Hastings district resilient amid economic challenges

Photo: Above Hawke's Bay

Hastings district has shown consistent economic resilience in the face of ongoing national challenges, as detailed in the latest Quarterly Economic Monitor by Infometrics.

The report highlights strong local economic indicators that surpass national trends in several key areas. 

Economic growth and employment remain robust 

Hastings’ economy grew by 0.9 per cent in the year to September 2024, outperforming both the Hawke’s Bay region (0.6 per cent) and the national average of 0 per cent.

Employment also showed encouraging growth, with a 1.5 per cent increase, driven by gains in health care and construction sectors. The district’s unemployment rate of 3.5 per cent remains below the national figure of 4.4 per cent. 

Consumer spending and tourism boost local confidence 

Consumer spending in Hastings increased by 2.8 per cent, significantly higher than the national growth rate of 0.5 per cent. Consumer spending growth has been partially supported by population growth, according to the report.

The Hastings population rose 1.3 per cent over the year to June 2024, according to StatsNZ’s subnational population estimates, the highest growth since the year to June 2020. 

There was also a 5.3 per cent rise in tourism expenditure (compared to 0.9 per cent nationally), testament to the district’s appeal to both domestic and international visitors, with total tourism spending reaching $298 million. 

Housing market activity accelerates 

The local housing market is experiencing a resurgence, with house sales increasing by 18.3 per cent over the year. Residential rents rose by 7.8 per cent, outpacing national growth, although house values declined slightly by 0.3 per cent.

Hastings remains more affordable compared to many parts of New Zealand, with a housing affordability ratio of 5.8 compared to the national average of 6.7. 

Focus on sustainability and transport 

Traffic flows in Hastings held steady over the year, defying national declines. In the sustainability space, greenhouse gas emissions rose by one per cent over the year to June 2024. 

A thriving business landscape 

A 2.4 per cent increase in the number of businesses has outpaced national growth of 1.3 per cent. This growth has been consistent over the past year with the average number of businesses rising to 10,904 in the year to September 2024, up from 10,649 over the previous 12 months.  

Hastings mayor Sandra Hazlehurst said Hastings’ ongoing success was the result of determined efforts by a huge range of businesses, organisations and individuals.

“Hastings continues to demonstrate its strength and adaptability. These figures highlight our community’s dedication to progress and the ongoing collaboration between residents, businesses, and the council.” 

27 November 2024

Back to News