Source: New Zealand Parliament – Hansard
ORAL QUESTIONS
QUESTIONS TO MINISTERS
Question No. 1—Prime Minister
1. Rt Hon CHRIS HIPKINS (Leader of the Opposition) to the Prime Minister: Does he stand by all of his Government’s statements and actions?
Rt Hon CHRISTOPHER LUXON (Prime Minister): Yes, and especially this Government’s efforts to rebuild the economy after years of economic mismanagement. The huge increase in spending in recent years has pushed inflation higher, interest rates higher, it’s kneecapped economic growth, and it’s sent unemployment higher as well. It’s obvious that we need a new approach, which is why we’re taking action to make doing business in New Zealand easier, and whether it’s building, construction, farming, or financial services. So whether you’re a farmer or a tradie, an entrepreneur or an innovator, my message is simple: we’re a Government for you.
Rt Hon Chris Hipkins: Have representatives of the four peak bodies representing building and construction firms written to his Government expressing concern that his Government’s decision to cancel or defer projects is leading to a significant slowdown in work, a collapse in business confidence, and the risk of an exodus of skilled workers?
Rt Hon CHRISTOPHER LUXON: I’m aware that they have, but we have a big pipeline coming of infrastructure which we’ve started to talk about.
Rt Hon Chris Hipkins: Did those same infrastructure providers express concern that his Government’s rhetoric isn’t matched by action; in particular stating “many hundreds of businesses [are] caught in this gap between intention and getting work to the starting line”?
Rt Hon CHRISTOPHER LUXON: Well, what I can reassure them and what I have reassured them is to say that this is a Government that’s going to get things built in this country. We don’t believe in phantom projects. We don’t believe in taking six years to do Auckland light rail—to think about it, to talk about it, to do some post-it note sessions, to have a lovely strategy. We don’t believe in Let’s Get Wellington Moving, that didn’t get Wellington moving. We don’t believe in Lake Onslow, which was a phantom post-it note idea as well. We believe in getting things done in this country. We’re going to build a 30-year pipeline of proper projects, not just ideas, and we’re going to get things done.
Rt Hon Chris Hipkins: Has he asked for an estimate of the economic impact on the building and construction sector of the Government’s decision to stop, pause, or defer projects like school rebuilds and upgrades, hospital rebuilds and expansions, road works, water infrastructure improvements, and public transport investments; if not, why not?
Rt Hon CHRISTOPHER LUXON: Well, what I’d just say to that member is that the school infrastructure and buildings programme was a very interesting one to be inheriting coming into Government, because it’s lovely, again, to go off and say the words, but you actually have to follow up with a plan, and, ideally, you’ve got to have the money there to do it, and that didn’t happen for 350 school buildings, sadly.
Rt Hon Chris Hipkins: Point of order, Mr Speaker. My question was whether the Prime Minister has asked for an analysis of the economic impact on the businesses affected by those decisions. I don’t think the Prime Minister came even close to addressing that.
SPEAKER: Well, the only problem is that the primary question asks if he stands by all of his Government’s statements and actions. And while that might be an action that you’re questioning, as soon as he said that he didn’t have any money, that was probably the end of the position. But I tell you what, I’ll give you an extra question to be able to tease things out a bit further, if you can.
Rt Hon Chris Hipkins: Thank you, Mr Speaker. Does he plan to provide local authorities with the resources they need to bridge the infrastructure gap they currently have, or will he continue to leave them, as the industry told his Government, in “challenging financial predicaments”, with “a lack of funds or a need to await direction or decisions from central government before proceeding with planned works.”?
Rt Hon CHRISTOPHER LUXON: Look, I think the member is really—it’s an outrageous set of questions from this member, who has talked a big game and delivered so little, right? Let’s take an example of local government funding and financing, if you want to do that. How much do you reckon the previous Government spent on three waters? $1.2 billion. Do you think there was any improvement in the three waters assets? Nope. What did we do? We partnered with local government, we found a solution for Auckland Watercare, and we’ve got a great outcome. Now Auckland Watercare has certainty and a pipeline of future projects; Auckland Council has $800 million to spend on other infrastructure. We have plans. We don’t just do bumper stickers and slogans; we get things done.
Rt Hon Winston Peters: Could I ask the Prime Minister as to whether or not his Government’s plan is to build on the plan that was made yesterday by Mr Hipkins that the last Labour Government had built more houses since the 1960s, or was a totally baseless plan from them and as shallow as most of his statements?
Rt Hon CHRISTOPHER LUXON: What I can say in answer to that member’s question is that Kāinga Ora debt went up $10 billion, the social housing wait-list went up four times, house prices went up, I think, over 50 percent, and average rents went up $180 a week. So either way you look at it, the previous Labour Government failed on housing.
Rt Hon Chris Hipkins: If his plan is so successful, why are 70 percent of building and construction firms expecting to see increased attrition over the next 12 months because of his Government’s inability to provide certainty to the sector?
Rt Hon CHRISTOPHER LUXON: I would just say—I mean, it’s quite outrageous. You had six years in Government, and you did nothing. You drove inflation up, you drove interest rates up, you put the economy into recession for four of the last five quarters, and you have the audacity to ask me economic questions. Give me a break.
Rt Hon Chris Hipkins: Will he adopt the infrastructure sector’s suggestion that the Government pursue an accelerated and immediate package of renewals work, particularly in the water and transport sector, to bridge the gap, retain essential skills and knowledge within the New Zealand border, and attract top-tier infrastructure construction talent to New Zealand?
Rt Hon CHRISTOPHER LUXON: Look, I’d just say to you—to the member—that there are 62,000 potholes that we inherited from the previous administration. We’re working very hard on renewals and maintenance. And, importantly, we’re working on a 30-year pipeline of proper infrastructure projects, not Post-it note ideas. We’re working on 10-year city and regional deals, which we’ll be talking about shortly, and we want to form a national infrastructure agency that gets the right funding and financing tools so that, actually, local government and central government can work together instead of the Punch and Judy show that happened under your watch.
Rt Hon Chris Hipkins: Is there more economic activity in the building and construction sector today than there was six months ago?
Rt Hon CHRISTOPHER LUXON: Yeah, well, I’ll just say to that member, thank you very much for overspending by 84 percent Government spending, thank you for driving up inflation to record highs, thank you for driving up interest rates to record highs, thank you for putting the economy into recession for four of the last five quarters, and thank you for raising unemployment—no wonder construction firms are doing it tough, as are many, many New Zealanders. And wait for the Budget, tomorrow, delivered by an excellent finance Minister to find out how you run an economy. [Interruption]
SPEAKER: It’s done. Calm those outbursts down quite considerably.
Rt Hon Chris Hipkins: Point of order, Mr Speaker. Mr Speaker, I’d like you to review this question exchange, because every— [Interruption]
SPEAKER: I tell you what: points of order are heard in silence, and everyone in the House will observe that.
Rt Hon Chris Hipkins: —Mr Speaker, because every question that I asked the Prime Minister was about his Government and the actions taken by his Government, and every answer didn’t address the question by talking about his Government; they talked about the previous Government. Now, while I accept that question time is a robust exchange, the Prime Minister should at least make some effort. This is a big issue. The building and construction sector have written to the Government with a list of concerns that I think are legitimate concerns that they deserve to have answers on, and I have raised some of those in the House today. I don’t think it’s unreasonable that the Prime Minister should address the actions of his Government, rather than the previous Government. He has been the Prime Minister for over six months now.
SPEAKER: I will review it, but in the light of the primary question itself.
