Anything too big to fail should be publicly owned

Written By: - Date published: 8:30 am, August 31st, 2010 - 96 comments
Categories: business, capitalism, Economy - Tags:

South Canterbury Finance is on the brink of collapse. The plan appears to be for the government to purchase the bad loans from the company at twice their book value, giving SCF the cash it needs to get back on its feet. That’s a dumb idea. The owners of SCF have taken huge profits in the good times, they can’t be allowed to pass their losses on to the rest of us now and continue as if nothing happened.

If an institution is too big to fail and gets a bailout when it gets in trouble, it means the owners can never lose – they get the profits in the good times and in the bad times the taxpayer absorbs the losses. That’s not the way capitalism is ‘supposed’ to work, but all too often that’s exactly how it works – privatise the gains, socialise the losses as the rich milk the rest of us.

That’s not right. If something is so crucial that the government must ensure it remains a going concern then it should be publicly owned, so that the taxpayer gets the profits along with the losses, rather than stumping up for the bill after the rich men’s party turns sour.

So, my proposal is that, if the government decides it can’t afford the cost in guaranteed deposits and the economic ramifications of SCF toppling over, it buys it lock stock and barrel, not the just the crappy parts. The company still has a lot of value. If the government wants to save SCF, it should incorporate its business it into Kiwibank.

If the government won’t do that, there shouldn’t be any bailout. The money to keep the company afloat should come from the people who have made fortunes out of SCT over the years, not the rest of us.

– – – – – – – – – – – – – – – – – – – – – – – – – – – – – –
Jenny has written a guest post with another angle on this affair:

While National MPs claim there is no money to pay teachers or doctors, the government prepares to hand over, up to half a billion dollars to private investors who bet on a lemon.

The lie is, that this must be done for the good of the economy.

It didn’t make any difference in the US and it won’t make any difference here.

Sinking deeper and deeper into recession, the American example shows that the idea that private sector bailouts are good for the economy is pure unadulterated bull. The only ones to benefit from public bailouts of private investment companies and bad banks, were private investment companies and bad banks, their overpaid managers and fat cat shareholders.

The US government and the country at large were impoverished by multi- billion dollar bailouts of bad banks and investment companies.

While wealthy investors were looked after, tens of thousands of average Americans who had their jobs and homes taken from them, due to the malfeasance of these same finance companies and bad banks – were shown no such largesse.

Why can’t New Zealand learn from what has what happened overseas?

The truth is that saving the economy is not what private sector bail outs are all about.

Taking care of the well off, at the expense of everyone and everything else, including the economy, is what it, is all about.

Yesterday, Liam Dann the Herald’s business editor, described how the National government has deemed Alan Hubbard’s “Bad Bank” as a New Zealand’s version of “too big to fail”.

Liam Dann on Hubbard:

Put the probe into his personal financial entities to one side. The real story is South Canterbury Finance – the $900 million liability hanging around the taxpayer’s neck…..
Hubbard lost control of that company earlier this year after it had breached its trust deed. He was removed from the board and given the sentimental title of President for Life.

By that point the Government had already effectively decided the company was too big to fail.

And:

The bad loan “bank” is up to its neck in $600 to $700 million of debt on assets that may yield as little as half of that when they are realised.

When it is euphemistically said that South Canterbury failed to “stick to its knitting” it is the bad bank that people are talking about.

For people on suffering the pain of minimum wages barely enough to pay the rent, without the luxury of spare savings to invest in high finance. It’s a bitter irony that wealthy and middle class investors should have their speculative losses made up by a government that viciously opposed raising the minimum wage. What do these people know about hardship?

While the government continues to do nothing about joblessness and low wages, the question is, how many more millions of dollars will they uselessly throw investors way, as the recession deepens and more finance companies go under?

96 comments on “Anything too big to fail should be publicly owned ”

  1. Yet another case where the losses will no doubt be nationalised and the profits privatised.

    • Carol 1.1

      And I heard on National Radio this morning that builders are already leaving Aussie due to lack of work in NZ.
      http://www.radionz.co.nz/national/programmes/morningreport

      Wouldn’t the government be better to use some of the money (that they clearly have access to), for infrastructure building? This would employ our builders and be an investment for the future, and more value to the average tax payer than the financial elite.

  2. TightyRighty 2

    Funny, back in two thousand and eight, the left were all for bailouts and stimulus spending. we on the right said no way, that’s a sure fire way to ruin. it ruined Steve Piersons blogging persona that’s for sure. and now it’s bailouts with conditions. nationalising something won’t fix the problem and will lump the good (kiwibank) with the bad if we follow your proposal marty.

    SCF should be allowed to fail, that’s capitalism at its finest. tough shit for the people with monies invested, you knew the risk, that is why you accepted such large interest rates. the deposit guarantee scheme is a self fulfilling prophecy that reduced risk for lenders and depositors alike and would always lead to a situation like this. so shame on john key for standing beside the “financial genius” mikhael cullen while he presented this.

    • The left were all for stimulus spending rather than bail outs per se and many preferred that the financial institutions were nationalized, rather than put back on their feet with public money with no strings attached.

      SCF is covered by the deposit guarantee. It may be that it is financially prudent for the Goveernment to act. I prefer fiscal prudence to dogma.

      • TightyRighty 2.1.1

        Financially prudent to remove the downside of risk? even for you that is particularly stupid. The very reason such high interest rates were offered is to signal the risk involved. You would think nothing of a bank charging very high interest rates on lending to a risky project failing, so why not the same when lending to a finance company. nobody steps in to help the banks when their dodgy investments go sour, or nobody should. so why should the government step in now, even if SCF is covered by the deposit guarantee scheme. a scheme that encouraged risk as there was no downside. dogma indeed. funny how you suppourt working for families despite your stated preferences

        • Bored 2.1.1.1

          TR, Its a horrible thing to agree with you….yes the buyer should beware (in this case the person loaning the loan sharks the cash) and yes they should not be bailed out by you and me. Drives me mad that people think that things which look too good to be true are, as you point out high interest rates on deposit should advertise higher risk. My sympathy levels for the depositors, zero.

          • TightyRighty 2.1.1.1.1

            it’s not a horrible thing to agree with me bored, it’s just a painful decision to arrive at.

            the government should provide the framework and civil infrastucture (roads, water supply etc) for business to operate, and probably fund and control any natural monopolies in the market. other than that, it should FRO.

            • Zaphod Beeblebrox 2.1.1.1.1.1

              Regulation of capital markets might be needed- thats how this whole mess began.

            • roger nome 2.1.1.1.1.2

              Don’t be so quick to agree with him BORED. TR’s a jerk-off of the highest order (i.e. i sometimes think that he’s “insolent prick” under a different persona), which makes him hard to agree with. That said, there really is no reason to agree with him this time.

              There’s also no reason why “we the people” should accept the usurous practices involved in the finance and/or fractional reserve-abusing private banking sector.

              Here’s an idea. Why not nationalise the whole banking industry? That way all the many billions of dollars syphoned off to Australia every year would stay in New Zealand, and we’d have deeper capital markets, meaaning higher labour productivity, which allows for higher wages. It ain’t rocket science, and it’s one of the main reasons for us lagging so far behind Australia.

              Further more, the money made by the government through the collection of interest could be use to fund public services, and lower the tax burden.

              Fortunately you don’t have to worry about TR agreeing with you on this because:

              a) It surves the interest of the people instead of the elite.

              b) It’s quite simply too rational.

              • TightyRighty

                wow, you’ve really tried to package this as electable policy haven’t you roger? I bet it looks pretty awesome from where you are sitting in your ivory halls.

                the problems start where we would go back to the pre-privatised telecom days. people waiting six months to figure out whether or not they can get a bank loan and other opportunities slipping by as public servants faff around due to their lower appetite for risk.

                And they don’t really end. Frankly, if you trust the government to not dip into the public funds (worse than they already do) at their disposal to fund pet or pork barrell projects, you’re on a hiding to nothing. serving the people this idea won’t do, as their will be no competition in the market and no incentive for the only bank to improve service or meet the market on price or needs.

                far better to adopt a policy similar to australia’s “four pillars of banking”. ie encourage through government subsidies via tax breaks or loan guarantees, the stable New Zealand financial instituitions like PSIS, TSB and Kiwibank to become the dominant banks in the New Zealand banking market. it’s not anti-competitive as the australian government is practically doing the same back in aus with the owners of our big four banks. this way you also retain the intra-New Zealand sense of competition and achievment, and keep temptation away from those who can obviously not be trusted with it. like the government.

                • TightyRighty

                  i’ll just add this here as an edit, the edit box is doing it’s jumping thing

                  the governmnet subsidies should be removed as the NZ financial institutions gain market share eventually petering out. I wish the government wern’t involved, but it may be the only way to ensure we return a measure of control to our financial markets. it’s more of a PPP anyway as kiwibank is already involved.

                  [lprent: What browser and OS? And what is the jumping thing? ]

                  • TightyRighty

                    IE7? windows xp server edition. it’s just at work, we all run off terminal servers, don’t think it’s your fault.

                    • TightyRighty

                      sorry part two: the jumping thing is where the edit box, if the OP is larger than it, constantly automatically scrolls to the top.

                    • lprent

                      Urrgh….

                      Well I can probably try something close to that when I get home. Terminal services into Server 2003. If I can reproduce it I may be able to do something about it.

                      Ummm – the only thing that I think might cause commenting in reply to a deeply nested comment. The right of the comment area is hidden (ie including the scrolbar).

                      It has been on my aesthetics cleanup list for a while.

                    • TightyRighty

                      LP, I wouldn’t worry. It’s so minor. I know you are a perfectionist and I appreciate it. If you could improve your politics, you might even be useful.

                • roger nome

                  tr:

                  Conversly i could argue that private banks take too much risk in thier lending (hello – where the hell have you been for the last two years?) Much better to have moderate steady growth than the “bi-polar new-right economy”, which is characterised by a boom and bust cycle with high wealth inequality (which leads to higher levels of crime, prostituton, plus physical and mental illness). Why anyone would choose the latter is beyond me.

                  Australia’s banking industry is certainly functioning better for its people than ours. Still, it could do even better with a fully publically owned industry, wich is privately audited by several of the big firms annually (i.e. price waterhouse coopers).

                  You know – a publically owned industry is only as good as its model, and we have certainly had an inefficient model in the past, but it doesn’t have to be the same in the future.

                  That said – most consumer goods and services are obviously better left in the hands of private industry – but there are exceptions.

                  • TightyRighty

                    umm, roger, hate to break this too you, but our (by which i mean australian, kiwibank, psis and tsb) banks have been extremely succesful in the last two years compared to interlopers to australasia ie Bank of Scotland International. But it has resulted in moans from people needing finance that they can’t get it. this is indicative of a relatively (too?) conservative approach to risk. it is our finance compainies that have failed. the two are very distinct.

                    characterising the economy as bi-polar new right boom and bust is one way of looking at it. if you don’t mind being wrong. and i thought gordon brown, champion of the left, fixed all that for us? for as long as money, or something representing it, has been the main means of trade, their have been times of boom and bust. right through from pastoral based economies to industrial based to skills based. funnily enough, the boom times are usually associated with increased global temperature. Just as there has always been inequality. not that that is a good thing or should continue. there are just those who work harder and/or smarter than those around them.

                    there is no way to “model” financial institutions so that they work well if controlled by the government. their are too many inefficiencies, no matter how idealistic you are. the soviet bloc banking systems should serve as a stark reminder and great example.

                    But dream on by all means, that is really what tenure at our academic institutions is all about.

                    • roger nome

                      TR – you reductio ad absurdum dick head, it’s about degrees of inequality and the size of the peak/trough in the business cycle. Duh!

                      Also – there is no monolithic model for state wonership, allthough a Nationalised industry will always respond slightly slower to demand. In the case of the finance industry, i’d say that’s a good thing given madness of free financial markets, where the health of the market is dependant on a herd mentality which is little more rational than a paniced flock of sparrows respondng to a predetor threat.

                      There are ways of ensuring that publically-owned assets are managed responsibally (the official information act coupled with other measures can dramaticaly increase accountability. Your equating these systems with the Soviet model is laughable.

                    • TightyRighty

                      whoop!!11 move over economic gods one and all. Roger has arrived. no longer do you have to think or study. human beings have been declared rational and of a hive mind mentality too. your science is hokey, and you are all fired.

                      Funny how those who make the most money, make it by buying in at the bottom of a cycle. kind of refutes your herd metaphor. usually in a herd, if you go against it, you get picked of by the lions.

                      “There are ways of ensuring that publically-owned assets are managed responsibally (the official information act coupled with other measures can dramaticaly increase accountability”

                      i know it sucks, but you have to get off the lollercoaster, you’re to high above this sign to be riding. so far removed from reality is that statement you made that I take it your weekend is still going?

                      a publically owned asset is vastly different from a financial market. the sheer scale of operations alone would make it unfeasable for one institution to handle everything. I suppose you think we live in the world of harry potter and gringotts are the goblin shit.

                    • roger nome

                      TR – Fine – you’ve stated that you want our economy to be dependant on the whims of the herd (worked out great for economies the world over huh?)

                      You got no argument bitch arse. Lie down and take it like the bottom boy you are.

                  • OleOlebiscuitBarrell

                    Still, it could do even better with a fully publically owned industry

                    I have three words for you: Development Finance Corporation.

                • Vicky32

                  “the problems start where we would go back to the pre-privatised telecom days. people waiting six months to figure out whether or not they can get a bank loan and other opportunities slipping by as public servants faff around due to their lower appetite for risk.”
                  Excuse me? I was around in those days, and you got your Richard Prebble quote wrong – wasn’t it people “waiting six weeks for a telephone” – which actually never happened, BTW..
                  As for the rest of your quote – WTF? Whatever do you mean?
                  Deb

                  • TightyRighty

                    i wasn’t quoting richard prebble, i was referencing a dark time in our economy through a homily. Do you honestly think that government departments are the most efficient at doing business?

                    the rest of my qoute is about how civil servants don’t stick their heads above the parapets as there is no need. therefore, a lower appetite for risk. i suppose you are going to tell me you are a civil servant and that you love risk, therefore you could run a bank.

                    I can sense the screeching about to start from you

                    • Blighty

                      do you really think it took 6 months to get a phone line? you’re just misquoting something prebble made up.

                    • Vicky32

                      Call it screeching if you like – man, are you abusive much?
                      But yes, I do think Government departments are efficient at what they do, but that it isn’t and shouldn’t be “business” – which is a hobby or a religion, but not something that actually benefits society..
                      I am not a civil servant, and I have no interest at all in running a bank…
                      Deb

                    • Draco T Bastard

                      Do you honestly think that government departments are the most efficient at doing business?

                      They do appear to be better than private organisations. Perhaps because they have to deal with reality rather than living in the delusion that is capitalism.

              • KJT

                It is fairly easy to do actually. It can be done through Kiwi bank being allowed to borrow off the back of Government bond rates. Eventually the overseas banks would just disappear as their profits fell. As the Americans are finding people que up to buy Government guaranteed bonds, as they have lost faith in private banking.

                As for government control. If we had democratic control of our government control by single interest groups would be less of a problem. http://direct-democracy.geschichte-schweiz.ch/

    • Draco T Bastard 2.2

      Personally, I thought the Depositor Guarantee that Labour brought in was a bad move. What the government should have done is give everyone an account at Kiwibank where their deposits were guaranteed but those accounts drew 0% interest and weren’t loaned out. Administration would have been paid for through taxes. All other accounts and other banks/finance companies would not be covered.

      Remove the private banks ability to print money and re-designate them as finance companies and the economy would come closer to reality.

      Of course, they wouldn’t do that as the delusion of the capitalist economy needs to be maintained.

  3. Dunno if this is on topic and pardon my ignorance…

    …but if a wealthy ‘foreign’ investor puts in the money to save the bank, it owns the bank ?… and if the bank owns the mortgage, then forecloses on the mortgage then doesn’t the foreign investor own the building and the land ?

    so the only way to guarantee local ownership of the mortgaged property assets is for a local investor to save and buy the bank, except no one in NZ is really in a position to do that bar the gov’t…

    …are the rules surrounding foreign investment and ownership of businesses the same as those for owning land/farms/property ?

    • Bored 3.1

      Its all rather amusing to note the mainstreams commitment (both National and most of Labour) to the globalised economy. All of their precepts and presumptions bow to the “inevitability” of “free markets” independent of the nation state. Economists at Treasury etc worship at the altar of the “market”.

      And now as the “market” fails the grasping hands of “free” capital reach out to the nation state for salvation. How pathetic, let them fail and have the state take over whats left.

  4. grumpy 4

    Correct to a point Marty, but what you are promoting is a form of “Venture Capitalism”. As SCF has more liabilities than Assets it’s purchase price is Zero. Do we know if the “bad bank’s” assets have already been written down? Probably not.

    As the Govt is already in the gun to debenture holders, in effect it will become the “owner” of SCF. Better to move in now and have an orderly transition of debt to other institutions than the taxpayer lose out further in a fire sale.

    There is a profit in this for someone!

  5. insider 5

    Of course none of this is happening because it is now in receivership

    • George 5.1

      Insider, from the Herald: Prime Minister John Key said if SCF went into receivership the liability could be around $600 million, although that would be offset by assets which would be sold or wound up.

      • insider 5.1.1

        Only under the pre-established guarantee scheme, which is a bit like the insurer paying out on a policy you have paid for already rather than someone buying your business.

  6. joe90 6

    These pricks knew six months ago that they could keep taking deposits and carry on with their shitty lending practices because any losses would be covered. Socialise the losses, again.

    Tuesday 16th February 2010

    South Canterbury Finance’s future depends on its acceptance into the government’s deposit guarantee scheme as it approaches $1.1 billion of debt roll-overs between now and when the scheme shifts to new, more onerous conditions in October.

    Maier, the head of embattled lender South Canterbury Finance says the government scheme has created the “unintended consequence” of making itself a necessity in giving investors piece of mind to roll-over their deposits as they come due – something that’s become a headache for the Timaru-based finance

    btw, at least Cullen got a half decent train set, the dipton dipper will be buying a shitty loan book.

  7. George 7

    The Government this morning paid out $1.7 billion to cover investor losses – about $150 million more than it was required to – as New Zealand’s largest locally owned finance company South Canterbury Finance was placed in receivership.

    http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10670109

    • George 7.1

      That’s a $400 loss per taxpayer.

      Or an average $48,500 gain (including 8.5% return) for SCF investors. Meanwhile. teachers are being refused flu shots because they cost too much.

      • Jared 7.1.1

        Since when are teachers being denied the flu shots because of a lack of funds?
        The retail deposit scheme was introduced by Labour, and regardless of the situation now, National couldn’t just deny liability. SCF have paid their dues, although on the outset it does seem unfair to the tax payer.

        • grumpy 7.1.1.1

          I pay for my own flu shot – what’s so special about teachers?

          • Blighty 7.1.1.1.1

            I don’t pay for my own flu shot. in our collective.

            teachers are exposed to more disease. isn’t it going to be in the govt’s financial interests not to have teachers off on paid leave and paying substitutes just for the cost of flu jabs?

            • grumpy 7.1.1.1.1.1

              How are teachers exposed to more disease? They have the same exposure as any other person in the school – who then go home and infect everyone else?

              • Blighty

                kids are the main vectors for infectious diseases like the flu. teachers spend their days in rooms with dozens of kids. parents do not.

                • grumpy

                  But – parents spend their days in rooms with kids who spend the rest of their days in rooms with other kids – so what is the difference again???

                  • Blighty

                    the number of kids.

                    say your odds of being exposed to the flu by being in a room with a child during flu season are 1% per child per day. Who has greater odds of being exposed – a parent with two kids or a teacher with 30?

                    seems like someone needs to go back to school.

                    • grumpy

                      No thanks, it’s full of teachers.

                      It is the same because the 2 kids have the same exposure as the teacher!

                      Just as the teacher’s partner etc. has the same odds. Remember all that STD advertising that you are in contact with whoever the person next to you has been in contact with?

                      Hope you are not a maths teacher.

                    • Draco T Bastard

                      30 kids in a class means that the concentration of the bug in the air will be higher which means that the chance of catching the flu will be higher as well.

                    • Blighty

                      the kid may have the same odds as the teacher, but the issue is whether teachers should get free flu jabs when you don’t – remember this? “I pay for my own flu shot – what’s so special about teachers?”

                      And the reasons why are

                      1) teacher has much higher exposure than you do.

                      2) when the teacher is sick, they have to call in a substitute at extra cost – that’s not the case in most jobs.

            • Herodotus 7.1.1.1.1.2

              I think you will find many schools(primary from experience) aready pay for these jabs, I take it the same occurs at Secondary schools, all this would be doing is formalising what is already being implimented in practice.

        • joe90 7.1.1.2

          National couldn’t just deny liability.

          Did the dipton dipper and co know that SCF was in trouble when the scheme was extended earlier this year?.

        • Loota 7.1.1.3

          Flu shots are not great at preventing sick leave. They are just not that effective. Most studies show only a minimal to zero helpful effect on sick days taken.

          In other words they are a waste of money for most working age adults.

          And by the way, NZ hospital nurses have a take up rate of the flu jab of roughly 16%: and they certainly get it for free, on site, they don’t even have to leave work to get it.

          • Draco T Bastard 7.1.1.3.1

            In other words they are a waste of money for most working age adults.

            That’s how I’ve always viewed them. I think it’s more that pharmaceutical companies found a cheap way to make more profit for no advantage to the society.

          • insider 7.1.1.3.2

            That could be behavioural not illness linked. I suspect the employers who do free shots are pretty clear in their culture that employees should not come to work if sick, which could ‘inflate’ absent days.

            Similarly I;ve heard stories that companies with unlimited sick leave have no greater issues than those with only 10 days a year. It’s mainly to do with company culture and attitude.

  8. grumpy 8

    Might not be too bad, the cows are still eating grass and producing milk. If any have to be sold, we know (a la Crafar) that there are overseas buyers willing to pay over the odds to vertically integrate our farms to their manufacturing and distribution. Govt might even make a profit.

  9. Herodotus 9

    Does not the guarantee only relate to deposits and not the interest? So if that is the case then as others have mentioned , if the loan sheet is strong and there is only cash flow timing then my taxes and yours are only supplying bridging finance, and there is a “surplus” somewhere in the murky mud. Farming is booming, just look at butter PnS $4.19/500 gms milk prices, milk fat, Fonterra shares as a security for the farmers loans, So if you and I stump up with the money who still owns the loans? and what return does the tax payer get for funding this bridging finance, 0% return, which is a negative return in NPV terms?

    • grumpy 9.1

      Interesting point about the Fonterra shares…………

    • Blighty 9.2

      it appears we do pay the interest too. treasury has already handed over the money to pay the depositors, and I guess it gets paid back from whatever the receivers manage to liquidate the assets for in a fire sale.

      Not going to be the best result for the Crown accounts, unless Kiwibank buys the loans..

      • Zaphod Beeblebrox 9.2.1

        Hopefully the butterfat market picks up next year or two. If it does govt could make a handy profit.

        • Blighty 9.2.1.1

          but the govt doesn’t own the assets. it will just get repaid by the recievers to either the amount they put in or the total value of the assets, whichever it lower. the owners will get anything remaining once the govt has been repaid.

          so, no potential upside for the govt/taxpayer. guess marty is right, we should have bought the thing, then the govt would pocket any upside, not the owners.

          now, we’re just paying its depositors and hoping the cash will turn up to get our money back (wihtout any interest) eventually –

          all downside risk held by us, all upside by the owners.

        • insider 9.2.1.2

          Unlikely. The properties were overvalued by the looks. There will need to be a big adjustment downwards to sell, which implies a loss on the loan.

          If kept, any future super return is unliekly because the properties concerned will have to be outstanding performers to recoup the price originally paid/loaned due to the effect of compounding. But if they were outstanding properties, then the loans wouldn’t have been duds in the first place.

      • Herodotus 9.2.2

        Bit late now, but should that not be where the depositors carry some of their risk? Sure for on going funding and security from investors guarantee the initial deposits, but then these same depositors are gaining from the supposed increase of their returns, that reflects the increase of risk, otherwise why should they benefit from the increased returns, we might as well have sent all our savings to these organisations and received the extra 1 or 2% reward for the massive risks that were beyond the real rate.
        I suppose there is some consulation of RWT to claw back 19% of the interest paid out. That is I give you 5 and I get 1(The beatles was some much better from taxman ..
        Let me tell you how it will be;
        There’s one for you, nineteen for me.
        ‘Cause I’m the taxman,
        Yeah, I’m the taxman.
        Anti spam word Key .. he does get in everywhere …

  10. Uroskin 10

    As someone else said in another thread: just sell Timaru to the Chinese for $1.5bn and be done with it.

    • grumpy 10.1

      SCF just happens to be based in Timaru – it’s borrowers are NZ wide. what you say is correct – just think of a lot of Crafar farms on the market – all going to China!

  11. Scott 11

    There was no bailout of SCF, and the government was indicating yesterday there would be none.

    These posts seem to be attacking the government for planning to do something it never had any intention of doing.

    • Loota 11.1

      OKAY, that’s clear as mud.

    • Blighty 11.2

      the deposit scheme bails out depositors and any gain on sale of assets goes to the owners… still a form of corporate welfare

      • Scott 11.2.1

        No, the guarantee scheme means the Govt is effectively first secured creditor over the assets of SCF and will take everything that comes from any sale of SCF’s assets. The owners of SCF will get nothing, because its assets won’t be sufficient to cover the Govt guarantee.

        • Blighty 11.2.1.1

          yeah, if those assets don’t appreciate in value. Others are saying the govt could end up making a profit but it can’t.

          At best it will get its money back and lose its cost of borrowing over that time.

          If there is any profit from those assets being liquidated, it will go to the owners… no downside for the owners, all negative risk and cost of borrowing borne by the government, all upside for the owners.

          • Scott 11.2.1.1.1

            No downside? Hubbard pumped tens of millions into the company and has almost certainly lost the lot. This is an unmitigated disaster for the owners of SCF, whichever way you look at it.

            • Blighty 11.2.1.1.1.1

              he put that money in before now. the point is that by going into receivership rather than the govt buying the loan book for fair value, any improvement in value is enjoyed by the owners and, even in the best case scenario, all the taxpayer gets is a bill for the $1.7 billion we just borrowed.

              • insider

                If the fair value of the loan book was sufficient, the company wouldn’t be in receivership. Why on earth would the govt do that?

                The fair value was a fraction of the exposure to depositers, that’s why it’s insolvent. The people with SCF loans still have to pay them back.

                ‘the owners’ of SCF are unsecured. The Govt will get any money from the business well ahead of the owners. The improvement in value needed before they get any money is so large as to be considered impossible.

                • Blighty

                  yeah, and that’s why I’m talking about downside and upside risk – not certainity.

                  Govt has downside risk of not getting all its money back (and wil lose its cost of borrowing anyway). No upside risk.

                  Owners have upside risk of getting anything left over once govt has been paid out. No downside risk.

                  Owners get to keep the profits they pocketed while the company was being run into the ground

                  If govt had bought the business at fair value, it would carry both downside and upside risks, not just downside.

                  • Scott

                    Considering Hubbard and interests controlled by him own a large part of SCF, I’m sure any profits he may have extracted will be more than offset by the potentially hundreds of millons he is now about to lose.

                    You keep talking about the potential upside to the owners. Only an extreme optimist would see any upside. It doesn’t sound like there’s any realistic prospect of the government recouping its money. Even if there is a bit left over, Hubbard and other owners will not get back everything they put in.

                    If the government had bought the loan book at “fair value” (supposing that could even be reasonably determined – Allied Farmers thought it got a good deal on the Hanover loan book and look what haoppened there), what then? The company would still have an enormous debt and would collapse, leaving the taxpayer to pick up the pieces under the RDGS.

                    • Blighty

                      “It doesn’t sound like there’s any realistic prospect of the government recouping its money.”

                      and that’s true in either a scenario where the govt just does what it has done, or where it buys SCF. At least the second way, the govt has the chance of making money if things go well – it doesn’t when it’s just a creditor.

                    • Scott

                      There is no prospect of the Govt recouping its money under the most optimistic assessment of the situation, regardless of what it did or ends up doing. It’s moot.

        • BLiP 11.2.1.2

          The owners of SCF will get nothing, because its assets won’t be sufficient to cover the Govt guarantee.

          Except the huge fees and exorbitant salaries they’ve garnered in overseeing the collapse of yet another finance company. I wonder how many of them took out credit-default-swap arrangements in the last 12 months. Lets be having their holiday houses, luxury cars, and pensions put into the collective pot – a little personal responsibility, eh? Fat chance.

  12. BLiP 12

    I wrote this a couple of weeks ago – probably bears repeating today:

    W T F ! ! !

    TriOptima, the OTC derivatives market infrastructure provider, today announces that the total notional amounts outstanding for all interest rate derivative transactions reported by the G-14 financial institutions to the Global Interest Rate Trade Repository as of June 30, 2010 was $449.202 trillion.

    Have the banksters and their co-dependant enabling economists learned nothing??

    • nzfp 12.1

      According to 800Million/year company Overstock.com CEO Dr. Patrick Byrne, Wall street is the playground of Russian Mafia (see here)

      According to forensic accountant Harry M. Markopolos or Harry Markopoulos, the man who caught Bernie Madoff – Madoff was Russian Mafia. (see here)

      Bankster/Gangster

      • BLiP 12.1.1

        That ain’t the half of it.

        This was no isolated incident. Wachovia, it turns out, had made a habit of helping move money for Mexican drug smugglers. Wells Fargo & Co., which bought Wachovia in 2008, has admitted in court that its unit failed to monitor and report suspected money laundering by narcotics traffickers — including the cash used to buy four planes that shipped a total of 22 tons of cocaine.

        The entire global financial system is the play thing of criminals.

        • Draco T Bastard 12.1.1.1

          And that surprises you?
          The entire global financial system was designed by the criminals.

          • BLiP 12.1.1.1.1

            Not surprised – just saying. Its been a few years since I first saw this series of vids. Kind of explains how it all came about – perhaps a little simplistic but accurate all the same.

    • Bored 12.2

      One million million = one trillion so if total Global Interest Rate Trade Repository as of June 30, 2010 was $449.202 trillion, or in other terms $449 million million US$s, trifling small change for the giant intergalactic mega banks BUT if the world population is 7000 million it represents a mere US$ 64,142 per person on Earth owed. I would not want to be the person trying to collect the debt. What a laugh.

  13. Herodotus 13

    So what have we learnt in class today?
    Nat cannot manage and Lab screwed the workers by underwritting our taxes to fund the lifestyles of the rich and famous.
    So thanks to Michael Cullen for setting up the framework of “Capitalisation of profits and socialise the loss.”
    So National and Labour are both crap, and in a few years time when historians review the early part of the 21st century the students will wonder in amazement at our stupidity. We had Muldoon, then Lange & co , followed by Bolger & co then Clark, as NZ sinks deeper in the crap, unless you are rick then these fine PM’s will look after your interests at the expense of the voting & tax paying public.

    • KJT 13.1

      On with the revolution…..??

      In 1941, the editor Edward Dowling wrote: “The two greatest obstacles to democracy in the United States are, first, the widespread delusion among the poor that we have a democracy, and second, the chronic terror among the rich, lest we get it.”

  14. john 14

    Continuing privatization of taxpayer’s wealth,intended to help all New Zealanders with social provision, and the enfeeblement of the State until like the US all wherewithal is in the hands of the rich and the State has no substance to help its own people as happened with post katrina in New Orleans.Bodies left on the streets for days, that’s the result of neo-liberal gutting of the Public Sector. Let the free market work here they so admire let the investors take a hair cut! The object of neo-liberal Governments is to become no more responsible for anything than receiving the dosh and handing it out to their mates. The free market economy,privatized, is supposed to run automatically,that’s john’s attitude that’s why he’s so laid back!

  15. bobo 15

    John Key has to protect his reputation in the countries that matter to him such as America for his post PM corporate career. I bet the trip to see the queen cant come soon enough while letting Bill stay behind and take one for the team. Looks messy ahead..

  16. Carol 16

    Did I just hear right on TV3 news? Duncan Garner was sceptical about the government (tax payers) getting back the loan used to finance SCF’S crash. Garner said that usually the failed finance companies don’t result in the bail-out loans being repaid. But then Garner said, the government’s action today will keep the investors, and Nat’s heartland voters in the south happy, so Nat’s poll ratings won’t sufer. So Garner concluded from that, that it was the right action on the part of the government…..???!!!

    • Vicky32 16.1

      That is Garner for you! (He’s a business parter of Rodders Hide, AFAIK)
      Deb

    • Jenny 16.2

      This has echoes of George Bush’s statement, “What some people call the elite. I call my people.”

  17. Jenny 17


    Social Welfare for the Rich?

    It is said that because of our remoteness, everything in New Zealand happens a year after the rest of the world.

    So why can’t we learn from this?

    Prime Minister John Key confirmed the cost to the taxpayer could be as much as $700 million under the Government’s deposit guarantee scheme if South Canterbury Finance falls over.

    Finance Minister Bill English has cancelled a trip to Hong Kong and Singapore to deal with any fallout.

    The finance company owes more than 35,000 depositors and debenture holders about $1.7 billion, with $1.5b of that covered by the Government’s guarantee.

    However, the latest assessment is that its bad loans would leave a shortfall of about $700m owed to depositors and investors – a cost that would have to be picked up by taxpayers.

    Key confirmed yesterday that taxpayers were also liable for interest on deposits guaranteed under the scheme, which in SCF’s case is as high as 8.5 per cent.

    Canterbury Employers Chamber of Commerce head Peter Townsend said the impact if the company was allowed to fail would be “gigantic”.

    Peter Townsend should be made to quantify what he means about a “gigantic impact” If South Canterbury Finance is allowed to fail.

    Does Townsend just mean a “gigantic impact” for wealthy investors?

    Probably…

    I am sure that Townsend would think this. Because the collapse of South Canterbury Finance would have a “gigantic impact” for middle class investors and rich speculators.

    But what if it was allowed to fail?

    Detractors of bank bailouts in the US pointed have pointed out, that if the finance companies had been allowed to fail, instead of being artificially propped up, this would have seen a gigantic drop in speculative overpriced property market.

    The US government could then could have bought all these assets at a fraction of the bailout cost.

    Because the government could have bought up all these assets at a fraction of the cost of bailing out the parent finance companies. This would mean that the government could then afford to re-negotiate all these mortgages at much lower and affordable rates, allowing thousands of homeowners to stay in their homes.

    By putting government money into bailouts only serves to re-inflate an overheated, overpriced, speculative property market, effectively locking out working people from home ownership causing a crash in the building industry. And for working families with home mortgages but on low wages, bailouts, by propping up speculative high mortgages, virtually guaranteed tens of thousands of US mortgagee sales.

    All the bailouts did was help pad up private speculative profits and massive salaries of the financiers at the expense of the working poor and the real economy.

    On one hand the government is saying there is no money to give to teachers or healers but there is hundreds of millions of dollars to give unproductive speculators.

    Multi-millionaire John Key’s Social Welfare safety net for the well-off combined with vicious attacks on working New Zealanders is;

    Government for the Rich, by the Rich, and of the Rich

    (My apologies to Abraham Lincoln)

  18. BLiP 18

    Who are the foreign investors John Key made sure got their money back?

Links to post

Recent Comments

Recent Posts

  • Not political in the slightest
    In one way it was phenomenally dull, in another fascinating. He had never met people with such certainty before. Jews and Catholics were less. Irish ugly, Chinese and Aborigines not even human. They did not think such things. They knew them.The Narrow Road to The Deep North Richard Flanagan Wellington ...
    More Than A FeildingBy David Slack
    2 hours ago
  • CHRIS TROTTER: Democracy denied
    Political Intervention From Above: From the early-1970s on, lobbying firms and think-tanks have grown like Topsy all across the capitalist world. Had the progressive middle-class not drawn its teeth and clipped its claws, an angry working-class might have risen to meet the Robber Baron’s challenge as it did in the 1890s, ...
    Point of OrderBy poonzteam5443
    19 hours ago
  • Aotearoa Divided.
    Hey, hey, heyThere's no need to panicThis is just how it isYour pulse is fast and franticAnd it feels like you'll explodePanic isn’t the right word, although sometimes I feel a bit that way when I think about things. Despair is probably more accurate. And sadness. Those are the things ...
    Nick’s KōreroBy Nick Rockel
    19 hours ago
  • The Hoon around the week to Feb 23
    Luxon says Kiwis need to face the ‘brutal facts of our reality’, but the evidence shows our financial position is nowhere near as troubling as in 1991 and even if it were, the advice of the ‘financial grown-ups’ of the world is to avoid pointless austerity measures. Photo: Lynn Grieveson ...
    The KakaBy Bernard Hickey
    20 hours ago
  • Hell of a week
    Hello! Here comes the Saturday edition of More Than A Feilding, catching you up on the past week’s editions.Friday: Week in review, quiz style1. What did the Atlas Network do in Aotearoa this week?a. Got a tobacco whistleblower firedb. Got Michael Bassett to ghost-write legislation c. Planted Kompromat on John Campbell d. ...
    More Than A FeildingBy David Slack
    1 day ago
  • Media chiefs struggle to understand democracy
    Graham Adams writes — Listening to Sinead Boucher speak last week at a parliamentary hearing on the Fair Digital News Bargaining Bill, it was easy to be captivated momentarily by her rhetoric about democracies requiring a strong and free media. Addressing the select committee MPs, she said: “A strong, ...
    Point of OrderBy gadams1000
    1 day ago
  • Do We Take Regulatory Impact Statements Seriously?
    The Sorry Story of Earthquake-Prone Buildings.The Treasury requires that when new or amended legislation is proposed, a Regulatory Impact Statement (RIS) be provided – ‘a high-level summary of the problem being addressed, the options and their associated costs and benefits, the consultation undertaken, and the proposed arrangements for implementation and ...
    PunditBy Brian Easton
    2 days ago
  • Enjoy your weekend in the best little country on the planet in a fragile state under new management
    1. What did the Atlas Network do in Aotearoa this week?a. Got a tobacco whistleblower firedb. Got Michael Bassett to ghost-write legislation c. Planted Kompromat on John Campbell d. Sent Cameron Slater flowerse. None of the above2. According to our one-liner Prime Minister the state of the nation is what?a. Fickle  b. Fragile c. ...
    More Than A FeildingBy David Slack
    2 days ago
  • Comings and goings – McClay heads for Abu Dhabi while our leaders prepare to welcome Indonesia Vic...
    Buzz from the Beehive Not too long after we posted Geoffrey Miller’s article about the challenge facing Trade Minister Todd McClay in Abu Dhabi, the minister announced he will be travelling today to attend the 13th Ministerial Conference of the World Trade Organisation where he will take up his role ...
    Point of OrderBy Bob Edlin
    2 days ago
  • Garrick Tremain’s view…
    ...
    Point of OrderBy poonzteam5443
    2 days ago
  • Bought and paid for
    Candidate donation returns for the 2023 election are out, and surprise, surprise - Shane Jones has been taking money from the industries he is now responsible for regulating: Newly released donation information for 2023 election candidates show the Fisheries Minister received $5000 from West Food Seafood (Westfleet Seafoods Limited). ...
    No Right TurnBy Idiot/Savant
    2 days ago
  • GEOFFREY MILLER:  NZ’s dilemma at the WTO’s big meeting in Abu Dhabi
    Geoffrey Miller writes – New Zealand’s new trade minister is a busy man. Just weeks after taking office in late November, Todd McClay was also elected as vice-chair for the upcoming 13th Ministerial Conference of the World Trade Organization (WTO). A major gathering of trade ministers from the WTO’s 166 members, ...
    Point of OrderBy poonzteam5443
    2 days ago
  • What if Generative AI isn’t the ‘benefit’ or ‘existential risk’ to humanity that it’s be...
    This is a fascinating conversation about the roots, the dangers and hype around AI. Both of these thinkers are so insightful about the issues, and raise issues in context with such clarity.I appreciate them so much. Watch the video from Al Jazeerah English at YouTube or below, and I have ...
    The PaepaeBy Peter Aranyi
    2 days ago
  • MIKE GRIMSHAW: Kiwi populism… and future shock
    Mike Grimshaw writes – The last decade has seen the rise of populism across the Western world as well as more authoritarian populist offshoots in Latin America. Populism occurs on both of (what were) the traditional Left and Right, combining a charismatic leader, socio-economic change and challenges, and ...
    Point of OrderBy poonzteam5443
    2 days ago
  • Are You Old Enough?
    Ten years in the jailer's eyeAnd I'm thinkin' 'bout my babyLooking at my life go byFalling in the streets, I'm brokenAnd I'm laughing at the poor man talking to the blind manIf you could choose anybody to lead Aotearoa, who would it be? Maybe you’d like to see Jacinda back, ...
    Nick’s KōreroBy Nick Rockel
    2 days ago
  • Article Link. “South America’s Strategic Paradox” in MINGA.
    The Latin American multidisciplinary journal MINGA just published my article on “South America’s Strategic Paradox.” I was surprised that they wanted to do so because they have a very clear left-leaning orientation and my article was pretty much a straight-forward … Continue reading ...
    KiwipoliticoBy Pablo
    2 days ago
  • Gordon Campbell on the perils of joining AUKUS Pillar Two
    The lure for New Zealand to join the AUKUS military alliance is that membership of only its “second pillar” will still (supposedly) give us access to state of the art military technologies. As top US official Kurt Campbell said during his visit to Wellington a year ago:We’ve been gratified ...
    2 days ago
  • Geoffrey Miller: New Zealand’s dilemma at the WTO’s big meeting in Abu Dhabi
    New Zealand’s new trade minister is a busy man. Just weeks after taking office in late November, Todd McClay was also elected as vice-chair for the upcoming 13th Ministerial Conference of the World Trade Organization (WTO). A major gathering of trade ministers from the WTO’s 166 members, ‘MC13’ will take ...
    Democracy ProjectBy Geoffrey Miller
    2 days ago
  • Weekly Roundup 23-February-2024
    It’s Friday and here are some of the things that caught our attention this week. This Week in Greater Auckland On Monday Matt asked if the upcoming Regional Land Transport Programme will be another debacle. On Wednesday we ran a guest post from Nick Reid on why the CRL ...
    Greater AucklandBy Greater Auckland
    2 days ago
  • Democracy Denied.
    Political Intervention From Above: From the early-1970s on, lobbying firms and think-tanks have grown like Topsy all across the capitalist world. Had the progressive middle-class not drawn its teeth and clipped its claws, an angry working-class might have risen to meet the Robber Baron’s challenge as it did in the ...
    2 days ago
  • “I Was Hacked!”
    Hi,“I was hacked” is a wonderful excuse for a variety of sins, and it was used to perfection this week by Brian Houston, the New Zealand founder (and disgraced former leader) of toxic megachurch Hillsong.Ladies and girls kissing” Brian tweeted at 11.41pm on Tuesday.It was four words he’d clearly meant ...
    David FarrierBy David Farrier
    2 days ago
  • Child poverty progress reverses to 2019 levels
    It was touted as a focus by the previous government, but what progress was made on reducing child poverty has now been eroded away back to 2019-levels. Photo: Lynn GrievesonTL;DR: Six ‘newsy’ things that stood out for me in Aotearoa-NZ’s political economy and beyond from my reading over the past ...
    The KakaBy Bernard Hickey
    2 days ago
  • The Song of Saqua: Volume V
    Time for another D&D update. Session XI Gunderlun. So the party is back on dry land. First dealings were with the harbour master, who not only requested his fee, but also noted that if Sir Goatslayer (Goliath Monk) is going to have people lugging around his giant tome ...
    2 days ago
  • Skeptical Science New Research for Week #8 2024
    Open access notables Transition from positive to negative indirect CO2 effects on the vegetation carbon uptake, Chen et al., Nature Communications: Here we investigate how the impacts of eCO2-driven climate change on growing-season gross primary production have changed globally during 1982–2014, using satellite observations and Earth system models, and evaluate their evolution ...
    2 days ago
  • Gravity wins, everybody loses
    This government should come with a whiplash warning. Did you hear the Prime Minister just go off about the Black Hole They Left Us? - how much was it, 20 billion? 200 billion? Or was it 2 gazillion billion? God he just gets so excited doing his we were going ...
    More than a fieldingBy David Slack
    3 days ago
  • Gravity wins, everybody loses
    This government should come with a whiplash warning. Did you hear the Prime Minister just go off about the Black Hole They Left Us? - how much was it, 20 billion? 200 billion? Or was it 2 gazillion billion? God he just gets so excited doing his we were going ...
    More Than A FeildingBy David Slack
    3 days ago
  • Willis tells us before dawn about her travel plans and – early this afternoon – she reports on h...
    Buzz from the Beehive Finance Minister Nicola Willis – and press secretary Nick Venter, too, we may suppose – were up and about before sparrow’s fart. Her bags would have been packed and her passport checked. We report this on the strength of an email from Venter which landed in ...
    Point of OrderBy Bob Edlin
    3 days ago
  • ROB MacCULLOCH: Grant Robertson’s new job sends an awful message to students about meritocracy in ...
      The appointment of Grant Robertson as Vice-Chancellor of Otago University has raised hackles – and questions – among academics.  Robertson’s credentials for the job is one issue.  The appointment process is another.  University of Auckland economics professor Rob MacCulloch has posted these three articles in the past few days ...
    Point of OrderBy poonzteam5443
    3 days ago
  • Govt's Budget 'just like a household,' says Willis
    TL;DR: Flying in the face of comments from a ratings agency and a mountain of demand for a new long-term sovereign bond issued yesterday, Finance Minister Nicola Willis has again characterised the Government’s finances as too fragile to borrow in its own right to solve Aotearoa-NZ’s infrastructure deficits. She also ...
    The KakaBy Bernard Hickey
    3 days ago
  • How oil sands undermine Canada’s climate goals
    This is a re-post from Yale Climate Connections Now in his ninth year as prime minister, Justin Trudeau has sought to position Canada as a global climate leader, touting one of the world’s highest taxes on carbon pollution, clean fuel regulations, and clean technology tax credits. Yet Canada’s per-person climate pollution remains stubbornly ...
    3 days ago
  • Untold back-stories: the little things media don't tell us but which are nevertheless pertinent
    ..Thanks for reading Frankly Speaking ! Subscribe for free to receive new posts and support my work.In an article entitled "School donations continue to yield millions of dollars for wealthier schools" on RNZ's website on 19 February, Data journalist Farah Hancock reported on the fees ("donations") that (some) schools were ...
    Frankly SpeakingBy Frank Macskasy
    3 days ago
  • Untold back-stories: the little things media don't tell us but which are nevertheless pertinent
    ..Thanks for reading Frankly Speaking ! Subscribe for free to receive new posts and support my work.In an article entitled "School donations continue to yield millions of dollars for wealthier schools" on RNZ's website on 19 February, Data journalist Farah Hancock reported on the fees ("donations") that (some) schools were ...
    Frankly SpeakingBy Frank Macskasy
    3 days ago
  • Efeso Collins – Gone Too Soon.
    My wife’s breathing was heavy beside me as I woke this morning, still dark. Yesterday, and it’s awful news, came crashing into my head and I lay there quietly crying.Thinking of Efeso’s family and loved ones. Of so many people who knew him and were devastated by the shocking news. ...
    Nick’s KōreroBy Nick Rockel
    3 days ago
  • Efeso Collins spoke in Parliament only yesterday on bill which will regulate social workers (and vot...
    Buzz from the Beehive Prime Minister Christopher Luxon and other party leaders have been paying tribute to Green MP Fa’anānā Efeso Collins, who collapsed and died during a ChildFund charity run in central Auckland this morning, . The event, near Britomart, was to support local communities in the Pacific. Collins, ...
    Point of OrderBy Bob Edlin
    4 days ago
  • This is corrupt
    Earlier in the month, a panel of "independent" experts in Wellington produced recommendations for the future of housing in the city, and they were a bit shit, opposing intensification and protecting the property values of existing homeowners. Its since emerged that they engaged in some pretty motivated reasoning on the ...
    No Right TurnBy Idiot/Savant
    4 days ago
  • Efeso Collins
    God, life can be cruel sometimes can’t it?If only everyone was like him. He was so very warm, so very generous, so very considerate, so very decent. Plenty of people have those qualities but I can think of hardly anyone I've met who had them as richly as he did.Let me ...
    More Than A FeildingBy David Slack
    4 days ago
  • CHRIS TROTTER:  Is applying “tough love” to a “fragile” nation the right answer?
      The Question Christopher Luxon Needs To Ask –  And Answer:  How was it possible for a nation of barely three million citizens to create and maintain an infrastructure that functioned, schools and universities that turned out well-educated and enterprising citizens, a health system that kept its people healthy, and a ...
    Point of OrderBy poonzteam5443
    4 days ago
  • DON BRASH: Is an independent foreign policy really feasible?
    Don Brash writes – A week or so ago, Helen Clark and I argued that New Zealand would be nuts to abandon the independent foreign policy which has been a characteristic of New Zealand life for most of the last 40 years, a policy which has seen us ...
    Point of OrderBy poonzteam5443
    4 days ago
  • YVONNE VAN DONGEN: So proud
    Ratepayers might well ask why they are subsidising people who peddle the lie that it is possible to be born in the wrong body and people can change sex. The preponderance of events advertising as ‘queer’ is a gender ideology red flag. Yvonne Van Dongen writes –  It ...
    Point of OrderBy poonzteam5443
    4 days ago
  • S&P slams new Govt's council finance vacuum
    Wellington Water workers attempt to resolve a burst water main. Councils are facing continuing uncertainty over how to pay to repair and expand infrastructure. The Wellington Regional Council was one of those downgraded. File Photo: Lynn Grieveson / The KākāTL;DR: Ratings agency Standard & Poor’s has downgraded the outlooks for ...
    The KakaBy Bernard Hickey
    4 days ago
  • Grant Robertson Resigns.
    Yesterday the man that I admire most in NZ politics called time.Around the middle of yesterday news began to filter out. People were posting unconfirmed reports that Grant Robertson was taking a new role as Vice-Chancellor at Otago Uni. Within an hour it became clear that he was indeed retiring ...
    Nick’s KōreroBy Nick Rockel
    4 days ago
  • Auckland’s City Rail Link will fail immediately… in the best possible way
    This post was originally published on Linked In by Nicolas Reid. It is republished here with permission. Here’s the thing: the City Rail Link is almost certainly going to be overcapacity from day one, with crowding on the trains at peak times. In the simple terms of popular transport ...
    Greater AucklandBy Greater Auckland
    4 days ago
  • You can’t always get what you want
    Grant Robertson is leaving Parliament for two new careers, having been frustrated and blocked from achieving some of his biggest political ambitions. So, he is returning to Dunedin, and, unusually for a former finance minister, with seemingly no ambitions to enter the business world. Instead, he will become Vice Chancellor ...
    PolitikBy Richard Harman
    4 days ago
  • At a glance – Was Greenland really green in the past?
    On February 14, 2023 we announced our Rebuttal Update Project. This included an ask for feedback about the added "At a glance" section in the updated basic rebuttal versions. This weekly blog post series highlights this new section of one of the updated basic rebuttal versions and serves as a ...
    4 days ago
  • Sharp-elbowed and loving it
    It doesn't seem to take a lot to persuade someone who feels they work their guts out that in fact no one is working as hard as me.It doesn't seem to take a lot to persuade someone who knows somebody taking the welfare system for a ride that they’re all ...
    More Than A FeildingBy David Slack
    5 days ago
  • Sharp-elbowed and loving it
    It doesn't seem to take a lot to persuade someone who feels they work their guts out that in fact no one is working as hard as me.It doesn't seem to take a lot to persuade someone who knows somebody taking the welfare system for a ride that they’re all ...
    More than a fieldingBy David Slack
    5 days ago
  • Then why did she do it?
    Earlier in the month, Cancer Minister Casey Costello was caught lying to the media about whether or not she had requested advice on cutting tobacco excise tax to benefit the cancer industry. She repeated her lies in Parliament. But today, she stood up and pretended to apologise for "causing confusion" ...
    No Right TurnBy Idiot/Savant
    5 days ago
  • Is Applying “Tough Love” To A “Fragile” Nation The Right Answer?
    The Question Christopher Luxon Needs To Ask –  And Answer: How was it possible for a nation of barely three million citizens to create and maintain an infrastructure that functioned, schools and universities that turned out well-educated and enterprising citizens, a health system that kept its people healthy, and a workforce ...
    5 days ago
  • The limits to realism.
    Realism is a school of thought in the field of international relations (IR). It provides a theoretical framework for analysing the behaviour of States in the world political system. Like other theories (which in the IR literature include idealism, liberalism, … Continue reading ...
    KiwipoliticoBy Pablo
    5 days ago
  • UNSOCIAL MEDIA – Following the Trolls
    From TODAY FM archives — Wilhelmina Shrimpton and Simon Morrow take a deep dive into trolling and cyberbullying. From the high profile to the general public, Kiwis across all walks of life are being targeted, and some are paying the ultimate price. So what drives us to troll, who is ...
    The PaepaeBy Peter Aranyi
    5 days ago
  • Govt prescribes stiff medicine for some beneficiaries while easing access to drugs containing pseudo...
    Buzz from the Beehive One of two new announcements on the government’s official website  – given plenty of publicity by the mainstream media over the past 24 hours – has been pitched as the first steps in a “reset” of the welfare system.  Stiff medicine for beneficiaries, in effect. The ...
    Point of OrderBy Bob Edlin
    5 days ago
  • We’re not as fragile or as lazy as Luxon says
    Luxon says his government is one that is “prepared to make those hard decisions”. File Photo: Lynn Grieveson / The KākāTL;DR: Prime Minister Christopher Luxon has adopted the language of Ruth Richardson before her 1991 ‘Mother of All Budgets’ in arguing for benefit sanctions to bolster the Government finances, which ...
    The KakaBy Bernard Hickey
    5 days ago
  • Talking over the Silence.
    Please open the doorNothing is different, we've been here beforePacing these hallsTrying to talk over the silenceIf I was to describe what I do, or at least the way it sometimes feels, then talking over the silence wouldn’t be a bad way to do so.Not that there aren’t other voices ...
    Nick’s KōreroBy Nick Rockel
    5 days ago
  • LINDSAY MITCHELL: National needs to go further
    Lindsay Mitchell writes – In today’s State of the Nation speech Christopher Luxon talked repeatedly about getting young people off welfare. It seems that National has devised a traffic light system which will use increasing levels of sanctions – welfare deductions – when beneficiaries fail to meet their ...
    Point of OrderBy poonzteam5443
    5 days ago
  • Gordon Campbell on National spreading panic about the economy
    It is a political strategy as old as time. Scare the public with tales of disaster and stampede them into supporting your ideological agenda because they believe There Is No Alternative. Yet, if the NZ economy truly is as “fragile” as PM Christopher Luxon says it is… Then how come ...
    5 days ago
  • The promise of passive house design
    This is a re-post from Yale Climate Connections by Sarah Wesseler Imagine a home so efficient that it could be heated with a hair dryer. That’s the promise of a passive house, a design standard that’s becoming increasingly popular in the architecture community for its benefits to occupants and the climate. ...
    5 days ago
  • Deep in the Uncanny Valley of AI
    Hi,Before we get started, some very big fun Webworm news. I am launching a new journalism fund called Big Worm Farm!A really great thing that’s happened with Webworm over the last four years is that it’s grown. That’s great for a few reasons.Firstly — it means the work here gets ...
    David FarrierBy David Farrier
    5 days ago
  • Introducing: Big Worm Farm
    Hi,I’m excited to tell you about Big Worm Farm.Put simply, the main aim of Big Worm Farm is to support investigative journalists from around the world to be able to devote dedicated time to research and report on a specific story, to be published on Webworm.The stories will capture the ...
    David FarrierBy David Farrier
    5 days ago
  • Why Massey is broke
    The Tertiary Education Commission has named the two universities it says are at high risk financially. They are Massey and Victoria. The Commission appeared before Parliament’s Education Select Committee yesterday and offered a revealing and rare insight into the complex world of university economics. Its Briefing to the Incoming Minister ...
    PolitikBy Richard Harman
    5 days ago
  • You keep Luxin' when you oughta be thruthin'
    Christopher Luxon’s campaign to win last year's election continued yesterday with a speech.Channelling possibly Bruce Willis in Die Hard, he was all, I'm not going to dress it up, I'm going to level with you guys: the state of the nation is fragile.The thing he’s maybe missing is that it ...
    More Than A FeildingBy David Slack
    6 days ago
  • The PM spoke of the need for tough choices – and then opted to beat a retreat when gays and Gaza a...
    Buzz from the Beehive The PM’s State of the Nation speech – according to a Newshub headline – was a ‘buffet of buzzwords’ and full of ‘nonsense’. Fair to say, the quoted words were attributed to Opposition politicians, who were unlikely to say the speech was visionary and inspiring: PM ...
    Point of OrderBy Bob Edlin
    6 days ago
  • Keynesian Wisdom.
    When the facts change, I change my mind - what do you do, sir?John Maynard Keynes (1883-1946)This posting is exclusive to Bowalley Road. ...
    6 days ago
  • BRIAN EASTON: Puffing policy
    Public policy towards tobacco consumption remains politically sensitive. Brian Easton writes – In 1983, a young researcher was told by a medium-level Treasury official that Treasury policy was to abandon excise duties on tobacco. The senior Treasury economist that I consulted, famed for his commonsense, snorted ‘we ...
    Point of OrderBy poonzteam5443
    6 days ago
  • Is 2.8% per year population growth too much?
    TL;DR: The Government is reviewing migration settings that produced 2.8% population growth last year and is looking at a longer-term strategy of matching population growth to the ‘absorbtive capacity’ of Aotearoa-NZ’s infrastructure.Our population grew last year at its fastest rate since 1947, when large numbers of troops returning from World ...
    The KakaBy Bernard Hickey
    6 days ago
  • Tough Choices & Tough Love.
    I've been trying to hurt youI've been holding you tightI've been learning to love youAm I doing it right?How are you still breathingWith my hands all over your heart?How do we start healingIf we can't keep out the dark?Yesterday the Prime Minister delivered his State of the Nation, for no ...
    Nick’s KōreroBy Nick Rockel
    6 days ago
  • Will the 2024 RLTP be yet another debacle?
    A couple of years ago, Auckland Council and Auckland Transport found themselves in court over the 2021 Regional Land Transport Plan (RLTP). A non-profit alliance for transport decarbonisation, All Aboard Aotearoa, argued that among other factors, the RLTP was unlawful because it failed to give effect to the 2021 Government ...
    6 days ago
  • 2024 SkS Weekly Climate Change & Global Warming News Roundup #07
    A listing of 31 news and opinion articles we found interesting and shared on social media during the past week: Sun, Feb 11, 2024 thru Sat, Feb 17, 2024. Story of the week Based on mission alignment, our Story of the Week is certainly Can we be inoculated against climate ...
    6 days ago
  • Immigration Issues.
    Help is comingI heard a whisperWhite caps turningThe breath of summerA distant drummingAnd liar birds callingEscape the anguish of our pastAnd prayOne of the major challenges of the the 21st century will be the mass migration of human beings around our globe.Some seeking economic opportunities, others fleeing repressive regimes, war ...
    Nick’s KōreroBy Nick Rockel
    7 days ago
  • Trust us, we know what we’re doing
    The best trick the National Party ever pulled was to fabricate their reputation as the responsible ones.This would be the National Party that denied us the New Zealand Superannuation Scheme that—Brian Gaynor wrote back in 2007would be worth more than $240 billion today and would have transformed the New Zealand ...
    More Than A FeildingBy David Slack
    1 week ago
  • The Left’s Timidity
    It is not just Karl Marx – even the most enthusiastic supporters of the market economy (not least Adam Smith) will concede that its normal operation inevitably leads to a concentration of wealth in relatively few hands. Some, at least, of these enthusiasts will accept that such a concentration is ...
    Bryan GouldBy Bryan Gould
    1 week ago
  • OLIVER HARTWICH: Absurd – NZ courts can now decide on climate change
    Oliver Hartwich writes – The World Justice Project ranks New Zealand 7th out of 142 countries on its ‘Rule of Law Index’, narrowly ahead of Australia’s 13th place. However, Australia still has hope – if only because of a recent decision by the Supreme Court of New Zealand. The ...
    Point of OrderBy poonzteam5443
    1 week ago
  • Still waiting on that turnaround
    Hello! Here comes the Saturday edition of More Than A Feilding, catching you up on the past week’s editions.Friday: Week in review, quiz style2. Shane Jones’ demeanour in mocking and deriding climate activists can be observed in what other realm of human behaviour?a. Gleeful little boys pulling wings off fliesb. ...
    More Than A FeildingBy David Slack
    1 week ago
  • Can we be inoculated against climate misinformation? Yes – if we prebunk rather than debunk
    This article is republished from The Conversation under a Creative Commons license. Read the original article written by Christian Turney, University of Technology Sydney and Sander van der Linden, University of Cambridge and first published on February 14, 2024. Adrien Demers/Shutterstock Last year, the world experienced the hottest day ...
    1 week ago
  • Mihi Forbes and the great Atlas conspiracy
    Graham Adams writes — Last week, Mihingarangi Forbes made an extraordinary claim while interviewing David Seymour on Mata Reports, a taxpayer-funded current affairs programme which, she says, looks at events through an “indigenous lens”. She asked him about Act’s links to the Atlas Network, which fosters connections between centre-right ...
    Point of OrderBy gadams1000
    1 week ago
  • Puffing Policy
    Public policy towards tobacco consumption remains politically sensitive. In 1983, a young researcher was told by a medium-level Treasury official that Treasury policy was to abandon excise duties on tobacco. The senior Treasury economist that I consulted, famed for his commonsense, snorted ‘we need the money’. He explained that no-excise-duty ...
    PunditBy Brian Easton
    1 week ago

  • Northland’s new Kāeo Bridge officially open
    Transport Minister Simeon Brown has welcomed the official opening of the new State Highway 10 (SH10) Kāeo Bridge, which will improve safety and traffic flow for people heading to and from the Far North. “This is an important piece of infrastructure for the Northland region that will help members of ...
    BeehiveBy beehive.govt.nz
    21 hours ago
  • Dry weather triggers extra support for farmers and growers across the top of the South Island
    The coalition Government is providing support for farmers and growers as dry conditions worsen across the top of the South Island. “Conditions on the ground across the Marlborough, Tasman, and Nelson districts are now extremely dry and likely to get worse in the coming months,” Agriculture Minister Todd McClay said. ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Trade Minister heads to Abu Dhabi for key WTO negotiations
    Trade Minister Todd McClay travels to Abu Dhabi in the United Arab Emirates for the 13th Ministerial Conference of the World Trade Organisation (WTO) today, to take up his role as Vice Chair of the negotiations. The Ministerial Conference is the highest decision-making body within the WTO and meets every ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Appointment round for King’s Counsel announced
    Attorney-General Judith Collins today announced an appointment round for King’s Counsel will take place in 2024. Appointments of King’s Counsel are made by the Governor-General on the recommendation of the Attorney-General and with the concurrence of the Chief Justice. The Governor-General retains the discretion to appoint King’s Counsel in recognition ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Retiring Chief of Navy thanked for his service
    Defence Minister Judith Collins has thanked the Chief of Navy, Rear Admiral David Proctor, for his service as he retires from the Royal New Zealand Navy after 37 years. Rear Admiral Proctor will retire on 16 May to take up an employment opportunity in Australia.  “I would like to thank ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Indonesian Vice President to visit New Zealand
    Indonesia’s Vice President Ma’ruf Amin will visit New Zealand next week, the first here by an Indonesian leader since 2018, Deputy Prime Minister Winston Peters has announced. “New Zealand and Indonesia have a strong partnership,” Mr Peters says.  “The Vice President’s visit is an opportunity to discuss how we can strengthen ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government boost to fight against caulerpa
    The battle to contain the fast-spreading exotic caulerpa seaweed has today received a $5 million boost to accelerate the development of removal techniques, says Biosecurity Minister Andrew Hoggard.  “The time is now to really lean in and build on the work of Biosecurity New Zealand, mana whenua, communities and local ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Minister attending Australian data, digital meeting
    Minister for Digitising Government Judith Collins is in Sydney to attend the first Data and Digital Ministers’ Meeting of 2024.  “This is a great opportunity to connect with our Australian counterparts and identify how we can work together on digital transformation,” Ms Collins says.   “Both our nations are looking into ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Appointments to Antarctica New Zealand Board
    Foreign Minister Winston Peters has appointed Leon Grice and Heather Simpson to serve on the Antarctica New Zealand board.  “Since taking office, the Coalition Government has become concerned about the direction of the Scott Base Redevelopment Project,” Mr Peters says.  “It is vital that Antarctica New Zealand has the right ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Strengthening the Single Economic Market
    Finance Minister Nicola Willis has met with Australian Treasurer Jim Chalmers to discuss the opportunities to lower business costs and increase the ease with which businesses and people can operate across the Tasman.     “I have met with Treasurer Chalmers and shared our new Government’s ambitious economic goals, our plans ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government to address business payment practices
    The Government will repeal the Business Payment Practices Act 2023, Small Business and Manufacturing Minister Andrew Bayly announced today. “There is a major problem with large market players imposing long payment terms and routinely paying invoices late. “However, the Business Payment Practices Act is not an effective solution and would ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Greater focus on work will reduce child poverty
    Worsening child poverty rates support the Coalition Government’s focus on reducing the cost of living and getting people into work, Child Poverty Reduction Minister Louise Upston says. Figures released by Stats NZ today show child poverty rates have increased, with the rising cost of living, driven by inflation, making it ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • NZ announces new support for Ukraine
    Foreign Minister Winston Peters and Defence Minister Judith Collins have marked two years since Russia’s invasion of Ukraine by announcing further support and sanctions, and extending our military assistance. “Russia launched its illegal, full-scale invasion of Ukraine, in blatant violation of international law, including the UN Charter,” Mr Peters says. ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Finance Minister to meet Australian Treasurer
    Finance Minister Nicola Willis will travel to Australia today to meet her Australian counterpart, Treasurer Jim Chalmers.    “New Zealand and Australia have an incredibly strong trade and investment relationship. The Closer Economic Relations and Single Economic Market are powerful engines for growth on both sides of the Tasman.     “I will ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • PM shocked and saddened at death of Efeso Collins
    “I am truly shocked and saddened at the news of Efeso Collins’ sudden death,” Prime Minister Christopher Luxon says. “Efeso was a good man, always friendly and kind, and a true champion and advocate for his Samoan and South Auckland communities. “Our thoughts and deepest sympathies go to his family, ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Greater support for social workers
    The Coalition Government is enhancing the professionalism of the social work sector and supporting the vulnerable people who rely on them, Social Development and Employment Minister Louise Upston says.  The Social Workers Registration Legislation Amendment Bill passed its third reading in Parliament today. It amends the Social Workers Registration Legislation ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Government delivers greater freedom and choice for sick New Zealanders
    The coalition government is delivering on its commitment to making principled decisions by getting rid of red tape that doesn’t make sense and allowing sick New Zealanders greater freedom and choice to purchase effective cold and flu medicines. A bill amending the Misuse of Drugs Act 1975 is being introduced, and changes to the Medicines ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Government begins reset of welfare system
    The Coalition Government is taking early action to curb the surge in welfare dependency that occurred under the previous government by setting out its expectations around employment and the use of benefit sanctions, Social Development and Employment Minister Louise Upston says. In 2017, 60,588 sanctions were applied to beneficiaries who ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • State of the Nation
    Ka nui te mihi kia koutou. Kia ora, good morning, talofa, malo e lelei, bula vinaka, da jia hao, namaste, sat sri akal, assalamu alaikum. Thank you for coming to my first State of the Nation as Prime Minister. Thank you for coming to a speech where I don’t just ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • West Coast tourism attractions officially open
    Regional Development Minister Shane Jones will attend the official opening of two highly anticipated tourism projects on the West Coast today – Pike29 Memorial Track, dedicated to the memory of the Pike River miners, and Pounamu Pathway. “The Pike29 Memorial Track is a way to remember and honour the men ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Independent ferry service advisory group in place
    Appointments to the Ministerial Advisory Group tasked with providing independent advice and assurance on the future of KiwiRail’s inter-island ferry service have been made, State Owned Enterprises Minister Paul Goldsmith says. “It’s important for New Zealand that KiwiRail is focused on ensuring safe, resilient, and reliable ferry services over the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Joint statement from the Prime Ministers of Australia, Canada, and New Zealand
    The Prime Ministers of Australia, Canada and New Zealand today issued the following statement on reports of Israel’s planned military operation in Rafah. We are gravely concerned by indications that Israel is planning a ground offensive into Rafah.   A military operation into Rafah would be catastrophic. About 1.5 million Palestinians ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Govt will deliver on expanded breast screening
    The coalition Government has made the first steps in delivering on its promise to  extend free breast screening to women aged 70-74, Health Minister Shane Reti says. “As part of the 100 day plan, the Government has now met with officials and discussed what is needed in order for the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government announces woolshed roadshows in support of sheep farmers
    The Government celebrates National Lamb Day (15 February 24) and congratulates sheep farmers on the high-quality products they continue to produce. Agriculture Minister McClay hosted bipartisan celebrations of National Lamb Day with industry representatives at Parliament this week to mark the anniversary of the first frozen lamb exports that left ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Speech: Address to the NZ Economics Forum
    It’s great to be back at the New Zealand Economics Forum. I would like to acknowledge everyone here today for your expertise and contribution, especially the Pro Vice-Chancellor, Head of the Waikato Management School, economists, students and experts alike. A year has passed since I was last before you, and ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government tackling high construction costs
    The Government is focused on reducing sky-high construction costs to make it more affordable to build a home, Building and Construction Minister Chris Penk says.  Stats NZ data shows the cost of building a house has increased by 41 per cent since 2019, making housing even more unaffordable for Kiwi ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Labour’s Three Waters legislation repealed
    The Coalition Government’s legislative plan to address longstanding issues with local water infrastructure and service delivery took an important step today, with the repeal of Labour’s divisive and unpopular Three Waters legislation, Local Government Minister Simeon Brown says. “Repealing this legislation is a necessary first step in implementing our Local ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Cost of living support for beneficiary households
    The Coalition Government is delivering on its commitment to ease the cost-of-living by increasing main benefit rates in line with inflation and ensuring the Minimum Family Tax Credit threshold remains aligned with this change, Social Development and Employment Minister Louise Upston says. The Social Security (Benefits Adjustment) and Income Tax ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Government announces agriculture delegations to better support Primary sector
    The coalition Government has announced ministerial delegations to support key areas across the Primary sector to deliver for New Zealand’s food and fibre sector, Agriculture Minister Todd McClay announced today. “I will be supported in my roles as Minister of Agriculture, Trade, Forestry and Hunting and Fishing, by three Associate ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Waikato MoU reinforces Govt’s commitment to increase NZ doctors
    The Government has taken an important step forward in addressing a critical shortage of New Zealand-trained doctors, with today’s signing of a Memorandum of Understanding for a third medical school, Minister of Health Dr Shane Reti has announced.  “Today’s signing by the Ministry of Health and the University of Waikato ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Speech – Lunar New Year 2024
    Annyeonghaseyo, greetings and welcome all. It is my pleasure as the Minister for Ethnic Communities to welcome you to the first Lunar New Year Event in Parliament. Thank you to our emcees for greeting us in the different languages that represent the many cultures that celebrate the Lunar New Year. ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • More funding to Hawke’s Bay and Tairāwhiti
    Urgent work to clean-up cyclone-affected regions will continue, thanks to a $63 million boost from the Government for sediment and debris removal in Hawke’s Bay and Tairāwhiti.                                                                                                   The funding will help local councils continue urgent work removing and disposing of sediment and debris left from Cyclone Gabrielle.   “This additional ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Budget will be delivered on 30 May
    Plans to deliver tax relief to hard-working New Zealanders, rebuild business confidence and restore the Crown’s finances to order will be unveiled on 30 May, Finance Minister Nicola Willis says. The plans will be announced in the Budget which is currently being developed by Ministers.  “The last government’s mismanagement of ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Government advances Local Water Done Well
    The Coalition Government is continuing work to restore council ownership and control of water assets by repealing Three Waters and appointing a Technical Advisory Group to provide expert advice on the implementation of Local Water Done Well, Local Government Minister Simeon Brown says. “The Government will pass a bill to ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Minister congratulates NZQA Top Scholars
    Education Minister Erica Stanford congratulates the New Zealand Scholarship recipients from 2023 announced today.  “Receiving a New Zealand Scholarship is a fantastic achievement and is a testament to the hard work and dedication the recipients have put in throughout the year,” says Ms Stanford.  “New Zealand Scholarship tests not only ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • New diplomatic appointments
    Foreign Minister Winston Peters has today announced five new diplomatic appointments.  "Strong and effective diplomacy to protect and advance our interests in the world is needed now more than ever," Mr Peters says.  “We are delighted to appoint senior diplomats from the Ministry of Foreign Affairs and Trade to these ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Speech to the Committee for Auckland
    It is great to be here today at this event as Minister for Auckland and Minister ofTransport. Let me start by acknowledging each one of you and thanking the Committee forAuckland for hosting this event and inviting me to speak here today. The Committee for Auckland has been a symbol ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Getting Transport Back on Track in Auckland
    Transport Minister Simeon Brown has today confirmed his high-level transport priorities for Auckland, in the lead up to releasing the draft Government Policy Statement on Land Transport. “Our economic growth and productivity are underpinned by a transport network that enables people and freight to move around safely and efficiently. At ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Government to axe Auckland Regional Fuel Tax
    Transport Minister Simeon Brown has confirmed that the Auckland Regional Fuel Tax will end on 30 June 2024. “Today, I can confirm that the Government has agreed to remove the Auckland Regional Fuel Tax in line with our coalition commitments, and legislation will be introduced to parliament to repeal the ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Minister Calls for Work to Tackle Kina Barrens
    Changes to fishing rules and a significant science programme are being undertaken to address kina barrens, says Minister for Oceans and Fisheries Shane Jones. “There has been tremendous interest from iwi, communities and recreational fishers who had raised concerns about such kina infestations being a major threat to Northland’s marine ...
    BeehiveBy beehive.govt.nz
    2 weeks ago

Page generated in The Standard by Wordpress at 2024-02-24T18:35:00+00:00