Kiwis head offshore as economy falters and towns shrink

Summarised by Centrist

New Zealand is experiencing its largest-ever net loss of citizens, with nearly 70,000 departures recorded in the year to February 2025. 

What began as a youth exodus has grown into a broad demographic shift, with families, workers and retirees leaving in record numbers. 

Many may never return.

More than half of New Zealanders who leave go to Australia, where average wages are 26% higher. Massey University’s Paul Spoonley warned the country faces a steep decline in fertility and a hollowed-out workforce: “The question is – will the number of New Zealanders leaving begin to come back?”

Small towns are already shrinking. In Ohakune, the closure of two mills cost 220 jobs, triggering an exodus that’s gutted school rolls and weakened healthcare access. “We’re doing everything we can to lessen the magnitude of that scarring,” said Jude Sinai of Ngāti Rangi.

Finance Minister Nicola Willis insisted the government is focused on economic growth, not austerity. But critics argue the policy mix – including public sector layoffs and spending cuts – is sending the wrong message. “It’s an invitation to young New Zealanders to leave,” said Labour leader Chris Hipkins.

For those who’ve left, there’s little to tempt them back. “We’re not scraping by anymore,” said Daniel Reed, a father of three now living in Townsville. “They’ll always be Kiwis, but they know the Australian national anthem. I don’t know if they remember the New Zealand one.”

Read more over at The Guardian

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