Move over Tauranga, Hamilton’s taken the crown

Monday, 26 February 2024

Tucked away in Hamilton is a fantasyland that attracts more than one million people a year. It is still free but a new charge is now on the cards (video published December 2020).

Move over Tauranga, after 27 years of holding the crown as the country’s fastest growing city, there’s a new top town - Hamilton.

In a tale of two cities, the humble but mighty tortoise of Waikato has outrun the hare while it was taking in the sun.

In the economic “golden triangle” of Auckland, Hamilton and Tauranga, Tauranga and the Mount have long enjoyed being a tourist Mecca, a city of beautiful beaches and boomers, looking to its cousins over the hill as a landlocked town of bogans and boy racers.

As for Tauranga’s ‘boomer’ label of being the retirement capital of New Zealand, the median age in Tauranga in 2023 was 40 years, not much older than the national average of 38.

Tauranga has been the fastest growing in New Zealand for most of the last 27 years. Recent communications from Tauranga City Council still describe it as the “fastest-growing”.

The Tron v Tauranga - which city is best?

However, latest Population Estimates & Projections data provided to Stuff from Statistics New Zealand show, between 30 June 2022 and 30 June 2023, Hamilton city grew 3.4% while Tauranga city (which includes the Mount and Pāpāmoa) grew 2.5%.

Hamilton city also grew faster than any region between 2022 and 2023. Waikato region was the third fastest growing region (behind Auckland and Otago regions), growing by 2.3% between 2022 and 2023, whereas Bay of Plenty was fourth, growing 2.1%.

Looking at the longer term, between 30 June 2018 and 30 June 2023, Tauranga city grew by an average of 2.6% per year whereas Hamilton city grew 1.9%, said a spokesperson from Statistics New Zealand,

“They were the first and second fastest growing cities,” said the spokesperson.

Mount Maunganui, Tauranga, Bay of Plenty where the beach is consistently named the best in New Zealand.

“Over the same time, Bay of Plenty region grew 2.0% per year on average (the fastest growing region) and Waikato grew 1.9% per year on average (the third fastest growing region, behind Tasman region).

Using that measurement, Tauranga city was the faster growing area than Hamilton city.“

It’s still a close race, according to senior economist at Infometrics, Nick Brunsdon.

“As to which is the fastest growing city in 2024 – that will be a close call between Auckland, Hamilton and Tauranga.“

Hamiltonians are proud of their “world class” gardens

The notion of Tauranga as the fastest growing area, is “largely correct”, although 2023 was an exception, he said.

“From 1996 to 2023, Tauranga City grew 102%, making it the fastest growing city by a long margin. It was the fourth fastest growing territorial authority – with Queenstown-Lakes, Selwyn and Waimakariri all growing faster.

Auckland grew 56% and Hamilton grew 63% over 1996-2023. Tauranga was the fastest growing city in 22 of the past 27 years.

Nick Brunsdon, senior economist at Infometrics, says it’s still a close race between the cities in the Golden Triangle

2023 is the exception with Hamilton and Auckland overtaking Tauranga.“

So what happened in 2023 that swiped the cup from Tauranga?

The answer lies in migration, said Brunsdon.

“With our borders closed through the pandemic, Hamilton and Auckland suffered from a lack of international migrants, which slowed their population growth, and meant they had a big catch up in 2023 once borders reopened.

Tauranga is still well placed to grow more, he said.

“Looking around Auckland, Tauranga and Hamilton, the number one driver of population is different in each – Auckland is international migration, Tauranga is internal migration, and Hamilton is natural increase (births).”

A $3 billion-plus project includes an inland port for Hamilton. Tauranga Port will be one of the ports which will be used to unload frieght and be transported to Ruakura by rail to the new inland port.

Although Auckland grows from international migration, those people may then move outside Auckland, driving Tauranga’s internal migration, he said.

“Tauranga is well-placed to pick up on that outflow from Auckland, and more generally its place in the golden triangle means its within 3 hours drive of half the country’s population – an easy move.

Tauranga has a wide range of employment opportunities, so it’s both an attractive and viable option for people of all ages and stages, it’s not a story about retirees.“

Comparing Hamilton and Tauranga, Hamilton is better able to grow its own workers, whereas Tauranga is better able to attract workers to move in, he said.

Relax, it’s not a competition between The Tron and Tauranga, says Nigel Tutt, chief executive of the Bay of Plenty’s economic development agency Priority One, which is tasked with luring national and international businesses to the splendour of Tauranga Moana.

The Bay of Plenty is home to some of New Zealand’s best beaches

Jesse Mulligan, broadcaster, presenter and writer, was born in Hamilton and is a proud defender of ‘The Tron’

“It’s not a competition between the cities to grow faster… from an economic perspective the cities are heavily linked, for example with the Port of Tauranga and Ruakura inland port, and we want Hamilton to thrive – quality of an economy is much more important than growth rate. We’d love to have the cities even better linked in the future, a four-lane highway between us being right at the top of our needs.

That way, it will be easier for people from Hamilton to find some sunshine.“

If the reference to the sun feels like a burn to Hamilton, it’s because it is.

It may not be a competition, but if it’s sunshine, and beaches people want, Tauranga wins with 260km of coastline.

Mount Main Beach is consistently named the best in New Zealand. This week it was the only Kiwi beach in the top 10 in the South Pacific category of the world’s best beaches awards.

While Hamilton may offer more later night takeaways, the Bay prides itself as a foodie haven, known for kiwifruit, avocado, honey, seafood, and popular annual food festival Flavours of Plenty.

It is a competition to proud Hamiltonian, TV presenter and RNZ broadcaster, Jesse Mulligan.

“Come on Tauranga, don't make me laugh. You're a nice enough place to visit but even if you tack on Mount Maunganui (and I feel sure you will), you'll come up short against Hamilton, New Zealand's greatest city,” Mulligan said.

“Even Aucklanders wish they were in Hamilton - look at the way they are quietly but steadily building their houses closer and closer to it. Who can blame them?

“Tauranga may have one coastline but Hamilton has two: the eastern and western shores of the mighty Waikato river. We also have the best nightlife, world class gardens and blimmin good ice cream. Even the one thing Tauranga had going for it - the port - has been superceded by Hamilton's new inland port, a logistics superhub that has turned a sleepy dairy town into an economic giant.

“So cheer up Tauranga - go make a sandcastle! And save a spot for us at the beach next summer.'