Wellington residents have been told they need to focus on earthquake resilience over the next decade, with a major earthquake estimated to cost around $NZ37 billion ($29 billion).

A report commissioned by Wellington City Council has estimated the figure from its assessment of damaged buildings, business losses and the cost to government through benefits and loss of revenue.

Wellington, the country’s third most populous city and seat of the national government, is considered one of the most earthquake-prone places in New Zealand – unlike Christchurch, which had been considered low-risk.

Wellington Mayor Celia Wade-Brown says earthquake resilience is one of the biggest challenges facing the city.

“We have already started responding to this issue by strengthening our infrastructure and this will become a greater focus over the next decade,” she said. 

The council has been working with building owners to strengthen buildings and is talking to banks about a program to help owners borrow for the upgrading work. 

The report estimates it will cost $NZ535 million ($417 million) to strengthen 435 unreinforced masonry buildings.

About 3100 buildings have been assessed, with 233 rated as earthquake-prone.