot in the top-5 issues faced by New Zealanders. Just under a quarter (23%) of New Zealanders selected it as one of their top issues. Women are more likely to be concerned about healthcare / hospitals (27% vs. 20% males), as are those aged 50+ (30% vs. 19% of those under 50 years). New Zealanders continue to perceive the Labour Party as most capable to handle this issue (55%).

Additionally, New Zealanders aged 50+ have higher concerns for crime / law (19%) compared to those aged under 50 years (14%). In terms of unemployment, this concern is more prevalent for those aged under 50 (17% vs. 9% of those aged 50+).

Government Performance

Since the last wave in November 2020, the Labour government’s performance rating has decreased significantly from 7.3 out of 10 to 6.8 out of 10. Despite this drop, this latest rating is still higher than pre-pandemic ratings. When it comes to key demographics, women and those aged under 35 years are more likely to rate the government highly.

New Zealand vs. Australia

Much in the same way that concerns about the economy skyrocketed in New Zealand during the height of the pandemic then gradually decreased, the same has happened in Australia, where concerns about the economy reached its peak in September 2020 (56%) and now sits at 37%. The economy, however, remains the top issue in Australia, whereas in New Zealand it has moved down to fourth equal with healthcare.

When looking at similarities between the top-5 issues of New Zealand and Australia, the economy (NZ 23% vs AU 37%), cost of living (NZ 24% vs AU 27%), and healthcare (NZ 23% vs AU 35%) are all common issues.

Notable differences with other top issues for the two countries include:

• Housing is a top concern for 60% of New Zealand (#1 issue) whereas it is a concern for just 22% of Australia (#6 issue)
• Poverty / inequality is a top concern for 28% and is the #2 issue in New Zealand. In Australia it is a concern for 17% and is the #8 issue.
• Unemploymentis about twice as concerning in Australia (29%, #3 issue) versus New Zealand (14%, #8 issue). This issue increased significantly in both countries during the pandemic; however, concerns have declined at a much slower rate in Australia than it has in New Zealand.

Commenting on the Issues Monitor, Carin Hercock, Managing Director, Ipsos New Zealand, said: “The fact that issues around housing and housing affordability, are now higher than New Zealanders fears around our economy in May last year, when the country was facing down the unknown impacts of a global pandemic, is of significant concern. While issues around housing soar, it is positive to see the number of New Zealanders concerned about unemployment declining and this contrasts with the issues concerning Australians where unemployment is the third highest issue."

Amanda Dudding, Research Director, Public Affairs, Ipsos New Zealand, added: “We can all see that housing is a top issue in the media and this survey confirms that it worries many New Zealanders as well. While it decreased in importance during and straight after our New Zealand lock down, it’s back and bigger than ever. The comments from New Zealanders around how to solve the issue vary widely from increasing supply to capping rent, managing the interest rates and introducing a capital gains tax.”

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