Act forces Willis backdown on policy costings unit

The Kākā by Bernard Hickey

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Act forces Willis backdown on policy costings unit

ACT opposed Willis plan for policy costings unit to referee 'fiscal black hole' election debates; Officials advised extra 30,000 parent migrants would stretch infrastructure; Awful migrant abuse case

Bernard Hickey

Jul 02, 2025

167

Transcript

Seymour says there is no need for the unit - and he wouldn’t trust what the officials said anyway. Photo: Lynn Grieveson / The Kākā

Briefly in the news from Aotearoa’s political economy around housing, poverty and climate on Thursday, July 3:

Deputy PM David Seymour has forced Finance Minister Nicola Willis to back down on her plan for a long-debated policy costings unit to referee disputes over ‘fiscal black holes’ in election campaigns. Seymour says he doesn’t always trust the officials. See more in The Lead below the paywall fold and in the podcast above.
Officials warned against the creation of a new Parent Boost migrant visa that could increase migration by up to 15,000 per year, saying it would stress already-clogged hospitals. The Government went ahead anyway. See more in The Sidebar.
Some pensioners are turning off their hot water boilers in winter to save money on ever-rising electricity bills. See more in Quote of the day below.
An awful case of migrant abuse has emerged. Satnam Singh, a kebab cook, was beaten up after he asked for 10 weeks of unpaid wages. Number of the day below.
Fresh research shows the precariousness of workers in Auckland, and the scale of the Uber’s missing tax payments in Aotearoa-NZ. See more in Docs of the Day.
Today’s Must-Read is from Nicholas Jones at Stuff on the problems with the public-private split opening up in our health system. See Picks ‘n’ Mixes below.

There’s more detail and analysis for paying subscribers below the fold and in the podcast above. If we get over 100 likes I will open it up in full for public reading, listening and sharing.

‘We don’t think the officials always get it right’

Thomas Coughlan has the scoop this morning for NZ Herald-$ (gift link): Battle for fiscal hole unit ends as Act and NZ First block Nicola Willis’ proposal

He reported New Zealand would not be getting a publicly funded body to cost political parties’ election promises for the 2026 election after Act and NZ First shot down a proposal to create one at Cabinet on Monday.

Finance Minister Nicola Willis proposed amended the Public Service Act to allow political parties access to public service resources up to 10 months before an election to cost their policy promises. A unit in the Public Service Commission would have been created to co-ordinate those requests, funded with $1.2 million.

“I took a proposal to Cabinet this week for an independent budget costings unit and, ultimately, the coalition Government has opted not to progress that proposal.
“The proposal was put forward in line with my pre-election commitment that I thought having an independent costings unit would help inform better political debate. I recognise there are also risks, and ultimately Cabinet took the view that the risks outweighed the benefits.” Nicola Willis quoted by Thomas Coughlan.

Deputy Prime Minister David Seymour told Thomas there was no need for the unit and he wouldn’t trust what the officials said anyway.

“We reject this idea that everything a government department does is right. You can’t have the Government auditing the very election process that’s designed to hold them accountable.” David Seymour quoted by Thomas Coughlan.

The sidebar: ‘Our infrastructure can’t cope’

Jamie Ensor has the scoop this morning for NZ Herald-$ (gift link): New Parent Boost visa: Why Ministers were warned over migrant numbers, health system impact

Jamie cited official advice that the new Parent Boost visa could bring in between 5,000 to 15,000 extra migrants in the first year, with an extra 2,000 to 10,000 in the following years, averaging at around 6,000 per year.

“The Ministry of Health advises that there will be impacts on the capacity of the health system to deliver care for those already living in New Zealand and public health system costs.
“Groups entering under the proposed parent visa, even with additional health screening, are likely to have higher health needs than the average population due to age. They would also impose costs on ACC in the event of an accident.
“Their use of health services (private and public) will place some additional pressure on health system capacity and could impact access to timely, quality health care for those already living in New Zealand.” Officials in a cabinet paper.

Immigration Minister Erica Stanford told Jamie there’s no expectation the upper number of 15,000 will be struck annually and many of those who arrive in New Zealand under the new visa may have come here anyway on another visa. Applicant children also need to earn the median wage to sponsor one parent, with the parent having income at least equal to NZ Super. Parent/s also must have available funds of $160,000 for a single parent and $250,000 for a couple to support themselves, and must buy medical insurance.

“This was always going to be a delicate balance to make sure family reunification is possible while also ensuring New Zealand’s health system is protected and we are managing risks of de facto settlement. That’s why the policy was carefully thought through.” Erica Stanford

Quote of the day: A pensioner turns off her hot water heater

“It’s really hard, but it’s the one thing apart from food that I feel I can control, and I do that by turning off the water …I have a shower then and it stays off for three nights.” Via RNZ Checkpoint last night: Pensioners pinch pennies to pay for power

Number of the day: 10 weeks

10 weeks - The amount of unpaid wages migrant worker Satnam Singh asked for, before a group of six men beat him for three hours with a rolling pin used to make roti and a metal rod used for turning meat rolls on a spit. Singh’s leg was broken in three places and he will need surgery for a badly damaged finger, said Sher Singh, a migrant advocate with the Migrant Rights Network. The beaten man then escaped and crawled away into nearby bushes.

“Then he heard them leave, he heard the car leave, and then he dragged himself towards the road.” A street sweeper then found him lying on the road, Sher Singh said. Via Raphael Franks for NZ Herald: