The Reserve Bank's continuing to change its approach to preventing risky lending. 

It's further easing loan-to-value-ratio restrictions, allowing banks to lend more money to low-deposit borrowers. 

It follows the roll-out of debt-to-income restrictions last year, restricting how much banks can lend to people who already have a lot of debt relative to their income. 

Squirrel Mortgages Chief Executive David Cunningham told Mike Hosking LVRs had been imperfect on their own. 

He says when property prices went up, it allowed banks to lend more, pushing up property prices further, with borrowers' incomes not factored in. 

LISTEN ABOVE 

The Reserve Bank's continuing to change its approach to preventing risky lending.&nbsp;
It's further easing loan-to-value-ratio restrictions, allowing banks to lend more money to low-deposit borrowers.&nbsp;
It follows the roll-out of debt-to-income restrictions last year, restricting how much banks can lend to people who already have a lot of debt relative to their income.&nbsp;
Squirrel Mortgages Chief Executive David Cunningham told Mike Hosking LVRs had been imperfect on their own.&nbsp;
He says when property prices went up, it allowed banks to lend more, pushing up property prices further, with borrowers' incomes not factored in.&nbsp;
LISTEN ABOVE&nbsp;

Open your mind to the world with New Zealand’s number one breakfast radio show.

Without question, as New Zealand’s number one talk host, Mike Hosking sets the day’s agenda.

The sharpest voice and mind in the business, Mike drives strong opinion, delivers the best talent, and always leaves you wanting more.

The Mike Hosking Breakfast always cuts through and delivers the best daily on Newstalk ZB.

Open your mind to the world with New Zealand’s number one breakfast radio show. Without question, as New Zealand’s number one talk host, Mike Hosking sets the day’s agenda. The sharpest voice and mind in the business, Mike drives strong opinion, delivers the best talent, and always leaves you wanting more. The Mike Hosking Breakfast always cuts through and delivers the best daily on Newstalk ZB.

Open your mind to the world with New Zealand’s number one breakfast radio show.Without question, as New Zealand’s number one talk host, Mike Hosking sets the day’s agenda.The sharpest voice and mind in the business, Mike drives strong opinion,...

The Mike Hosking Breakfast

David Cunningham: Squirrel Mortgages CEO on the Reserve Bank easing loan-to-value-ratio restrictions

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/2bb90946-e98b-49ad-a34e-b3760136bc40/transcript

The greatest sadness of the India Free Trade Deal, for me to this point, is that the rhetoric has not paid due respect to where free trade basically began. 

New Zealand. 

We are the pioneers. Well, the modern pioneers. 

The concept goes back to the mid 1800's where Britain and Europe had various deals. 

The GATT agreements of the 1940's made significant progress but the deal with Australia in the 80's put it well and truly on our radar and, along with Roger Douglas, Mike Moore made a name, if not fame, with the desire to do cross border business free from the impediment of tariffs. 

For a while free trade deals had their time in the sun. They got, I thought, a bit watered down with block deals. The CPTPP is your classic example and even our EU deal is widely accepted as being inferior to proper one-on-one deals like China or now India, because when you get 27 nations together there is bound to be a bunch of protectionists in there. 

India is also worth respecting because it's India and it's been a prize for many, many years. It’s the last truly large country and, not just that, but a truly large country actually going places. 

If this country has an international calling card, it's trade. We box above our weight, we do business on quality, we buy and sell on a fair price and not a jacked-up protected price. 

Within all deals you will find critics or clauses that aren't perfect. It's free trade, not perfect trade, and even a free trade deal technically can, and does, host tariffs. 

But the intent, and indeed the outworking of them all, is that the business between two countries is better, freer and bigger than it was before signing. 

NZ First are on the wrong side of this and the irony cannot be lost that its leader is a foreign minister who spends his time globally looking to engage and encourage engagement between countries. 

Nothing encourages engagement more than doing business. 

Labour said it's not the deal they would have done. Isn't it? What is the deal they did when they were in power? That’s right, there wasn’t one. 

Successive Governments have failed to cross the line. 

This, without a shadow of a doubt, in 20 years will be like China; big, bold, successful and constantly upgraded. We will all see it eventually. 

But in the ensuing years since we were free trade evangelists, we've become increasingly myopic, if not racist. 

Free trade is what we are good at. We should celebrate what we are good at more.   

The greatest sadness of the India Free Trade Deal, for me to this point, is that the rhetoric has not paid due respect to where free trade basically began.&nbsp;
New Zealand.&nbsp;
We are the pioneers. Well, the modern pioneers.&nbsp;
The concept goes back to the mid 1800's where Britain and Europe had various deals.&nbsp;
The GATT agreements of the 1940's made significant progress but the deal with Australia in the 80's put it well and truly on our radar and, along with Roger Douglas, Mike Moore made a name, if not fame, with the desire to do cross border business free from the impediment of tariffs.&nbsp;
For a while free trade deals had their time in the sun. They got, I thought, a bit watered down with block deals. The CPTPP is your classic example and even our EU deal is widely accepted as being inferior to proper one-on-one deals like China or now India, because when you get 27 nations together there is bound to be a bunch of protectionists in there.&nbsp;
India is also worth respecting because it's India and it's been a prize for many, many years. It’s the last truly large country and, not just that, but a truly large country actually going places.&nbsp;
If this country has an international calling card, it's trade. We box above our weight, we do business on quality, we buy and sell on a fair price and not a jacked-up protected price.&nbsp;
Within all deals you will find critics or clauses that aren't perfect. It's free trade, not perfect trade, and even a free trade deal technically can, and does, host tariffs.&nbsp;
But the intent, and indeed the outworking of them all, is that the business between two countries is better, freer and bigger than it was before signing.&nbsp;
NZ First are on the wrong side of this and the irony cannot be lost that its leader is a foreign minister who spends his time globally looking to engage and encourage engagement between countries.&nbsp;
Nothing encourages engagement more than doing business.&nbsp;
Labour said it's not the deal they would have done. Isn't it? What is the deal they did when they were in power? That’s right, there wasn’t one.&nbsp;
Successive Governments have failed to cross the line.&nbsp;
This, without a shadow of a doubt, in 20 years will be like China; big, bold, successful and constantly upgraded. We will all see it eventually.&nbsp;
But in the ensuing years since we were free trade evangelists, we've become increasingly myopic, if not racist.&nbsp;
Free trade is what we are good at. We should celebrate what we are good at more. &nbsp;&nbsp;

Mike's Minute: The free trade deal should be celebrated

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/6951e39a-c5c7-4c1a-a970-b43a017c2894/transcript

The big power companies are officially on notice, with electricity prices under scrutiny. 

Household bills are climbing an average 8% this year – the same as last year.  

But profits for the big four gentailers spiked 42% in the six months to December.   

Electricity Retailers and Generators Association Chief Executive Bridget Abernethy told Mike Hosking the reliable and modern power delivery Kiwis expect comes at a cost.  

She says a range of factors are occurring together, requiring an increase in spending.  

LISTEN ABOVE 

The big power companies are officially on notice, with electricity prices under scrutiny.&nbsp;
Household bills are climbing an average 8% this year – the same as last year. &nbsp;
But profits for the big four gentailers spiked 42% in the six months to December. &nbsp;&nbsp;
Electricity Retailers and Generators Association Chief Executive Bridget Abernethy told Mike Hosking the reliable and modern power delivery Kiwis expect comes at a cost. &nbsp;
She says a range of factors are occurring together, requiring an increase in spending. &nbsp;
LISTEN ABOVE&nbsp;

Bridget Abernethy: Electricity Retailers and Generators Association CEO on the Electricity Authority questioning power price hikes

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/06167198-8f00-4212-97e8-b43a016b41d2/transcript

It's Politics Wednesday and Mark Mitchell and Ginny Andersen are back with Mike Hosking to delve into some of the biggest political stories of the week to date. 

They discussed the Maiki Sherman situation, the amount of drinking that goes on at Parliament and whether it's appropriate, and whether Labour mislead ratings agency Fitch on the details of its Capital Gains Tax. 

LISTEN ABOVE

It's Politics Wednesday and Mark Mitchell and Ginny Andersen are back with Mike Hosking to delve into some of the biggest political stories of the week to date.&nbsp;
They discussed the Maiki Sherman situation, the amount of drinking that goes on at Parliament and whether it's appropriate, and whether Labour mislead ratings agency Fitch on the details of its Capital Gains Tax.&nbsp;
LISTEN ABOVE

Pollies: National's Mark Mitchell and Labour's Ginny Andersen on drinking at Parliament, Maiki Sherman, the situation with Labour and Fitch

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/6773df66-52d4-410b-aebc-b43a0161c6ec/transcript

David Cunningham: Squirrel Mortgages CEO on the Reserve Bank easing loan-to-value-ratio restrictions

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