Dawn chorus: Climate notes on LIMs
Nelson to put sea-level change risk notes on the LIMs of 4,000 properties; Greens call on PM to drop her self-imposed wealth tax ban; New vaccine 95% effective; Bitcoin bolts to record highs
TLDR: Morena. Nelson City Council says it will put notes on the LIMS of 4,000 coastal properties vulnerable to sea level change. The last time a coastal council did this (Kapiti Coast) there was a revolt by owners that ended up being overturned in the High Court. Christchurch Council also backed down in 2016 after a revolt.
The Government needs to move fast with its Migrated Retreat and Climate Change Adaptation Act, which is one of the replacements for the RMA, to deal with this issue and give the Councils some cover. It would also prevent a big moral hazard problem. Meanwhile, the banks and insurers need to start playing their part to make these properties unsaleable.
Elsewhere, Marama Davidson has called on the PM to change her ‘no-wealth-tax-in-my-political-lifetime’ stance in the face of the latest housing boom. In my view, a broad based and low rate land tax of (say) 0.25% on the unimproved value of land worth more than $50,000/ha would do the trick. It would reset expectations by lowering land prices overnight by around 10-20% and unleash land banked for future housing. It could be called a housing and climate infrastructure levy and hypothecated to infrastructure spending and/or debt to avoid the ‘no new taxes’ claim. However, Jacinda Ardern ruled this out before the last election…
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Coming up…
Fri: Nov 20 - Tauranga City Council will decide whether to ask for a Crown manager or observer after a damning report this week on its culture.
Sat Nov 21 - National Party AGM due to vote on re-election of President Peter Goodfellow. He has confirmed he will run again.
Mon Nov 23 - Stats NZ releases Retail trade survey for Sept quarter
Weds Nov 25 - 2pm - Reserve Bank to publish six monthly Financial Stability Report (FSR) . Expected to warn of re-imposition of high LVR lending limits from May 1, 2021.
Weds Nov 25 - Opening of Parliament for 53rd term, including swearing in of new MPs
Thurs Nov 26 - Speech from the throne in Parliament outlining Government’s agenda
Dec 1 - Landlords must include a Healthy Homes statement with any renewed tenancy agreement after this date. Landlords have until July 2024 to comply with new rules on heating, insulation and dampness.
Weds Dec 9 - Parliament rises for the year.
Mon Dec 21 - Tesla joins the S&P 500
Ngā Mihi
Bernard
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