The Housing Accord signed by local and central government addresses only part of the housing problem, Labour candidate Rachel Jones says.
"While it's good to see that the government is finally addressing the issue of supply of affordable housing, it has still done nothing about the demand side of theequation," she said in a statement today.
"We can build all the houses we like in Tauranga, but if people can't afford to buy them then we have not fixed the problem.
"That's why Labour's polices address issues of both supply and demand. We will build 100,000 affordable homes over ten years around New Zealand, including some in Tauranga.
"But we will also address the problems of demand. The rate of home ownership is steadily falling in New Zealand.
"At the moment, the lack of a capital gains tax makes investment in housing an attractive option. When wealthy investors buy the houses, ordinary kiwis struggle to enter the market.
"Low wages and high house prices also make home ownership an impossible dream for many.
"That's why Labour has a suite of policies that not only address housing issues - like introducing a capital gains tax on investment properties and preventing sales to non-residents - but also address economic development, job creation, and lifting wages.
