Kāinga Ora’s Turnaround Plan is working

Source: New Zealand Government

One year on from the announcement of Kāinga Ora’s Turnaround Plan, the agency is getting its books back in order and improving performance – delivering lower build costs, a strong renewals programme, less rental debt, and higher tenancy satisfaction, Housing Minister Chris Bishop, and Associate Housing Minister Tama Potaka say.

“Kāinga Ora’s turnaround is an excellent example of our Government’s drive to fix the basics and build the future,” Mr Bishop says.

“When we came into Government Kāinga Ora was out of control, with debt on its balance sheet rising from $2.3 billion in 2017/18 to $16.5 billion in 2023/24. Kāinga Ora’s 2023 Board-approved budget also showed debt forecast to grow to $24.8 billion by 2026/27. That’s about 20 Transmission Gullies or 12 New Dunedin Hospitals.

“The previous government threw billions into Kāinga Ora, but they had little to show for it. From 2017 to 2023, the social housing waitlist grew from around 7,000 to over 26,000 applicants at its peak in 2022. Labour also deteriorated the social licence for social housing by doing nothing about anti-social behaviour.

“That situation was unsustainable. Every dollar Kāinga Ora failed to manage properly was a dollar that could not go toward providing good outcomes for New Zealanders who need social housing,” Mr Bishop says. 

“In February 2025, the refreshed Kāinga Ora Board released the Government-endorsed Turnaround Plan, focused on reducing debt, improving portfolio and build management, and getting the agency back to its core purpose of being a good social housing landlord.”

Reducing debt

“In 2024/25, Kāinga Ora had an operating savings target of $41 million compared to the previous Financial Year, but with hard work and strong cost controls, they exceeded this target and delivered $211 million in operating cost reductions,” Mr Bishop says.

“Kāinga Ora’s strong focus on cost control and efficiency has also flowed through to a reduction in debt. 

“Before the Turnaround Plan, Kāinga Ora’s peak debt was forecast to be $29 billion in 2032/33, the Plan brought this down to $21.3 billion, and now – a year into the Plan – debt is expected to peak earlier in 2029/30 at $19.5 billion. That’s a total reduction in peak debt of $9.5 billion, so far.

“These improvements in financial performance have occurred while Kāinga Ora is improving its operational performance – delivering a strong renewals programme, lower build costs, less rental debt, and higher tenancy satisfaction.”

Strong delivery programme

“The Minister of Finance and I made our social housing delivery expectations to Kāinga Ora clear: get your books back in order, get build costs down, then we will consider additional places”, Mr Bishop says. 

“To be clear, this Government is still delivering social housing places that New Zealanders need. In Budgets 2024 and 2025, we funded over 2,000 additional Community Housing Provider (CHP) places for delivery from July 2025 to June 2027.

“But when it comes to Kāinga Ora – for now – the agency is focused on keeping its stock at around 78,000 homes while improving the quality and location of those homes through its renewals and retrofit programme. 

“To help fund this programme, Kāinga Ora is selling old, expensive to maintain, and unsuitable properties such as multimillion-dollar, 1920s villas. By 2030, around 11,500 older homes are expected to be renovated or replaced. 

“It’s a no-brainer to sell homes that are unsuitable for social housing and to reinvest that money into warmer, drier homes that are the right size and in the right locations,” Mr Bishop says.

“In 2024/25, Kāinga Ora delivered a total of 3,456 new homes and 874 upgraded homes. The agency also added 2,564 net new homes to its housing stock, exceeding its target of 2,230.”

Lower build costs 

“In 2022/23, Kāinga Ora’s average build cost per square metre was $3,433. I even recall a 9-unit social housing development in Auckland that cost taxpayers around $11 million just to build – that’s $1.2 million per apartment, which quite frankly is a national embarrassment,” Mr Bishop says. 

“The previous government assumed Kāinga Ora would deliver housing more cheaply than the private sector through economies of scale. They were wrong: Kāinga Ora’s build costs were 12 per cent higher than the private sector. 

“Following the introduction of standardised housing designs and better procurement practices, Kāinga Ora’s build costs are now trending down, with build cost per square metre averaging $3,290 in the first quarter of 2025/26. The agency is also on track to meet its $2,980 per square metre target by June 2026.” 

Better outcomes for tenants and communities

“In addition to improving its finances, updating its housing stock, and bringing down build costs, Kāinga Ora is also delivering better outcomes for whanau and communities,” Mr Potaka says. 

“Tenancy satisfaction is rising, vacancy rates are lower, fewer tenants are in rent arrears, and Kāinga Ora is doing a better job of managing its tenants to support safe, respectful communities. 

“In 2022/23, around 80 per cent of tenants were satisfied with their homes and 70 percent felt safe in their homes and communities. Now, 87 per cent of tenants are satisfied and 90 per cent feel safe.

“More whanau are also making use of Kāinga Ora homes as vacancy rates have dropped from 5% in late 2023 to 2% in December 2025.

“In June 2024, around 8,600 tenants were in rent arrears. As of December, only 5,500 tenants were in arrears – a drop of around 3,000. This reflects clearer expectations, better enforcement, and stronger frontline tools.

“As for the wider community, the previous government effectively did nothing about anti-social tenants, with only two tenancies ended for disruptive behaviour in 2022/23.

“This Government takes anti-social behaviour seriously, allowing Kāinga Ora to take a harder line when needed. In 2023/24, 12 tenancies ended due to disruptive behaviour, and in 2024/25 75 ended.

“Moving tenants on is a last resort and is done in the long-term interests of the wider community, the household, and other people in need on the Housing Register. At some point, enough is enough.

“Kāinga Ora is also doing a better job at taking action and resolving complaints. At the end of 2023, it took Kāinga Ora 72 days on average to resolve a disruptive behaviour compliant, leaving hundreds of Kiwis feeling distressed and ignored. As of December 2025, it now only takes 10 days on average,” Mr Potaka says.

“While there is more work to do, it is clear that Kāinga Ora is getting back on track”, says Mr Bishop.

“Kāinga Ora is now focused on its core purpose of being a good social housing landlord and is delivering better outcomes for tenants and communities, while also delivering better value for taxpayers.

“Ministers would like to thank the Kāinga Ora Board and staff for their hard work in achieving these positive results. 

“The Turnaround Plan shows that clear direction and discipline can deliver significant improvements quickly. Th is Government will continue to hold Kāinga Ora to account.”

Investment Boost driving real investment, lifting productivity

Source: New Zealand Government

The Government’s Investment Boost is already changing investment behaviour, bringing projects forward, increasing scale, and lifting productivity across the economy, Minister for Economic Growth Nicola Willis says.

New Inland Revenue survey data shows the policy is working, tipping investment decisions early, increasing scale, and bringing capital forward.

“Among firms that invested in new assets and were aware of Investment Boost, 40 per cent say it increased their investment spending over the past year, including 11 per cent reporting a significant increase directly because of the policy,” Nicola Willis says.

“Looking ahead, the impact is even clearer. Nearly half of firms planning to invest over the next five years say Investment Boost is positively influencing those plans, with 14 per cent expecting a large increase in investment as a result.

More than half of firms surveyed report changing the timing, scale or type of investment they are making, including bringing projects forward and shifting toward productivity-enhancing assets.

“Inland Revenue modelling shows the policy reduces the effective marginal tax rate on new capital investment by around five to six percentage points on average, making previously marginal projects viable and encouraging more investment to proceed.”

This data underlines the importance of policy certainty to long-term growth.

“When it was launched, Inland Revenue estimated that Investment Boost would lift New Zealand’s GDP by 1 per cent, wages by 1.5 per cent and capital stock by 1.6 per cent over the next 20 years, with around half of those gains expected in the first five years – todays data shows we are well on track to reaching those marks.

“The Government has been clear it backs ownership, investment and stable productivity-enhancing tax policy.

“New Zealand does not grow by taxing more and investing less. It grows by backing ambition, rewarding success, and giving businesses the confidence to invest for the long term.”

Notes to editors:

 Investment Boost changes are already visible on the ground:

  • A Dunedin manufacturer, United Machinists, has brought forward investment in robotics and automation rather than phasing it over several years;
  • Foot Science International in Christchurch has accelerated investment in automation and renewable energy infrastructure, while;
  • Vynco is investing in advanced manufacturing equipment to lift efficiency and expand capacity.

Kiwi startup uses Open Banking to give households a full view of their finances

Source: Press Release Service

Headline: Kiwi startup uses Open Banking to give households a full view of their finances

As the cost of living continues to squeeze household budgets, a local startup is highlighting a hidden problem: many Kiwis cannot see the full picture of their own finances, leaving them more vulnerable at a time when clarity matters most.

The post Kiwi startup uses Open Banking to give households a full view of their finances first appeared on PR.co.nz.

All Whites to take on England

Source: Radio New Zealand

England captain Harry Kane Pressinphoto / PHOTOSPORT

The All Whites will play England as a part of their final preparations for this year’s FIFA World Cup.

The two sides will meet in Florida on 6 June, five days out from the start of the tournament.

England, who went through World Cup qualifying with a perfect sevens wins in their European group, are currently ranked four in the world and New Zealand 85.

The game will see the All Whites face their highest-ranked opponent in 17 years and they will clash with England for just the third time in history.

New Zealand last faced England in 1991, losing two friendlies in Auckland and Wellington.

“Our strategy over the last year has been to take on top-ranked sides to ensure we are in the best place to perform at the tournament, and this match gives us a final opportunity to really test ourselves against one of the favourites,” All Whites coach Darren Bazeley said.

“England are a great side with big names all over the pitch, but we want our players to face that type of challenge so we can work collectively to find solutions against top teams.

“This match should be a great occasion but also a critical part of our final preparation before we face Iran in Los Angeles at the FIFA World Cup 2026.”

Captains shake hands, Stuart Pierce (England) and Malcolm Dunford (All Whites), All Whites v England, Athletic Park, Wellington. 1991. Troy Restieaux / www.photosport.nz

Prior to departing for the World Cup the All Whites will play two home games in March against Finland and Chile as part of the FIFA Series 2026.

At the World Cup, New Zealand play Iran, Egypt and Belgium in group G, while England will face Croatia, Ghana and Panama in Group L.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Pest cull at Auckland’s Western Springs Lake using electrocurrents

Source: Radio New Zealand

Usually, there are only calm currents at Auckland’s Western Springs Lake.

But this week, electrocurrents are being used to stun pest fish and turtles so they can be scooped up, brought to land and killed.

Associate Professor in Biodiversity and Ecology at the University of Waikato’s School of Science, Nicolas Ling, is one of the specialists scooping up hundreds of koi carp, including goldfish and brown bullhead catfish, on New Zealand’s only electrofishing boat.

He said no native species would be harmed by the electrofishing process.

“It puts a pulsed electric current into the water, and it temporarily stuns the fish, which means we can recover them. The native species, we can recover those, and we can put them back in the lake unharmed, and the pest species, we can humanely euthanise them.”

Ling said catfish were most likely released into the lake more than a hundred years ago. Koi were believed to have been introduced into New Zealand in the 1960s.

But he said most of the goldfish and turtles in the lake were people’s unwanted pets.

“People think they’re doing the right thing, you know, when they don’t want their pet anymore, they go and release it into the local lake. And it’s actually the worst thing you can do. If you want to take on a pet, then take it on for the course of its natural life.”

He said they were also removing red-eared slider turtles from the lake.

“Again, these are pets that people have released when they no longer want them. The problem with the turtle is, if you take that on as a pet, it’s a 50-year commitment. It’s a multi-generational pet. They get huge and it becomes very expensive to provide the habitat for an adult turtle. And so people just go and release them, which is a sad thing.”

Associate Professor in Biodiversity and Ecology at the University of Waikato’s School of Science Nicolas Ling. Nick Monro

All of the pests collected were brought back to shore to be killed and then taken off-site to be turned into compost or rendered down to produce natural gas.

While killing the pests was not a pretty sight, Ling said it was necessary.

“These particular species are known to cause negative impacts on water quality. The lake should be nice and clean, but it’s not, and the fish are definitely contributing to that. They stir up the bottom sediments, and that resuspends nutrients back into the water column, which can cause increases in algal growth and bacterial growth.

“The koi and the goldfish eat the plants in the lake, which also take out nutrients.

“Those challenges with water quality mean that it makes it potentially unsafe for recreation around the lake. You don’t want to be touching the water.

“There’s fantastic bird life around here. When the water quality is really poor, they can suffer from a disease called avian botulism.

“And of course, they’re competing with the native species as well. There are lots of eels in the lake, and that’s good to see. There are also īnanga, which are key whitebait species. There’s common smelt in the lake as well.”

The lake was home to three native eel species: the short-finned eel, the long-finned eel, and the Australian long-finned eel, and there are plans to declare the lake an eel sanctuary.

The Waikato University specialists would be at the lake for one week ending on Friday, 13 November, with the council saying there were plans for them to return in the near future to continue the pest removal operation.

Auckland Council Senior Freshwater Advisor Matthew Bloxham. Nick Monro

Auckland Council Senior Freshwater Advisor, Matthew Bloxham, said the council had previously tried other techniques to remove pests from the lake, but this was the first time they had brought in an electrofishing boat.

He said so far it had been a success.

The team at Western Springs had caught Koi weighing up to 14kg. The largest Koi ever caught in New Zealand weighed 15kg.

Invasive fish are being caught and eliminated in Western Springs. Nick Monro

“Not many people realise that they get so large,” Bloxham said.

We’ve found quite a few diseased goldfish in here recently. So, putting them in here doesn’t necessarily give them a better life. It’s actually passing on the problem to somebody else, in this case the environment.

“It’s far better to repurpose that goldfish or re-home it, reach out and see whether anybody’s prepared to take it on and there will be people out there, you know, people love goldfish, they are attractive things after all, but they’re a nuisance when they’re released into the wild.”

It was costing the council $20,000 to rent the electric fishing boat from Waikato University.

“The cost of this operation is not cheap. We’d prefer not to be spending the targeted rate on controlling pests. We’d rather spend it on direct biodiversity outcomes, such as planting trees, but it’s a necessary evil. We have to maintain these fish at really low numbers.”

“It only takes two fish, a male and a female, to breed up and to produce the sorts of volumes that we’re seeing here now. We’ve been fishing all week, and so far we’re just under 300 kilograms of fish. That’s hundreds of fish.”

Auckland Council Senior Freshwater Advisor Matthew Bloxham says eradication is the goal, but that won’t happen if people keep putting their goldfish in the lake. Nick Monro

Bloxham said eradication was the goal, but that wouldn’t happen if people kept putting their goldfish in the lake.

“If ever we do achieve eradication, and we’d really like to, that is our end goal, it’s so easily undone by somebody otherwise well-mannered person who thinks they’re doing their gold fish a favour and then just quietly, surreptitiously emptying them into the lake, and suddenly we’re back to square one.

“The big message that we’re trying to get out is that if you’re contemplating, you’ve reached the end of the year, and you’ve got a pet, you don’t know what to do with it, don’t release it into your waterway.”

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Britney Spears sells rights to music catalogue in reported $330m deal

Source: Radio New Zealand

US singer Britney Spears has become the latest musician to sell the rights to her catalogue that includes hits like ‘…Baby One More Time’ and ‘Oops!…I Did It Again’, US media is reporting.

The deal is believed to be worth around $US200 million (NZ$330 million), according to sources cited by celebrity site TMZ, though it said the exact amount is not detailed in legal documents.

That sum would be comparable to the sale of Canadian singer Justin Bieber’s catalogue in 2023.

Reuters and US outlets reported Spears had sold the rights to independent music publisher Primary Wave, which is also home to artists including Whitney Houston, Prince and Stevie Nicks.

Neither Spears nor Primary Wave have responded publicly to the news.

Spears, 44, joins a growing list of artists who have sold their music rights in recent years including Bruce Springsteen and Bob Dylan, as well as Shakira and KISS.

Owners of a song’s publishing rights receive payment for every broadcast, album sale or use in advertising and films.

The growing music rights market allows artists to monetise their catalogues, which are attractive long-term assets for investors in the streaming era.

Major labels like Sony, Universal and Warner have also expanded in this line of business, alongside specialist investors Recognition Music Group and Concord Music Publishing.

Spears shot to fame in the late 1990s but has largely stepped back from the music scene in recent years.

In 2021, a US court terminated a 13-year conservatorship that had allowed Spears’s father to control her finances — an arrangement the singer had described as abusive.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Concerns for crew of former ferry at anchor in Tasman Bay

Source: Maritime Union of New Zealand

The Maritime Union of New Zealand (MUNZ) is voicing its concern regarding the welfare of underpaid seafarers onboard the vessel Vega (formerly the Aratere), which is sitting at anchor in Tasman Bay for over 50 days.

MUNZ National Secretary Carl Findlay says the Union has received reports regarding the wellbeing of crew members onboard the vessel, which is understood to be awaiting transit to a ship breaking yard.

Contracts obtained by the Union confirm the vessel is currently registered to Jahaj Solutions (F.Z.E), based in U.A.E.

“This vessel was once the flagship of New Zealand’s ferry fleet. It is now sitting off our coast with a foreign crew who are cut off from shore, and on contracts that pay well below International Labour Organization (ILO) minimum standards,” Mr Findlay says.

Crew agreements viewed by the Union reveal that an Able Seaman on board is being paid a basic wage of just US$206 per month. This is significantly below the ILO minimum basic wage for an Able Seafarer, which rose to US$690 per month on 1 January 2026.

Even with overtime and allowances included, the total monthly pay for an Able Seaman is only US$550, still far below accepted international minimums.

“The crew have now been onboard with the ship at anchor for nearly two months with no sign of progress,” Mr Findlay says.

While the vessel’s agents and Master have claimed the crew are in good health and that provisions are being supplied, Mr Findlay says there needs to be independent verification.

MUNZ is calling on regulator Maritime NZ to conduct an immediate, independent welfare check on all crew members onboard the Vega to ensure they are safe, paid correctly, and have the option to be repatriated if they wish to leave the vessel.

Raw sewage still pouring into Wellington waters raises questions, and anger

Source: Radio New Zealand

A Breaker Bay local with a long history of fighting for clean water in Wellington explains why the sewage dump is so catastrophic, for health, history, and the environment.

Ray Ahipene-Mercer with his jar of 24-year-old water from Moa Point sewage treatment plant. Sharon Brettkelly

Ray Ahipene-Mercer keeps a jar of 24-year-old water in his refrigerator, labelled ‘Moa Point Final Effluent’.

“It looks like a glass of water, hasn’t got a single bug in it, no discolouration, nothing,” he says.

It is a memento of the new sewage plant which he battled over for years as the co-leader of the Wellington Clean Water Campaign.

But nearly 30 years after that successful campaign to stop the dumping of raw sewage in the sea, it is happening again.

Since last Wednesday, more than 600 million litres of untreated sewage have poured into the water off the south coast after a catastrophic failure of Moa Point, the city’s main treatment plant.

On a sparkling summer day Ahipene-Mercer looks out from his Breaker Bay home just around the corner from the plant and the bays are empty.

“I’m looking at the water about 50 metres away, it’s beautiful and yet underneath it there is this darkness. There is not a person walking the dog, having a walk, swimming, surfing, nothing,” he tells The Detail.

The former city councillor is angry, not just about the health risks to humans, but the damage to the environment and risks to the kororā, and to historic Māori sites.

“Toilet water is now brushing up against historic sites at Tarakina Bay. One of the reasons this campaign in the 80s was so successful, we married Māori concerns and Pākehā concerns together and that’s why we won that campaign,” Ahipene-Mercer says.

“I’m very angry, because of all this work we did. It’s not in vain however because Wellingtonians have responded magnificently.”

After a catastrophic failure last Wednesday at Moa Point, Wellington’s main treatment plant, more than 600 million litres of untreated sewage has poured into the water off the south coast. RNZ / Samuel Rillstone

The plant failed early last Wednesday morning during a bout of heavy rain. With the threat of more bad weather this weekend, there are fears the situation could get worse.

‘It’s going to get smellier’

The Post journalist Tom Hunt has been writing about Wellington’s wastewater woes for years and is experiencing first-hand the effects of days of raw sewage flowing into the sea.

“It gets worse the longer it’s there and it’s apparently going to get smellier as well,” he tells The Detail.

“I live not far from the tip and it was a still night last night and I could pick up a faint smell,” he says. “They’ve got these tanker trucks that Wellington’s quite familiar with because in covid time there was another pipe failure and they’d take the wastewater to the tip and they were called ‘turd taxis’. They’re just back and forth ferrying all the stuff out of the olympic-sized swimming pool room and just clearing that out and taking it to the tip.”

Wellington Water chief executive Pat Dougherty broke the news last Wednesday that a room in the plant was three metres deep in sewage, blowing the electrics and badly damaging or destroying equipment.

In the immediate aftermath raw sewage was flowing through a short outfall to five metres off the coast but it is now going through a longer 1.8 kilometre pipe.

“But it is still untreated sewage … and for the foreseeable future we will have effectively raw sewage being pumped off the south coast very near a marine sanctuary not far from a nesting area,” Hunt says.

It could be months before the sea on the south coast is safe for walking, swimming and collecting kaimoana.

It brings back memories for Hunt, who grew up around the south coast of the polluted waters in the 1980s.

“That was a different time when the south coast was not a desirable place to be.”

He says now they’re “back in that for a mystery reason, we still don’t know what caused it.”

Hunt explains the numerous reports of warnings and abatement notices issued to the operator, French-owned Veolia which is paid roughly $17 million a year by Wellington Water to run the plant.

He says it is too soon to say who is at fault and a full inquiry will impel people to give evidence.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Former Reserve Bank Governor supports review into Bank’s decisions during pandemic, but questions timing

Source: Radio New Zealand

Former Reserve Bank Governor Don Brash. RNZ / Cole Eastham-Farrelly

Former Reserve Bank Governor Don Brash is supportive of the government’s decision to review the Bank’s decisions during the Covid-19 pandemic, but concerns from the opposition over the review’s timing so close to the election are a “fair question”, he says.

On Wednesday, finance minister Nicola Willis announced she was launching an independent review into monetary policy decisions during the pandemic, including cuts to the Official Cash Rate, and the Large Scale Asset Purchase programme.

Willis is touting the exercise as a fact-finding, lessons-learned mission.

“This is simply about New Zealand learning the lessons of history. The Reserve Bank, during the response to Covid-19, did a huge amount of money printing,” she said.

“The result, in part due to those decisions, in part due to Labour’s decisions to spend and borrow a huge amount of money, was very high inflation, house prices going up 30 percent in a year, and more than $10 billion of losses after the printing of that money. So it is appropriate for the government to look at, did we get it all right, what could we do better in the future?”

Finance minister Nicola Willis. RNZ / Mark Papalii

Brash, also a former National leader, said the effects of monetary policy were “substantial” during the pandemic, and given the costs to the taxpayer an ex-post review “almost certainly” made sense.

“The Reserve Bank did two main things: they cut the Official Cash Rate to a very low level, 0.25 [percent], and would probably have cut it below that level had they felt the banks were able to handle that,” he said.

“In the end, they didn’t cut it below 0.25, but instead, of course, they bought many billions of dollars of government bonds at low interest rates in an attempt to stimulate the economy, but at a cost to the taxpayer, which was very substantial. So I think it’s worth having a having a good look at that.”

The current governor Anna Breman said she welcomed the review, but pointedly referenced a mandatory review undertaken by the Bank of the 2017-22 time period, which found the “large scale asset purchase programme was successful in correcting financial market dysfunction and reducing long-term interest rates”.

The review also found that “in hindsight, earlier, or stronger monetary tightening could have curbed the subsequent hike in inflation,” Breman said.

Reserve Bank Governor Anna Breman. RNZ / Samuel Rillstone

Willis was not impressed by that previous review.

“The Reserve Bank went through a window-dressing exercise of doing their own review of what they’d done, and gave themselves essentially full marks at the time,” she said.

“In opposition, I was frank. I said they’ve marked their own homework, that’s not good enough. If I was the finance minister, I would commission an independent review, and today that’s what I’ve done.”

The opposition has questioned why, if Willis had wanted a review all along, she had waited until now to commission it – especially as it is set to be made public in September, just a few weeks before the election.

Labour leader – and former Covid-19 response minister – Chris Hipkins said it was “an exercise in cynical, political manipulation,” pointing to other occasions the government could have done a review, including when it expanded the terms of reference for the Covid-19 Royal Commission of Inquiry.

“The timing of it is very transparent. This is a very clear political exercise in the middle of an election campaign. It’s not designed to provide some impartial view of the Reserve Bank’s actions, bearing in mind that the Reserve Bank took all of these actions independently of the government of the day,” he said.

“I think the whole world has learned a lot of lessons around monetary policy in a global crisis like a global pandemic. New Zealand’s Reserve Bank, the actions they took weren’t out of line with the actions being taken by central banks around the world. And there have certainly been lessons, I think, the whole economic system have learned from that.”

Labour leader Chris Hipkins. RNZ / Mark Papalii

Hipkins described the review as an “attack” on the Bank’s independence.

Green Party co-leader Chlöe Swarbrick has also questioned the timing, noting she had called for a Select Committee inquiry into the economic response in 2022.

“The timing of this is so sus. Nicola Willis has been talking about these concerns since I was on the Finance and Expenditure Select Committee with her back in 2020. And it also obviously was an election issue throughout 2023. So if the minister’s intent, if the government’s intent, is pure, they would have got this out of the way with the broader Covid inquiry.”

Swarbrick said she had held former Finance Minister Grant Robertson’s “feet to the fire” on the effects of monetary policy on inequality, and did not believe Willis had any intention of addressing inequality with the new review.

“The Greens have actually been concerned since the outset of Covid-19 with unconventional monetary policy’s deployment. Because, as reflected in advice from RBNZ and Treasury at the time, that to do the Large Scale Asset Purchases and associated unconventional monetary policy without intervening or mitigating fiscal policy, we would see massive house price inflation and growing inequality,” she said.

Green Party co-leader Chlöe Swarbrick. RNZ / REECE BAKER

“Of course, that’s exactly what happened.”

Willis has denied the review is timed for the election, and said she had not received advice on its timing.

“I don’t need to have that raised with me. It turns out that it’s quite top of mind that there’s an election in November. I don’t need officials to give me advice on it,” she said.

“The more political question you should all be asking is why are there politicians who are afraid of an independent review of the decisions of the independent Reserve Bank? Riddle me that.”

Brash noted that when he was Governor, the incoming Labour government in 1999 commissioned a “complete review” of the Bank’s framework.

That review, published in 2001 by Swedish economist Lars Svensson, recommended the formal establishment of a Monetary Policy Committee, something then-Finance Minister Sir Michael Cullen rejected.

The Committee was later established in 2019, following a further review of the Reserve Bank Act in 2017.

Svensson found the Bank had tightened its policy too late in 1992/93, and eased it too late in 1997/98.

He also recommended the Bank change how it reported and discussed alternative measures of inflation expectations for the medium and long term, but generally found its communication of monetary policy decisions to be “exemplary”.

Brash described that review as a “fair cop,” and a reasonable thing for a government to do.

He said it was a “fair question” of why Willis had waited until an election year to commission a review of her own.

“You can debate whether the timing should have been a few months earlier or a few months later, but that there should be a review seems to me to make good sense.”

Former Reserve Bank Governor Don Brash says it’s fair to question why Willis has waited until an election year to commission a review of her own. RNZ / Cole Eastham-Farrelly

Brash said he could “see some logic” in having it now, rather than earlier, as Willis would have wanted to wait until a new Governor came in.

He said he was not familiar with one of the reviewers, Athanasios Orphanides, but was familiar with David Archer from when he was the Reserve Bank’s assistant governor.

Brash said he was “pleased” at Archer’s involvement, and he had a “high regard” for him.

“Not only at the Reserve Bank of course, but he was also at the Bank for International Settlements in Basel for a number of years. So he’s had very wide international experience.”

Willis said the two reviewers were “objectively credible” and had significant experience.

“They are not political figures in any way. And I actually went to great pains to work through with the Treasury who, in a domestic context, would be able to do the review, who wasn’t conflicted by previous statements, and who would be able to give this credibility and weight, so I stand by the decision.”

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Schools accused of giving illegal scholarships to foreign students

Source: Radio New Zealand

Photosport

One of two schools that illegally gave scholarships to foreign students who played in their top sports teams says it only happened because a sponsorship deal fell through.

The other has not responded to RNZ’s questions.

School sport leaders say they do not believe the cases are symptomatic of a wider problem, but an auditor told RNZ he doubts many of his peers know to keep a lookout for scholarships to foreign students when they review schools’ finances.

The Office of the Auditor General brought the https://www.rnz.co.nz/news/national/541873/schools-spending-money-on-gyms-family-travel-for-principals-auditors-say breaches to light in reports published in February and December last year, covering audits of school annual reports for 2023 and 2024.

“We highlighted that two schools breached legislation by meeting the costs of an international student through a scholarship. Legislation requires schools to charge fees for international students that at least cover the estimated costs of providing tuition and capital facilities,” the most recent report said.

The Office of the Auditor-General told RNZ the schools were Westlake Boys’ High School and Howick College and RNZ understands in both cases the students represented the Auckland schools in top-level sport.

The Howick College annual report for 2023 showed the breach related to two foreign students.

“Without modifying our opinion, we draw the reader’s attention to a breach of legislation. The School enrolled and met the costs of two international students, including homestay and other school fees in the year ended 31 December 2023 through scholarships,” the auditors wrote.

“This is a breach of section 521(1) of the Education and Training Act 2020 which requires state schools to charge fees for international students that are not less than the estimated costs of providing tuition to a student in the relevant subject, course, or programme, including the provision of capital facilities, plus any other fees prescribed for international students.”

The Westlake annual report for 2024 had a similar comment but for one international student.

RNZ understands a third party alerted the firm that audited both schools’ accounts that it was illegal for state schools to subsidise the education of foreign students.

The firm did not respond to an RNZ request for comment.

Former Deloitte auditor Priyesh Ramesh told RNZ he doubted many auditors knew scholarships for foreign students were forbidden and it was unlikely they would check whether a scholarship in a school’s accounts was for a domestic or foreign student.

However, principals told RNZ the rules prohibiting schools from waiving or otherwise covering foreign students’ tuition costs were clear and the cases did not represent part of a wider problem.

The Education Ministry’s handbook of financial information for schools said scholarships must be open to every student at a school unless the giver of the scholarship has created a special trust.

Its website said international students not on a ministry-approved exchange programme must be charged fees that cover the cost of tuition and access to facilities.

Westlake headmaster Paul Fordham said the situation preceded his tenure as principal but it appeared the school helped a student after a sponsorship arrangement fell through.

“It certainly wasn’t a scholarship situation,” he said.

“It was a situation where a sponsorship had fallen through and the school essentially stepped in to meet the costs.”

Fordham said the school worked with auditors and the ministry to understand the breach and resolve it.

He said in the second year, 2024, the school found sponsorship that would cover what it believed were the student’s tuition and capital costs.

“We’ve tried to meet the rules but it’s a tricky situation when you’re dealing with a person.”

He would not confirm details about the student or the sport they played.

Fordham said he had not previously heard of third parties providing scholarships or sponsorships for foreign school students.

“It does seem unusual and I don’t know if it’s a generally-used practice. It’s certainly a one-off from what I could establish at Westlake,” he said.

Asked if schools were aware that they could not waive international students’ fees, Fordham said common sense suggested they should not do that.

“Money that’s given to schools for operational needs and facilities etcetera certainly isn’t given for the purposes of subsidising international students’ costs,” he said

Fordham said Westlake had 200 foreign students and some represented the school in sport.

He did not believe foreign students’ participation in school sport was creating problems.

School Sport New Zealand chief executive Mike Summerell said schools could have no more than two international students in any teams competing in School Sport championship events.

He said in the past some schools recruited top foreign athletes for short periods to bolster their teams and the rules were designed to prevent that from happening.

Summerell said School Sport redeveloped its eligibility rules extensively in 2025 and would review them, including those covering the inclusion on non-domestic students, this term.

Summerell said it was difficult to track how many foreign students were playing in top teams.

“There’s not necessarily an outcry by schools to say that international students are filling up these spaces, but I would hazard a guess that there are certainly international students taking opportunities at these championship events for a lot of schools and that’s not necessarily a problem.

“Whether that leads to success for those schools is really not something I have the data to comment on.”

Summerell said he did not know how well schools understood the ministry’s rules prohibiting the use of school funds to cover foreign students’ fees.

He said School Sport rules forbade offering sport scholarships.

“If there was evidence that schools were providing scholarships… that weren’t publicly-available, and by that I mean that’s on their website that there’s a scholarship for X and it’s contestable, then there’s provision under the School Sport New Zealand eligibility rules and our integrity framework to look at that and investigate whether that’s fair,” he said.

However, Summerell said it was extremely difficult to prove if a school had provided scholarships that broke the rules.

College Sport Auckland chair Tim O’Connor said many schools had foreign students in their sports teams and Education Ministry rules about their fees were clear, as were the School Sport New Zealand rules on participation.

O’Connor agreed that though schools were prohibited from waiving or subsidising foreign students’ fees, there was nothing to stop third parties providing scholarships or sponsorships and that should be monitored in case it became a problem.

He said sport was an extra-curricular activity and the primary purpose of schooling, including for international students, was to provide an education.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand