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Nicola Willis and Carmel Sepuloni joined Morning Report this morning for the Weekly Political Panel.
So the LNG power plant is set to go ahead to protect us when renewables run low. The Government must be satisfied that the business case stacks up, because that's what they said they would consider. At the same time, the Government will be cracking down on power companies during dry-year shortages. Fines for failing to secure enough backup electricity could jump from $2 million to as much as $10 million, or 10 percent of turnover. That's a hefty fine The Electricity Authority will also get stronger powers to monitor supply risks. Energy Minister Simeon Brown says New Zealand's renewable boom still needs reliable backup when hydro lakes are low and wind and solar can't meet demand. He argues that LNG is the fastest and most practical short-term solution to avoid blackouts, soaring prices and business shutdowns during dry years. But of course, the fly in the ointment is: who's going to pay for it? The Government certainly doesn't want to. They've scrapped plans for a levy on power bills to fund the billion-dollar terminal. People argued that would effectively become a gas tax for consumers - and we know this Government does not want to be associated with new taxes. So Brown says the electricity sector will instead help fund the project, with two companies now shortlisted to build it - and there's the rub. If it's a gentailer - if the gentailers foot the bill - they are the electricity sector. So how can the Government prevent them from passing on the cost? It's the same pickle they got into with the levy on banks. Nicola Willis was adamant that banks would not pass those costs on to New Zealanders. But when pressed in an interview on Q+A, she couldn't give a reason why they wouldn't - other than the goodness of their hearts. The Government can't force a private company to, you know, absorb costs within its structure. There's an aversion to increasing taxes but at the moment all they're doing is passing the job on to private companies, which will - of course - factor these costs into their pricing. That includes the cost of the LNG terminal. So call it whatever you like - the result is the same. We all end up paying for it, one way or another. LISTEN ABOVESee omnystudio.com/listener for privacy information.
The Government has quietly set aside $1 billion from next year's Budget but is refusing to say where it'll go. It amounts to 22 million dollars in 2027/28, before ramping up over a four-year period. Infometrics principal economist Brad Olsen told Heather du Plessis-Allan that this is not a common occurance. "That is just a little bit of an odd approach," he said. LISTEN ABOVESee omnystudio.com/listener for privacy information.
Now, I can't imagine Labour's woken up feeling awesome this morning about how that reset is going. What do you think? This is a reset – you do realise that. After months of saying nothing, having no new policy and generating headlines for Ayesha Verrall singing weird songs about ducks, they started this week with a classic reset move. They got themselves a story in the Herald on Monday, claiming Nicola Willis tried to hide secret spending in the Budget. Then they followed it up really quickly with a list announcement, unveiling the policeman candidate. And then tomorrow they were supposed to have their big, substantive policy announcement – something they haven't done in months. It was meant to be this run of good news. Unfortunately for them, it's gone a little bit pear-shaped, hasn't it? The “secret money” has turned out to actually just be an accounting provision. The list announcement got derailed by Greg O'Connor taking a crack at them. Then the new guy for one of the Māori seats revealed there's some tax relief policy coming – which he wasn't supposed to say. Then Chippy got busted for using his government KiwiSaver to buy a bach, and the policeman didn't tell his bosses early enough that he was off to join the Labour Party. All of this is not a good look for Labour, because they can hardly expect to convince voters they're ready to govern if they can't even get 24 hours' worth of announcements to go to plan without being derailed by four or five different issues. But to be fair to Labour, the last 24–48 hours is really not the end of the world. A lot of this is pretty beltway stuff – at least the parts involving the policeman are. In five months' time, when the election rolls around, no one but the biggest political nerds in this country will remember any of it. Five months gives them plenty of time to fix all of this, but they really do have to get on and fix it, because this is the same problem, just repeated – the same problem as the Ayesha Verrall duck-song situation. It looks like a party unable to get its act together and just do one thing properly. See omnystudio.com/listener for privacy information.
The Finance Minister is promising more detail is coming regarding a billion dollar pre-Budget allocation. The funding's been labelled 'secret spending' by Labour. Nicola Willis says this reflects the Government's provision for a potential capital to operating forecast change in transport spend - that can be subject to future decisions. "That is literally what it is, and we will be taking policy decisions on that over the next few weeks and months." LISTEN ABOVESee omnystudio.com/listener for privacy information.
The Finance Minister is promising more detail is coming regarding a billion dollar pre-Budget allocation. The funding's been labelled 'secret spending' by Labour. Nicola Willis says this reflects the Government's provision for a potential capital to operating forecast change in transport spend - that can be subject to future decisions. "That is literally what it is, and we will be taking policy decisions on that over the next few weeks and months." LISTEN ABOVESee omnystudio.com/listener for privacy information.
Labour revealed their MP list rankings for the 2026 election, with huge shifts up and down the rankings with many high profile sitting MPs moving position.Nicola Willis on Breakfast this morning was asked about the rise in number of children in housing deprivation, and what he govt plans to do about it. Her office also responds to Chloe Swarbrick accusing the govt of missing millions in their budget to account for the rise in govt contributions to KiwisaverNational have announced a number of election promises, including three days of hospital stay for mothers post-partum, and a boost to the QEII investment fund to please the farmer vote.++++++++++++++++++++Like us on Facebook.com/BigHairyNetwork Follow us on Twitter.com/@bighairynetworkFollowing us on TikTok.com/@bighairynetworkSupport us on Patreon www.patreon.com/c/BigHairyNewsCheck out our merch https://bhn.nz/shop/Donate to our work https://bhn.nz/shop/donations
Labour's accusing the government of secretly spending $1 billion from next year's budget. The Taxpayers' Union has chimed in too, accusing the government of political skulduggery over the billion dollars in undisclosed future spending. It amounts to $22 million in '27, '28 before ramping up over a four year period. Heather du Plessis Allan asked the Prime Minister about it this morning and he said there's nothing to see here. "It's not actually that super exciting to be honest, Heather, because it's an issue that blew up as we were finalising the budget. It's about an accounting provision for an existing transport related issue.""CRL?""No, no, no. And it's just, but generally an accounting provision." So an accounting provision. And if it's not the CRL, it's bound to be the ferries surely. But why can't it be disclosed? Why, why even give Labour ammunition? And what's better, and I ask this as a genuine question, to have a secret stash of dosh under the mattress to spend at will later on transport issues, or to promise to pay for things and then work out how you'll get the money later? Like with Labour, they promised pay equity, which was going to cost billions and billions of dollars, school lunches, light rail. They promised all this in 2023 and said, oh, we'll find the money later, we'll make cuts and we'll find the money. So when National came in in '23 they inherited these promises that would be difficult to withdraw from, but the money wasn't there to pay for it. I'm getting really, really sick of governments, successive governments and government departments using money and then using boring paragraphs to try and hide where that money's gone, given that it's our money. And given that there doesn't seem to be a single sole source of truth. Nobody seems to agree on the figures and given that it's our money that they're spending, I really want to know. Like you put to Labour, and I would have put it to Labour, but they're announcing their list MPs today, so that's a step. Where's your policies? We were promised them after the budget, but maybe after the list MPs have been announced we'll see the policies. But you know, you put to Labour, you promised pay equity, you had no idea how to pay for it. You had no idea where the money was going to come from. And they'd say, oh well, and then they'd tell us how and it would be, you know, baffle them with bullshit. And I was just reading about the spat between the former Kāinga Ora CEO and Nicola Willis. She accused him of paying over the odds for property to the tune of $10 million. He was outraged, denied Willis's claim, said Kāinga Ora had not offered $10 million more than the next closest bid for a property. He told Parliament's Social Services Committee the gap had been less than $2 million, only for it to be later revealed it was more than $8 million. And I know that's a lot of numbers I'm throwing around, but bear with me because I think this stuff matters. I find it absolutely outrageous that the taxpayers were funding a purchase that was $2 million above the nearest commercial bid. So your average layman puts in a bid for this property and decides that that's what they think it's worth. Kāinga Ora using our money can go as high as it wants. But instead of going $100,000 higher, which they may have done if it was an auction, if it was a closed tender process, how are they so out of touch that they would offer what he thought was $2 million more and actually turned out to be $8 million more than what private buyers were thinking the property was worth? And everybody, I mean this is just kind of, I only found out about it reading a story on Newsroom. I didn't know about it. That's one deal. How many others have been done like this? I mean, is this common practice among developers that you can be $5 million, $6 million, $8 million out? I mean, I don't move in those circles, I don't know. All I know is that what that looks like is an errant disregard for the taxpayer's dollars. Our money. What you and I get up early for, to go to work for, to pay to the government and for the government to dole out to different government departments. How the hell can you pay $8 million more than the nearest bid for one property? One property. Where's the accountability and the financial scrutiny? Why don't we know what the $1 billion is being set aside for? Are there commercial sensitivities? How is Labour going to fund its promises given that it left the country nearly $7 billion in deficit and now we're even worse? I am really, really, really sick of paying taxes. I mean, we saw a lot of this where work was being duplicated or work was being done in the wrong place and oh, silly us, oops, you know, let's do it again because they've got endless money from us. Imagine the pay you could give to nurses. Imagine the hospitals that could be built if we weren't making these sorts of egregious, as I see it, accounting errors. But maybe in the rarefied atmosphere of commercial development, $8 million is neither here nor there. To me it is. It really is. It's my money and your money and I want to know what we're spending it on, looking at you National. I want to know how we're going to fund the promises you're making, looking at you Labour. And I want to know that you're being careful and judicious with my money, looking at you every single bloody government department. Who will ensure that this sort of financial insouciance will end? LISTEN ABOVE See omnystudio.com/listener for privacy information.
TSB and Heartland Bank are looking to join forces by the end of the year. TSB owner Toi Foundation's seeking feedback on the plan to join with Heartland Bank, to the tune of $620 million. Finance Minister Nicola Willis welcomes this decision to team up and take on the big Australian banks. "That's positive, and good for the state of banking competition." LISTEN ABOVESee omnystudio.com/listener for privacy information.
Secretly, I think Nicola Willis and Winston Peters are enjoying their performative scrap against each other. Their war of words highlights the differences between each party and their philosophies and that's handy in an election year. Nicola's warnings over superannuation reinforce her credentials as the representative of fiscal prudence - the guardian of our economy. Winston's refusal to change super in any way, shape or form reinforces his credentials as a defender of the rights of the elderly. But it also reinforces something we should never forget about Winston Peters. He's in this Government and is being seen, along with his coalition partners, as a warrior against excessive Government spending. Yet his track record suggests otherwise. I mean, who can forget his Provincial Growth Fund - that $3 billion lolly scramble that was criticised by the Audit Office for a lack of oversight? Even in this coalition Government, he has continued to have a slush fund for regional development. The New Zealand First Regional Fund is a $1.2 billion capital fund established in the coalition agreement. And now, his Ministry of Foreign Affairs and Trade has been revealed to be a major funder of the Moana Pasifika rugby side since its inception. There is also talk he is willing to mount some sort of salvage campaign, again using taxpayers' money. I think it's important to remind ourselves that, in some respects, Winston Peters is an old-fashioned conservative -but he also resembles an old-fashioned socialist who believes in the primacy of Government and in the paternalistic splashing around of public money to curry favour. These are all things to remember if you are abandoning National for New Zealand First under the false belief that Winston will introduce greater financial rigour than already exists. It also serves as a reminder of why Winston went with Labour back in 2017 in the first place. LISTEN ABOVESee omnystudio.com/listener for privacy information.
A document relating to the Smith v Fonterra legal case was sent from a Fonterra staff member to the private email address of a former staffer in the Prime Minister's Office. Prime Minister Christopher Luxon said at the time there was no record of the document on file.Nicola Willis was on Q&A in the weekend defending her third budget talking the cost of child poverty and how she believes cuts cause human miseryChristopher Hipkins spoke with the NZH this morning about the bank levies the Government is to bring in and his response to Budget 2026 overallChristopher Luxon joins HDPA on Newstalk ZB this morning and defended our anti nuclear stance and also defended the entitlements that MPs get tax free for living in their own homesWe might also take a quick look at some video of the "dumbest man on the internet"++++++++++++++++++++Like us on Facebook.com/BigHairyNetwork Follow us on Twitter.com/@bighairynetworkFollowing us on TikTok.com/@bighairynetworkSupport us on Patreon www.patreon.com/c/BigHairyNewsCheck out our merch https://bhn.nz/shop/Donate to our work https://bhn.nz/shop/donation/
The government wants us to think they are being caring but responsible with this budget, but the economists aren't buying it. We look past the 30 press releases to find out what this means for your back pocket. From a sneaky new banking tax on savers to kicking real savings down the road, we break down why the math just doesn't add up. Learn more about your ad choices. Visit megaphone.fm/adchoices
Finance Minister Nicola Willis delivered her third and final Budget Day speech for the parliamentary term this week. A Budget delivering investment in health, infrastructure and defence, the Minister has described it as "responsible" - while Opposition voices have criticised the lack of stimulus for ordinary New Zealanders facing cost-of-living pressures. The big bonus is a forecast return to surplus in financial year 2028/29, one year earlier than previously forecast, using the government's favoured forecasting tool, OBEGALx. Five months out from the general election, Nicola Willis joins Jack Tame to discuss the government's record on economic stewardship, why the new bank tax won't be passed onto consumers, and US Secretary of War Pete Hegseth's "freeloaders" comment on New Zealand's defence spending. Join Jack Tame and the Q+A team and find the answers to the questions that matter. Made with the support of NZ on Air.
Return to surplus? Nicola Willis charts economic recovery Finance Minister Nicola Willis delivered her third and final Budget Day speech for the parliamentary term this week. A Budget delivering investment in health, infrastructure and defence, the Minister has described it as "responsible" - while Opposition voices have criticised the lack of stimulus for ordinary New Zealanders facing cost-of-living pressures. The big bonus is a forecast return to surplus in financial year 2028/29, one year earlier than previously forecast, using the government's favoured forecasting tool, OBEGALx. Five months out from the general election, Nicola Willis joins Jack Tame to discuss the government's record on economic stewardship, why the new bank tax won't be passed onto consumers, and US Secretary of War Pete Hegseth's "freeloaders" comment on New Zealand's defence spending. Children's Commissioner: The cost of child poverty In Budget 2026, Treasury published New Zealand's latest child poverty statistics. It's a grim picture, and one that isn't improving much: the number of households in material hardship is estimated to be 14 percent, with a 2028 target of six percent. Children's Commissioner Claire Achmad joins Jack Tame to lay out the cost of persistent child poverty and discusses the workability of a forthcoming ban of social media for under-16s. Why populist nationalism won't stop immigration Five months from the election, immigration is being framed by political parties as a critical election issue, with the Prime Minister warning the wrong policies could damage social cohesion. In New Zealand in 2026, migration is the main source of population growth, with the nation's fertility rate slumping to 1.6, below replacement levels. Is an immigration backlash the inevitable response to a globalising world? Jack Tame speaks to author and CEO of geospatial analytics company AlphaGeo Dr Parag Khanna. Join Jack Tame and the Q+A team and find the answers to the questions that matter. Made with the support of NZ on Air.
Keeping NZ super as it is, is a strike against intergenerational equity according to the Finance Minister Nicola Willis. Winston Peter's has described her comments as a "sad point". There were no changes to the super scheme in the Budget. But the finance minister took the opportunity to raise serious concerns about the cost of the universal benefit. Nicola Willis said super costs are rising sharply with the bill going from $20 billion in 2020 to a forecast $30 billion in 2030. NZ First Leader Winston Peters spoke to Lisa Owen.
The dust is settling on Budget 2026, and we are digging past the political marketing to look at the real maths. Nicola Willis delivered a masterclass in selling a narrative, but when you look closely at the numbers, things look incredibly heroic. We break down the magic show, look at the massive debt track, and reveal the inexplicable cuts hidden deep in the police budget. Learn more about your ad choices. Visit megaphone.fm/adchoices
While presenting Budget 2026, Finance Minister Nicola Willis shared a prediction that New Zealand will reach a $2.6 billion surplus by 2028-29. ANZ Chief Economist Sharon Zollner told Heather du Plessis-Allan the prediction was 'a little bit rosy'. LISTEN ABOVESee omnystudio.com/listener for privacy information.
Newstalk ZB political correspondent Barry Soper joins Heather du Plessis-Allan to chat all things budget week. They also discuss the other political news you may have missed in all the budget noise. LISTEN ABOVE See omnystudio.com/listener for privacy information.
On the Mike Hosking Breakfast Full Show Podcast for Friday 29th of May, we got the trades' reaction to the Budget and an economist's thoughts on what the books might look like in a couple years' time. Finance Minister Nicola Willis and Winston Peters both relay their wins from Budget Day. And Kate Hawkesby and Tim Wilson discuss Mike's holiday, the Music Awards, and Oura Rings. Get the Mike Hosking Breakfast Full Show Podcast every weekday morning on iHeartRadio, or wherever you get your podcasts. LISTEN ABOVE See omnystudio.com/listener for privacy information.
I asked for the surplus to arrive sooner than previously forecast and, as though she was listening this time yesterday, the first words out of Nicola Willis' mouth were it will be a year ahead of schedule. You can't ask for more than that. That's not an election year lolly, but I'm increasingly of the belief that a growing number of New Zealanders have got the message. A growing number of us have been shaken into the cold, hard reality that $9 billion a year in debt servicing is absurd and it can't continue. We need to cut our cloth and that, in many respects, was what yesterday was about. It's probably brave in election year to run things this tight. But it's also the adult thing to do. So the message, politically, is stark. If you want free stuff the current Government aren't really for you. If you want grown-ups paying for life as they earn it then this may be the lot that gets your vote. I do worry about health. Yes, health was a big, multibillion dollar winner and the hardware, the facilities and the equipment need a spruce up and, yes, bits and parts are squeezed. But the health bill for five million people seems amazing to me and not in a good way. There has to be savings to be had there. $17,000 for every house is not right. I didn't use my $17,000 last year, so someone did. The roads improvements in the tricky bits of the country I like. Build them properly and deal to the future – don't patch it up. We already know about education. A revolution is on and we will all be better for it. You know I'm a trades fan. There were big wins for good, old fashioned, but increasingly important, jobs. Not every kid wants a BA and even if they did get one, it doesn't mean a job is waiting. The world will always want a sparky or a mechanic. There were the basics, the rational and the logic. There was a good message about three parties doing collegial work. There were wins for each of them, all mixed up with the overarching message that the madness, fiscally, has stopped and the reality has arrived. But, big picture, get it right. This is a place that has its best days ahead of it. I liked it. It's an easy 7/10. See omnystudio.com/listener for privacy information.
Finance Minister Nicola Willis hopes her Budget will convince voters to re-elect the Government in November. It includes significant investment in infrastructure and health. It also shows a return to surplus in the 2028/29 financial year – a year sooner than previously forecast. The forecast uses the OBEGALx measure, which excludes ACC. Willis told Mike Hosking her message is simple. She says the Opposition would borrow and spend more, which would put the country's future at risk. The Finance Minister is also defending the new 1% levy on banks, insurers, and other financial market participants, which would be used to regulate the sector. Willis yesterday directed banks not to pass on the cost of the levy to their customers, saying they're the most profitable companies in the country and do very well for themselves. Asked by Hosking why she didn't increase tax on high-earning individuals like himself using the same logic, Willis said she didn't want him “flying off overseas”. She says that the idea that taxing high-earners more and they'll be more inclined to invest in New Zealand doesn't make sense, but when it comes to banks, it's a tiny, tiny levy relative to their bottom line. The move brings New Zealand into line with other countries like Australia and the UK, Willis says. LISTEN ABOVE See omnystudio.com/listener for privacy information.
On the Heather du Plessis-Allan Drive Full Show Podcast for Thursday, 28 May, 2026, Nicola Willis debuts her 2026 Budget - sugar hit not included. She tells Heather why she didn't cut harder. Chris Hipkins gives his take on the Budget. He says the Government continues to fail at making life better for Kiwis. How good will a newly announced extension of the Waikato Expressway be? Cambridge Mayor Mike Pettit couldn't be more excited. Plus, Katie Bradford and Maurice Williamson discuss how Winston Peters got away with more cash for his pet projects. Get the Heather du Plessis-Allan Drive Full Show Podcast every weekday evening on iHeartRadio, or wherever you get your podcasts. LISTEN ABOVESee omnystudio.com/listener for privacy information.
Well, you would have done well to heed Nicola Willis's warnings ahead of this Budget that there would be no spend-up, because there is no spend-up. There is no money for - well, there is money for the important stuff. You've got the schools and the classrooms, and the hospitals, and the Waikato Expressway, and Winston Peters' pet projects. But everywhere else, there is just no new money. It is tight. Now, that is exactly how it should be. And in fact, I would say this still doesn't go far enough. For the third Nicola Willis Budget in a row, it isn't tight enough because we haven't even hit our debt peak yet. We are still going up that peak mountain. That is still two years away, which means that interest payments are already at $9 billion and they're only going to go up. It's going to take us to about 2040, roughly, before debt is back to where Bill English left it as a proportion of GDP. And that is just the most optimistic scenario. The rest of the scenario is basically never getting back down to where Bill English left it. Nicola Willis is making a virtue today of the fact that she's getting the books back in black by 2028/29, which she says is earlier than expected. But that is a little bit of game-playing that's going on, because it was always going to be 2028/29 until December. Then in December it changed, then it became 2029/30. Now it's just been brought back again to where it was about six months ago. And that is only, by the way, because Nicola Willis is using a made-up measure, OBEGALX, which makes surplus appear a year earlier than the standard old measure, which basically would have had surplus arriving only in 2030 or thereabouts. And by the way, all of this is a broken promise, because Nicola Willis promised the country that if you voted for National at the last election, she would have the books back in the black. When? Today. This year. But after three Budgets, I think we've learned to temper our expectations on that front. Now, on the bright side though, she has decided to borrow $6 billion less than she had planned to. I will take that. And while there is a lot of poor spending that continues, at least there isn't new, more poor spending. And for that, I suppose you have to give the Budget a solid holding-pattern score of 6 out of 10. LISTEN ABOVESee omnystudio.com/listener for privacy information.
Tonight on The Huddle, NZ Herald senior correspondent Katie Bradford and Auckland Councillor Maurice Williamson joined in on a discussion about the following issues of the day - and more! Budget 2026 was unveiled today - what did we make of it? Do we think we'll reach surplus by 2028/29? Will debt really come down? Nicola Willis also says we need to have a discussion around superannuation amid ongoing cost concerns. Do we see NZ First siding with this? Will this lead to another battle? What do we make of the new levy on banks? Is it enough? LISTEN ABOVESee omnystudio.com/listener for privacy information.
The surplus train's left the station early in Budget news today, with the country expected to be out of deficit by 2028/29, a year ahead of predictions. Government Ministers are trumpeting that figure, alongside a focus on health and infrastructure. The Waikato Expressway will get 12 more kilometres, Whangarei a new hospital wing and new police stations are on the horizon for Whanganui and Greymouth. The biggest surprise is a tax on banks and insurers, worth roughly $50 million dollars a year. The bowel cancer screening age will lower to 56 by September and increased health funding aims to increase surgeries and reduce wait times. $450 million has been set aside for targeted support, in case the fuel crisis worsens. Finance Minister Nicola Willis says things are tough - but its not the time for lolly scrambles. She says the crisis is hitting many hard - but the country will bounce back with growth and increasing wages. LISTEN ABOVESee omnystudio.com/listener for privacy information.
It is Budget Day in New Zealand, and we are looking at the brutal truth behind the numbers. Nicola Willis says the adults are back in charge of the books, but is this just creative accounting? We look at how banking public service cuts, before they even happen, are the only reason we are getting back to surplus. Learn more about your ad choices. Visit megaphone.fm/adchoices
The finance minister said there'll be no surprises and no sugar hits in this year's Budget, as she picks up her pride and joy from the printer. Nicola Willis isn't giving it a nickname this year, but one of her coalition partners is calling it a tough love Budget. MPs are split on whether they should apply some of that tough love to themselves, as their perks and pay rises come into the spotlight. Political reporter Giles Dexter has more.
Nicola Willis and Carmel Sepuloni discuss tomorrow's Budget on Morning Report, for our Weekly Political Panel.
Here's a PR tip for the coalition Government: if they want to win support for their ongoing budget cuts - which affect some of the poorest people in this country - they should consider giving up something themselves. Now, I don't know if you saw this last week, but Stuff ran a damning story on Louise Upston, the Social Development Minister, who is a lovely woman and a very capable minister - but the optics were terrible. While she's forcing some of the poorest Kiwis in this country to pay more towards housing before they get any help from the taxpayer, she is claiming $1000 a week from the taxpayer to rent her Wellington apartment - from herself. Today, we hear that MPs are again due to get a pay rise in July, bumping their pay up by 2 percent to, in the case of Cabinet ministers like Louise, $327,000 a year. Now, I raised this with Nicola Willis on the show. She's not prepared to touch MPs' pay or allowances, and neither is the Prime Minister, when he was asked about it today. Their excuse is that the money is decided by the independent Remuneration Authority. But anyone who's been around for more than five minutes knows that's a crock because MPs are the ultimate lawmakers They can override the Remuneration Authority and they have done so before - Jacinda Ardern froze MPs' pay for six years back in 2018. Now, frankly, quite independently of this whole argument, I personally think it is well overdue that MPs' perks are reined in. They are far too generous. These guys get really good pay but on top of that, they receive expense allowances of at least $19,000 for things like flowers and coffees, up to $52,000 in accommodation allowances -which they can use on their own apartments - fully paid travel and a superannuation scheme so generous it can be worth up to $70,000 a year on top of their salary. So, you can add somewhere between $120,000 and $140,000 at least in perks to their base pay. That is hard to accept at a time when our budgets are so tight that we are, quite rightly, asking state house tenants to pay another $31 a week to square things off - and when we are, quite rightly, cutting nearly 9000 public servants. But quite rightly, we should also be taking another look at just how much money we sink into MPs every year. I know MPs don't want to do this. No one wants to give up the entitlements they're entitled to. But if they want to increase public support for their budget cuts, they could do with showing they're prepared to give up a little themselves. Because when you ask the country's poorest to take one for the team - or more specifically, the team's budget - you should be prepared to take one for the team too. It's called leadership. LISTEN ABOVESee omnystudio.com/listener for privacy information.
Some more leaked audio has gotten the Labour Party in trouble, with MP Barbara Edmonds apologising for off-colour comments directed at the Finance Minister. The audio obtained by the Herald features a moderator asking various Labour MPs whether they'd rather fight "100 duck-sized horses or one horse-sized duck." Edmonds' answer apparently referenced Nicola Willis. Willis says she's accepted Edmonds' apology - but this event says a lot about Labour's conduct this election year. "Step one - demonize your opponent. Step two - waffle on about values. Well, how about just answering the question? I guess that would require some actual policies." LISTEN ABOVESee omnystudio.com/listener for privacy information.
This week on the Sunday Panel, journalist Simon Wilson and Coast Day host Lorna Riley joined in on a discussion about the following issues of the week - and more! Nicola Willis announced that public service jobs would be slashed, and it's been viewed as controversial. Do we need these cuts? Should a reduction in public service roles also mean a reduction in politicians? Surely if the state shrinks, so should the number of politicians? The Enhanced Games are set to kick off in the US tomorrow - what do we make of this? Does this send the wrong message? LISTEN ABOVESee omnystudio.com/listener for privacy information.
In 2023, the National Party's main campaign messaging was around the economy, and how the Labour-led Government had mismanaged the economy and country, causing high inflation, rising living costs, and increasing crime. It wasn't surprising then that the 2024 and 2025 budgets were all about fiscal discipline, a halt to excessive spending, reduced borrowing and “living within our means.” Tax cuts aside, the Government has, for the most part, managed to present its decision making as fair and reasonable. Too reasonable for some people's liking. Ruth Richardson argues that Nicola Willis has not gone far or fast enough in restoring New Zealand's fiscal position, and that the Government is balancing political caution with fiscal repair, instead of making harder and more impactful structural changes. This week, the Government presented a harder edge as it doubled down on reducing the number of public servants and rearranging parts of New Zealand's welfare system. Once again, messaging was key. Some of it was good. Some just made the Government look mean. A change in social housing policy was announced, which aims to balance the support provided for those struggling in social housing with those struggling in private rentals. We absolutely want to make sure those who can look after themselves do so, and those in genuine need are able to access social housing. However getting those in social housing to fit the bill with increased rents to subsidise people in private rentals doesn't appear to be getting anyone ahead - we're just asking one disadvantaged group to help another. There is some interesting thinking around this policy - changing the RMA to allow for an increased supply of long-term, low-rent properties, or properties catering to people with mental health issues or disabilities, so that people can move out of social housing and into private rentals while still getting an accommodation subsidy isn't a bad idea. If you can pull it off. But Nicola Willis' flippant comment that social housing tenants had "won the lotto" - which she expressed regret for - reduced the big picture down to a policy that implied the Government reckons you've got it too good so are going to kick you out of your home. This week, Minister for Disability Issues Louise Upston introduced the Disability Support Services Bill to Parliament. While supposedly intended to provide clarity and stability to the system which supports thousands of disabled New Zealanders, it did pretty much the opposite for those who look after a disabled family member by sidestepping a 2025 Supreme Court ruling. The Bill allows the Government to now claim the Crown is not the employer of family carers, those who care for loved ones, sometimes 24/7 and sometimes for their entire lives. It had been a long hard battle for carers to be heard and recognised, and it feels like a recently resolved issue of fairness has been sacrificed. While people affected by the announcements this week may not naturally vote for the current Government, New Zealanders respond well to a sense of fairness. Regardless of who we vote for, we're a decent bunch and don't want to see policy decisions that feel like the final tug of the rug from underneath New Zealanders genuinely in need, at a time when fuel and other costs are increasing. This doesn't mean we can't change systems. This doesn't mean we can't find a more efficient, sustainable and fairer means of looking after as many New Zealanders in need as needed. But you don't have to be or look mean doing it. Thursday is Budget day. The Finance Minister has reduced the amount of new money the Government is giving themselves for day-to-day spending, and is still working to get the books back in balance and the debt curve bending down. Are changes to the public sector or social welfare going to cut it? Maybe it's time to also rethink tax cuts, landlord tax incentives, tobacco breaks and many of the other election incentives that get in the way of achieving this. LISTEN ABOVESee omnystudio.com/listener for privacy information.
Is the Nicola Willis public service announcement to be admired or condemned? I think the former, on balance. They should have done it properly two years ago and they didn't, hence they probably should not be back here now, unless this was their Machiavellian plan all along. Two public service haircuts a term. But assuming that wasn't it, we go back to a lost opportunity that could be in the rear vision mirror by now. What they talked was a big game. What they delivered was a surgical whimper. Yes, it is always sad to lose jobs and restructure and cut. But few outside the Wellington bubble would argue with the fact that the growth engine of public service work was absurd and 65,000 is a city, not a workforce. To make it worse, they got the same headlines and noise and pushback over a couple of thousand cuts as they would have ten times that. So we are back for another crack, driven by necessity. That's the bit to be admired. Laying lots of people off in election year is not really a vote-getter Mind you it's safe, I think, to say most of the public service aren't conservatives so the vote loss, you'd guess, will be minimal. It's a horrible thing working in an environment where your future is part of the political wind. I faced it at TVNZ and Radio NZ. Whoever woke up on what side of the bed had some effect on what you were paid and whether you were hanging around for a while. It's no way to have a job. And in that sense, you can blame the Labour Government for stacking the place with well-paid work. And yet as you applied, if you thought about it, surely it couldn't last, and it hasn't. As the unions bleat, this is not about the public service and its value. They do a lot of good things and a lot of vital things. There are a lot of very capable, if not talented, people in the mix. But it's the extra, the excess and the fat that needs the trimming. This is fiscally desperate to a degree – an operating allowance of $2.1 billion and savings from anywhere and everywhere. You can't accuse the Government of priming the pumps. The pumps don't work because "the vandals took the handles", if you know your Bob Dylan. The point is slashing spending and killing jobs is not your traditional electioneering. That's to be admired. See omnystudio.com/listener for privacy information.
The funding feud between Nicola Willis and Winston Peters is continuing, amid revelations the Ministry for Foreign Affairs will not have to find savings in this year's Budget.
Winston Peters has come out on top in his funding feud with Nicola Willis, successfully saving his Ministry of Foreign Affairs from any cuts in this year's Budget. Deputy political editor Craig McCulloch spoke to John Campbell.
I've got to tell you something – I'm embarrassed. Watching this public debate about how many public servant jobs are going to be cut in order to make way for AI is just embarrassing. The fact we're having this debate at all is ultimately Nicola Willis's fault, because she listed three expectations when she announced the reform of the public service: 1) That agencies amalgamate 2) That there is a cap of 55,000 people in the public sector 3) That the public sector digitises and adopts AI Because AI is the new bogeyman that everybody is supposed to be afraid of, the media then became obsessed with it. They started contacting ministers' offices and demanding to know what we're actually meant to do with AI. The verdict, however, was many ministers weren't actually sure what they would be doing in their portfolios. And it's embarrassing in the same way it's embarrassing watching your parents or grandparents discuss that newfangled technology that's absolutely going to change our lives, without any real grip on its uses and limitations, because they don't actually use it. It feels like blaming the public service cull in the 1980s on those new computer devices that were going to replace all the workers. Except we're all still working, we're just each using a computer. Let's be honest about AI, okay? For those of us out there who don't use it and ask, “What is this?”, AI is probably hugely overpromising. It's not going to do all the things or replace all the workers that you think it will. At the moment, it's mostly really good for summarising, drafting, searching documents, handling repetitive admin, and managing customer service. There are some obvious applications for AI, like helping a beneficiary find all their entitlements by going through an AI system on a computer, without having to tie up a person on the phone for an hour. But AI cannot really be relied on for more complex tasks that require humans, like risk assessment, ethical judgments, or political management. No one who actually uses AI thinks it's going to replace 8,700 jobs – or even a quarter of those jobs, or even a tenth of them. Having this debate actually feels quite silly. Public service numbers need to come down with or without AI. AI doesn't have to be part of this debate. We have 16,000 more public servants than we did nine years ago, and no one's getting better service. So you don't need all those people – that's the argument. AI, here, is just a distraction.See omnystudio.com/listener for privacy information.
Nicola Willis and Carmel Sepuloni joined Morning Report this morning for the Weekly Political Panel.
Another swathe of Government agency job cuts and public sector reform. Finance Minister Nicola Willis says they want to return the public servant headcount to 1% of the population by mid-2029, culling about 8,700 jobs. Government agency operating budgets will again be reduced – 2% now, increasing over following years. Willis says they will also thin out the ministries, pointing to savings it'll bring. She says they expect to hire more nurses, Police officers, and others in critical frontline roles. Willis says AI is “incredible” at slashing the amount of time needed for mundane tasks, revealing her staff used it to write a report on public service reform. She told Mike Hosking the Government was streamlining agencies and embedding AI and digitisation, and asking the public service to "get out of the 80s". She was experimenting with AI in her own office. “Instead of one of my analysts spending half a day coming up with a document, they said to AI, ‘Have a look at public service reform around the world, tell us who's done what, what seems to have worked well, what hasn't'. “And 10 minutes later, you've got a beautiful document with some guidance and some advice.” LISTEN ABOVE See omnystudio.com/listener for privacy information.
On the Mike Hosking Breakfast Full Show Podcast for Wednesday 20th of May, Finance Minister Nicola Willis unpacks the public service cuts and we hear from the head of Commonwealth Sport as Auckland hosts the Oceania National Olympic Committees' General Assembly. Team NZ CEO Grant Dalton joins out of Sardinia as the America's Cup officially gets underway. And Ginny Andersen and Mark Mitchell discuss the lack of details in Labour's Future Fund and Winston Peters' idea for BNZ on Politics Wednesday. Get the Mike Hosking Breakfast Full Show Podcast every weekday morning on iHeartRadio, or wherever you get your podcasts. LISTEN ABOVE See omnystudio.com/listener for privacy information.
Tonight, on The Panel, Wallace Chapman is joined by panellists Niki Bezzant and Conor English. First up, nine thousand public service jobs to go says Nicola Willis in another pre-budget announcement. What will this mean and will the savings really be that significant? Then, is New Zealand a tax haven like Bermuda or the Cayman Islands? The Australians seem to think so.
Tonight on The Huddle, Phil O'Reilly from Iron Duke Partners and NZ Herald senior correspondent Katie Bradford joined in on a discussion about the following issues of the day - and more! Nicola Willis has confirmed more cuts will be made to the public service sector. Do we think changes are needed here? Ae we worried about the job losses? A former contractor at property coaching company Wealth Mentor has released a video appearing to show the company's chief executive slapping her in the face during a studio filming session. Is this out of line? What do we make of this? A religious sect has ordered its members to get rid of their pets after after a young family member of leader Bruce Hales was attacked by a dog. What do we make of this? LISTEN ABOVESee omnystudio.com/listener for privacy information.
On the Heather du Plessis-Allan Drive Full Show Podcast for Tuesday, 19 May, 2026, we talk to the New Zealand Initiative's Roger Partridge about whether Nicola Willis' plan to cut nearly 9000 public servants has gone far enough. We ask paediatrics professor Barry Taylor if soft sleeping pods for babies should be banned. Religious studies expert Peter Lineham tells us if Exclusive Brethren are likely to follow orders to get rid of their pets. And on The Huddle with Phil O'Reilly and Katie Bradford discuss the case of a chief executive slapping a contractor. Get the Heather du Plessis-Allan Drive Full Show Podcast every weekday evening on iHeartRadio, or wherever you get your podcasts. LISTEN ABOVESee omnystudio.com/listener for privacy information.
As you'd expect, I'm a huge fan of Nicola Willis' plan to cut down the size of the public sector. This is the second issue I've been harping on about to her. The other one was, obviously, the fees-free year for university students. So I'm stoked that, on this show, we're two from two in terms of agitating for cutting back on wasteful public spending. The public service in this country is too big. There are 63,000 public servants. There were only around 47,000 when Jacinda and Grant started throwing money around. We have 39 Government departments and ministries. Ireland has 18. Australia has 16. We have 39. We have Government departments like the Ministry for Women that don't appear to do anything other than write reports and make work for themselves. Now, anyone arguing against cutting back public servants - and there are some people doing this - needs to explain why. And if the answer is, “Oh, because it's someone's job,” well, that is not an answer. Because if it's a job we don't need, but we keep it just to keep someone in work, then that's just really expensive welfare, isn't it? But as much as I love this proposal, I am worried. I just can't shake the feeling that this coalition may not follow through on this promise because this is the second time they've made it. Before the last election, ACT was saying they were going to cut 14,000 public servants. Have they cut 14,000 public servants? No, they haven't. They haven't done it. And it feels like this announcement has been dreamt up at the weekend because there's no actual plan - just an announcement. And that announcement is that the public service is going to be asked to design its own downsizing. So it feels a bit on the fly. Also, it's a week before the Budget, which makes you wonder if this has been announced so Treasury can take 9000 public servants out of the Government's payroll when doing the Budget forecasts for next week - thereby putting the books in better shape and maybe bringing the surplus forward a little. Do you see what I'm doing here? Maybe this is all just designed to look better than it actually will be. Once bitten, twice shy. But it's a hell of a big risk for National to commit to something like this publicly and then not deliver. So I've got my fingers crossed. This could just be the start of unwinding years of public sector bloat. LISTEN ABOVESee omnystudio.com/listener for privacy information.
The New Zealand Initiative is praising Government plans to slash almost 9,000 public service roles by mid-2029. It also intends to reduce Government departments and immediately start cutting agency budgets. The free-market think tank says it's a great step, but ministerial portfolios should also be cut. Board chair Roger Partridge says there's too much duplication. "Some policy areas, like housing, report to as many as 10 different portfolio-holding ministers - and some departments, like MBIE, report to over 20 ministers." LISTEN ABOVESee omnystudio.com/listener for privacy information.
Ahead of Budget 2026, the Finance Minister has hinted towards incoming changes for certain Government departments. Nicola Willis says she's planning to tell ministries and departments to come up with plans for amalgamation, with more details to be revealed tomorrow. Willis went on to explain that the Government's agreed that there's too many ministries and that they need to amalgamate agencies. "Just as every business and household in the country is always working to get more value for money, we need to, too." LISTEN ABOVESee omnystudio.com/listener for privacy information.
On the Mike Hosking Breakfast Full Show Podcast for Thursday 14th of May, we get a couple of interesting insights into business in this country when it comes to governance and brick and mortar retailers. Finance Minister Nicola Willis discusses her ever shrinking Budget operating allowance. And CEO of Jetstar Steph Tully unpacks the recent claim they're committed to New Zealand while also cutting routes and flights due to current jet fuel prices. Get the Mike Hosking Breakfast Full Show Podcast every weekday morning on iHeartRadio, or wherever you get your podcasts. LISTEN ABOVE See omnystudio.com/listener for privacy information.
The Finance Minister says the Budget "lolly scrambles" are well and truly a thing of the past. The Government's cut its operating allowance by another $300 million to $2.1 billion. Nicola Willis says Government ministers have been looking carefully for savings. She told Mike Hosking they're having to be very careful about the choices they make. Willis says they need to look for investments that drive growth, living standards, and affordability. LISTEN ABOVE See omnystudio.com/listener for privacy information.
Nicola Willis and Carmel Sepuloni joined Morning Report this morning for the Weekly Political Panel.
Govt law change halts emissions damage lawsuits; Weekly Political Panel with Nicola Willis and Carmel Sepuloni; Chatham Islands face major electricity price hike; Latest from London as calls grow for PM to resign; Sir Graham Henry speaks to John Campbell
The government says in a worst case scenario, fuel would be rationed according to need - from critical services at the top to the general public at the bottom. Nicola Willis spoke to John Campbell.