Labour Party Pledges $3.5 Billion for Infrastructure and Jobs

The New Zealand Labour Party launched its Start work now policy on September 24, 2026, pledging approximately $3.5 billion to revive the construction sector and address an unemployment rate at an 11-year high. The plan focuses on large-scale public infrastructure projects intended to begin within one year if the party is elected.

The initiative allocates $2.9 billion in capital for Kāinga Ora and community housing providers to construct 6,000 new social housing places over four years. Additionally, the party pledged $450 million to renovate buildings and grounds at more than 2,000 state or state-integrated schools, and $200 million for small-scale remediation projects at hospitals through Health New Zealand.

Labour leader Chris Hipkins stated the policy aims to provide certainty for local businesses and contractors following significant job losses in the construction sector since 2023. The party intends to fund these projects through future operating and capital allowances. The infrastructure push is designed to complement previously announced Māori-led trades training and apprenticeship boosts to ensure a skilled workforce is available for the projects.