South Island threatened with recession

The entire economy of the South Island shrank in the last quarter, putting it at risk of going into recession, says Labour’s Economic Development spokesperson David Clark.

“ANZ’s Regional Trends publication shows the South Island’s economy shrank by 0.8 per cent last quarter.

“Unemployment on the mainland has risen by a quarter in the past year.

“This is despite billions of dollars being injected into the Canterbury economy through the rebuild. Who knows what state the economy would be in without that stimulus.

“There is so much opportunity and potential in the South Island that isn’t being realised. It is a disgrace its economy is shrinking.

“The South Island lacks a constructive partner in Government to back it and create the opportunities it needs. This is the case for many regions in the country. It’s time for National to step up,” says David Clark.