People are leaving New Zealand in record numbers as unemployment rises, interest rates remain high and economic growth is anaemic, government statistics show.
Data released by Statistics New Zealand on Tuesday showed that 1,31,200 people departed New Zealand in the year ended June 2024, provisionally the highest on record for an annual period. Around a third of these were headed to Australia.
While net migration, the number of those arriving minus those leaving, remains at high levels, economists also expect this to wane as the number of foreign nationals wanting to move to New Zealand falls due to the softer economy.
The data showed of those departing 80,174 were citizens, which was almost double the numbers seen leaving prior to the COVID-19 pandemic.
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Merrily Allen is currently planning her move with her partner and 14-year-old daughter in early 2025 to Hobart on the Australian island state of Tasmania
“There is a lot of opportunity over there. They’re always, always looking for people in my profession,” said Allen, who works in dental administration.
“I’ve got a lot of friends that have gone (to Australia)… purely because of better work opportunities, better living. Australia just seems to have it together.”
Love affair wanes
During the pandemic, encouraged by the then government’s handling of the outbreak, New Zealanders living overseas returned home in historically high numbers.
But the love affair with the country of 5.3 million, is over for some. Economists say New Zealanders frustrated by the cost of living, high interest rates and fewer job opportunities, are looking to Australia, the U.K. and elsewhere.
New Zealand’s economy is struggling after the central bank hiked cash rates 521 basis points in its most aggressive tightening since the official cash rate was introduced in 1999. The economy annual growth of 0.2% in the first quarter, unemployment rose to 4.7% in the second quarter and inflation remains high at 3.3%.
Furthermore, Australia has been recruiting and offering relocation packages in areas such as nursing, policing and teaching where they have skill shortages attracting New Zealanders, who do not need visas to work there. At the same time, the New Zealand government has undertaken a significant downsizing of the country’s public service leaving many skilled worked looking for jobs.