WELLINGTON, Dec 19 (Reuters) - Consumer confidence in New Zealand has declined in the fourth quarter on jitters around the new Labour-led government, a survey showed on Tuesday.
The Westpac-McDermott Miller consumer confidence index fell to 107.4 from 112.4 in the previous quarter. A reading above 100 indicates more optimists than pessimists.
Reaction to the new Labour government taking office in October and ending almost a decade of centre-right National rule drove the fall, according to economists.
"Given the suddenness of the drop in confidence, it is likely that the outcome of September's election has had a big impact on household sentiment," said Satish Ranchod, economist at Westpac bank.
"The change in government signals a very different policy environment over the coming years, including changes to family support payments, minimum wage levels, environmental policy and housing market policies."
