Mayor's Message
The past year can be truly described as Nelson’s annus horribilis or year of misfortune. It stared on New Year’s Day with the tragic killing of Senior Sergeant Lyn Fleming in Buxton Square, the first death in the line of duty for a Nelson police officer in 180 years.
We had major storms in May, June and July that caused flooding, closures of our key arterial route, Rocks Road, and extensive damage in the region. The estimated cost of these storms to our region is $260 million.
The series of major industry closures and job losses throughout winter made for the worst economic year I can recall in over 30 years as MP and now Mayor. It started with Carter Holt Harvey’s closure of the Eves Valley sawmill. It was compounded by the Sealord decision to close its fish coating factory and reduce its main wet fish factory from year-round to seasonal. Griffin’s announced it was relocating its manufacturing of Proper Crisps to Auckland, King Salmon plans to relocate its main processing facility to Blenheim and Talley’s is moving its ice-cream production to the North Island.
We have been working with Government in response to support as many workers as possible into other jobs. Our unemployment rate has increased from the lows of 2023 but at 3.5%, we are still lower than the national average of 5.2%. We have boosted our regional tourism promotion to provide a lift. The newly elected Council is very focused on other steps to support the longer-term economic recovery.
It may seem odd after such an awful year that I am optimistic for Nelson in 2026. There is next year a massive pipeline of Government, Council and private-sector infrastructure investments that will provide an economic boost.
These include the work now underway on the Nelson Hospital redevelopment. Council is investing tens of millions with the Bridge to Better project in the central city and improved flood protection works in the Maitai. The fast-track approval of the Maitahi development involves huge private-sector investment.
There are also green shoots in the economic data. Visitor numbers are on the rise, building activity bottomed out last year and consent numbers are on the increase. The drop in inflation and interest rates is prompting an increase in consumer spending.
I thank Nelsonians for their generous support in the October elections and wish all the very best for a joyful Christmas and restful holiday break.