📋 Tender Overview
The volume of building activity in New Zealand rose 2.0 percent in the June 2021 quarter compared with the March 2021 quarter Stats NZ said today. The June quarter showed high levels of building activity volume and follows a 4.1 percent increase in the March quarter construction statistics manager Michael Heslop said.Residential building activity drove the increase rising 4.2 percent in the June 2021 quarter while non-residential building activity fell 1.5 percent.These are seasonally adjusted volume estimates which show quarter-on-quarter changes in building activity after removing the effects of construction cost changes and typical seasonal patterns. Volumes are calculated at September 1999 quarter prices. Between the March 2021 and June 2021 quarters residential building costs rose by 4.3 percent and non-residential building costs by 3.1 percent.The estimated volume of building work decreased in the March and June 2020 quarters due to COVID-19 alert level changes. Total building activity then bounced back in the September 2020 quarter and residential work remains at historically high levels.Annual residential construction value up 21 percentThe estimated value of residential building activity in the June 2021 year was over 18 billion up 21 percent from the June 2020 year.For non-residential buildings in the June 2021 year the value was 8.9 billion increasing by 3.6 percent from the June 2020 year. Value estimates are at current prices so are impacted by changes in residential construction costs which have increased by 6.9 percent between the June 2020 and June 2021 quarters. The value estimates include both new builds and renovations.Residential construction in the last 12 months has been strong following historically high levels of new homes consented in recent quarters. The June 2021 year has also seen fewer direct impacts from COVID-19 with no alert-level 4 lockdowns like we saw in the June 2020 year Mr Heslop said. Education construction up commercial downThe value of building work put in place for education buildings increased by over 18 percent in the year ended June 2021 compared with the year ended June 2020. The value of building work put in place for commercial buildings decreased by more than 12 percent over the same period and was the only building type to see a decrease in the June 2021 year. Commercial buildings include shops restaurants offices and public transport buildings.COVID-19 and building activity in the June 2021 quarterEstimates for the June 2020 quarter onwards remain provisional due to COVID-19-related measurement challenges. See Methodology for Value of building work put in place June 2021 quarter.The alert-level 4 lockdown starting in August has not had an impact on the June 2021 quarter results. Impacts are expected in the September 2021 quarter. Any methodological changes in the September 2021 quarter will be outlined before the September 2021 quarter release scheduled for 6 December 2021.
