Fletcher Building has dismissed claims that the company's monopoly position is ramping up rebuild costs in Christchurch.
New Zealand First and Christchurch advocacy group WeCan have made the claims, citing building cost inflation in Christchurch of 12% per annum, compared with 2% in Auckland.
New Zealand First spokesperson Andrew Williams says Fletchers is only employing contractors who are prepared to accept a lower rate of pay and are profiteering as a result.
WeCan says Fletchers' grip on the supply of construction materials is also helping push up costs.
Fletcher Building has issued a statement denying the claims, saying it is helping reduce costs, which are constrained by a price ceiling agreed with the Earthquake Commission.
Spokesperson Barry Akers says Fletchers is responsible for only $2.5 billion worth of residential quake repairs compared with a total rebuild cost of $40 billion.
