Building consents plummet

The fall was driven by a decline in approvals for apartments which were down 75% over the year. Residential building approvals, excluding apartments, fell 2.7% in March, and were 4% lower than a year earlier.

While the building approval numbers have been volatile and there may have been some negative impact from changes in fees. In March 2005 there was a boost to consents as a builders got in applications before a new an increase to in building levies and other fees on April 1.

"This should be noted when comparing the figures for March 2006 with March 2005," Statistics said.

The latest numbers are being interpreted as growing signs of weakness in the housing market.