PLANS FOR HOUSING

Evening Post, Volume CXXXVII, Issue 11, 14 January 1944, Page 4

PLANS FOR HOUSING

Although it is not considered likely that the Government will launch a large building programme in the near future, steps are being taken, through the Building Controller, to ascertain the potential production of certain lines of builders' and plumbers' hardware by local manufacturers. Any building programme must be guided by three main considerations —finance, labour, and materials—and it is desirable that plans should be made ahead as far as possible so that there will be the minimum of delay in

putting the programme into operation when conditions permit. There has been some discussion recently of the financial aspect, and warnings have been issued about the dangers of relying too heavily on the issue of new credit through the Reserve Bank. There is ample evidence that there is already in the hands of the public more than sufficient spending power, and it becomes a question of deciding on the best means of directing this to productive purposes, of which housing is one of the most important. The other considerations —the supply of labour and materials —are closely interlocked. Before any. major building

programme can be undertaken ample supplies of both must be assured. At the same time care must be exercised to ensure that concentration on one form of activity, such as the building of houses and the manufacture of the necessary materials, does not have a retarding effect on other branches of industry. For instance, the diversion of man-power to the manufacture of building material, without sufficient safeguards, may very well reduce the amount of man-power available for maintaining and extending the country's basic industries.

Whatever developments may take place in New Zealand in the post-war period—and there is undoubtedly room for a considerable expansion of secondary industries, provided it is on sound economic lines —the country must continue to depend to a very large extent on farm production. That being so, it is necessary to tread warily in building up industries which might hamper production for export. Undoubtedly there is scope for the production within this country of materials which will be needed to enable a large-scale building programme to be undertaken, but there must be two overriding considerations —the ability, to obtain raw materials, especially metals, and the ability to produce the finished article at an economic cost. It would be highly uneconomic, for instance, to produce materials here which could be imported in exchange for our primary products at a lower figure than the cost of manufacture in this country. Not only would this divert labour from economic to uneconomic undertakings and, in the ultimate, increase the price of houses to the consumer, but it would seriously limit the market for our natural products. It is desirable that plans should be made now to prepare for the great expansion of building that must follow the war, but it is also desirable that, in looking ahead, consideration should be given to all those factors that are likely to have an effect on the future economy of the country.