ALARMINGLY LOW

Evening Post, Volume CXXIV, Issue 89, 12 October 1937, Page 5

ALARMINGLY LOW

BUILDING PERMITS

POSITION IN LOWER HUTT

RATES ON STATE HOUSES

When dealing with the building figures for the borough for the month of September, which showed that only 21 permits had been issued-for buildings to the value of £5224, compared with 26 to the value of £ 13,505 for September. 1936, the Mayor of Lower Hutt (Mr. J. W. Andrews), said at last night's meeting of the Lower Hutt Borough Council that the figures for the past twelve months were alarmingly low, for, with the exception of the Government houses, only 95 permits had been issued for the whole 12 months. In the previous year 39J had been issued and in the three preceding years 293, 410, and 247, with much larger numbers for the pre-de-pression years. For the six years 1925-31, the average had been 316, against -95 for the current year, or 18 per month less. This meant a loss to the council's revenue in building permit fees of not less than £180 per month.

RATE REVENUE

The council should consider making representations to the Government to devise means of increasing private building, said Mr. Andrews. At present there was an over-plus of Government houses which was not balanced by private building. It was true the Government had promised to pay rates on Government houses when they were occupied, but the council was so far getting nothing and it might be that future Governments would not carry out the agreement to pay rates, as .there was no legal compulsion to do so. That would mean a serious loss in rate revenue.

Councillor W. A. F. Hall considered that the position showed the need for more Government houses. Private enterprise had had its chance but failed to cope with the difficulty.

The Mayor said that Councillor Hall had failed to. grasp the fact that when the number of houses being erected for the Government was. added to the 95 for which permits had been issued, the total was not half that for which permits had been .issued the previous year. The position in regard to rates was anything but satisfactory. When the present Government was in opposition he had .protested most vehemently against the injustice of other ratepayers having to make up the loss in rate revenue on Government properties, but so far no legislation had been enacted making the payment of rates compulsory on the Government.

The position in regard to private bupilding needed investigation, continued Mr. Andrews. Either the confidence of investors had been destroyed or the rapidly-rising costs of building 'were preveriting the building of houses.