Top storiesNew ZealandPoliticsBusinessEntertainmentSportsWorld

PM Christopher Luxon unveils ‘action plan’ for next three months

Prime Minister Christopher Luxon outlining his Q3 Action Plan at today post-Cabinet press conference. Video / Mark Mitchell

Prime Minister Christopher Luxon has unveiled the Government’s ‘action plan’ for the next three months, giving itself a mark of 35 out of 36 for its April through June efforts.

Luxon said there was no doubt Kiwis were struggling with the cost of living, repeating what he said yesterday about changes coming into force today including the scrapping of the Auckland regional fuel tax and an increase to paid parental leave.

The PM spoke at the weekly post-Cabinet press conference, as the Government marks the end of its first quarterly action plan which lasted from April 1 to June 30.

In the Q3 plan, four bills would be passed addressing law and order, including banning gang patches and allowing tougher sentences for recidivist criminals.

“The 40 actions in the Q3 plan span the Government’s core priorities to rebuild the economy, deliver better public services and infrastructure, but a significant focus is on restoring law and order,” a statement from the Prime Minister’s office said.

“In addition to these laws coming into effect, the Government will introduce legislation to toughen up sentencing and ensure there are real consequences for crime, while also launching a military-style academy pilot for serious and young offenders.”

STORY CONTINUES AFTER LIVE BLOG:

Gang legislation

Tom Dillane

Luxon hoped the relevant legislation on police powers to target gangs, such as banning patches, would be passed in August or September. 

Police would then work out how enforcement would work with powers likely to be available to police in October or November.

Fuel tax

Tom Dillane

The PM denied scrapping the Auckland regional fuel tax, which was removed today, would inhibit the ability to pay for and progress large-scale infrastructure projects.

US election

Tom Dillane

Luxon said he'd seen bits of the US presidential debate but wouldn't give his view on it.

He said his job would be to work with whoever the US public eventually elects.

Luxon said any questions about how a Trump presidency would impact New Zealand were premature.

PM to visit flood damaged Wairoa

Tom Dillane

On potential funding for Wairoa after severe flooding, Luxon said he would likely visit on Saturday while Emergency Management Minister Mark Mitchell would be on the ground this week. 

Luxon said he was "open to investing more" in Wairoa, noting the need for an inquiry into actions of the Hawke's Bay Regional Council regarding flood protection.

Mitchell last week said Cabinet would discuss possible Government support for Wairoa after the flooding. Luxon wouldn't say whether Cabinet had agreed on any funding, adding Mitchell would talk about that later in the week.

Te Pukenga disestablishment

Tom Dillane

Asked why the Government had failed to release a consultation document for the disestablishment of Te Pukenga, Luxon said it was a difficult entity to disband. 

On whether that was the fault of Tertiary Education Minister Penny Simmonds, Luxon didn't blame Simmonds and said he'd rather be ambitious and fall short than "not try at all".

Newshub closure

Tom Dillane

Luxon also acknowledged Newshub's impending closure this week and how it would be the media organisation's last presence at a post-Cabinet press conference. He said Newshub had played a "big part in the lives of Kiwis" and thanked staffers past and present.

Quarter-three action plan

Tom Dillane

Prime Minister Christopher Luxon said there was no doubt Kiwis were struggling with the cost of living, repeating what he said yesterday about changes coming into force today including the scrapping of the Auckland regional fuel tax and an increase to paid parental leave.

He referenced the Government's quarter-two action plan and how 35 of the 36 items in the plan had been delivered.

Luxon claimed the quarterly plans enhanced focus and created momentum. In the quarter-three plan, four bills would be passed addressing law and order, including banning gang patches and allowing tougher sentences for recidivist criminals.

The plan would also boost the Government's efforts to make it easier to deliver long-term projects, including advancing the fast-track consenting process.

Tom Dillane

Prime Minister Christopher Luxon will host his weekly post-Cabinet press conference at 4pm today, as the Government marks the end of its first quarterly action plan which lasted from April 1 to June 30.

STORY CONTINUES:

Today is also the first day of the Government’s first Budget taking effect, meaning people are able to begin taking advantage of policies like the “FamilyBoost” childcare tax credit scheme. People will also begin to feel the effect of things that the Government has taken away. As of today, the $5 prescription charge has been reinstated.

Luxon has been keen to talk up the Government’s efforts to reduce the cost of living. This weekend he drew attention to the fact Aucklanders would no longer pay the Auckland Regional Fuel Tax introduced by the last Government but abolished by this one.

Luxon answered questions about an exodus at Government landlord Kāinga Ora following news its chief executive and five directors would be leaving the organisation.

The future of Kāinga Ora and social housing under the microscope

The agency has been under fire after a report by former Prime Minister Bill English raised questions about its financial competence and management. The former board denied that it had managed the agency’s finances poorly, and alleged factual inaccuracies in English’s report. The report recommended a board refresh, which began with the appointment of a new chair, former Spark boss Simon Moutter.

Chief executive Andrew McKenzie will leave the organisation in October. A statement from Moutter said McKenzie had decided to leave after discussions about his role being down-scaled as a result of reforms following the English review.

“I have been discussing the implications of this with our chief executive, Andrew McKenzie, and concluded that the changes are material to his role, reducing its scale and accountabilities significantly, and that was not what he signed up for when he agreed with the board to extend his contract last year,” the note said.

“Mr McKenzie has done an excellent job as chief executive of firstly Housing New Zealand and then Kāinga Ora over the last eight years. During that time he established the new Kāinga Ora organisation, led it through Covid, improved tenant outcomes, built New Zealand’s largest housing construction programme and delivered land that will see tens of thousands of new homes built over the next decade. I wish him well for his career beyond Kāinga Ora,” it said.

The note said that Moutter had asked McKenzie to stay until October to assist with “current change processes” and, following that, to assist the board in “preparing the new Plan that must be delivered to the government in November”.

Moutter said McKenzie’s “departure will be treated as a redundancy consistent with the terms of his employment agreement due to a material reduction in the accountabilities of his role”.

McKenzie will receive his contractual entitlements upon leaving the executive team, including a payment totalling six months of his base salary as compensation for notice and redundancy. This will work out to be roughly $365,000.

The English report had recommended the Government set itself a November deadline for fixing Kāinga Ora’s financial situation.

The statement did not mention the state of the organisation’s board. Newsroom reported that five of the organisations’ board directors finished up on Sunday. A Kāinga Ora spokesperson could said there was likely to be an announcement about the board at another date.