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Speaker 1 (00:09):
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Speaker 2 (00:16):
The first year of the National Government has seen everything
from cell phone bands in school hecoys and harsher rules
around law and order. No matter your political view, we
can all admit it's been a big year for Christopher
Luxon and the Prime Minister joins me. Now, good morning,
good morning, ten good to be with you. Yeah, thanks,
let's start with the reflection on on twenty twenty four,
(00:38):
mark's out of ten for Chris Luxon.
Speaker 3 (00:40):
Oh look, I don't need that. I don't say. I'm
very proud of the way that we've come together as
a coalition. I think we're using the talent within the
whole team pretty well. It's ladys with the fact the
progress in're making on the economy, although it's still tough
and challenging, but that fact we've got inflation, interest rates
confidence in the right place. That's good and now we've
got to focus on growth. I think we also made
(01:00):
some really good progress actually signaling through to a lot
of our partners in Tenasha that we're actually open for
business again and we're out from in the region wanting
to drive trade and investment, and that's the worker of
myself and Winston Peter's and Todd McLay and Judith Collins
as well.
Speaker 2 (01:17):
If you reflect back to first putting your feet under
the desk, how's the year transpired? Is the job being
easier or harder or worse or how would you describe
where you were then to where you are now.
Speaker 3 (01:29):
Look, I think it's been pretty much what I expected
in terms of the actual function and the role in
the nature of the workers. I've seen other Prime Ministers
up close doing a job, pretty extreme jobs myself the
season and as well as I sort of understand you
know that that part of it hasn't been difficult. I
think that the bit was that clearly the country is
(01:50):
in a very challenged place economically, and you know, as
we were trying to deal with projects that had been
cost overruns, that were billions of dollars overspent, and you
don't have the money and set up for those projects,
whether it's school buildings where it's been fairies where it's
been tonedn hospital or other things. You know, those are
the things that we've had to confront and base up
to and the scale of the challenges where we've spent
(02:12):
so much money got so little for it, you know,
borrowed so much money. Now having to pay a nine
billion dollar interestpell well nine billion dollars spent each year
in the New Zealand economy would be really fantastic for
respect to schools, hospitals and roads that we could have.
But that's the reality of it, and we now have
to take that reality and confront the brutal facts of that,
even though we may not like it, but have a
(02:32):
plan and I think we've got the right plan for
the future that actually gets off to the great place
that I know that we can get to. And you know,
I have to say also the other thing i'd say
Tim twelve months into the job. You know, the reality
is I feel incredibly optimistic about New Zealand's future. I
honestly do. I'm a positive person by nature, but you know,
I honestly do. We have everything going for us, you know,
banks back in the middle of a dynamic region, great people,
(02:55):
incredible good, strong institutions, and abundant natural resources. So there's
no reason we can't do well for ourselves.
Speaker 2 (03:00):
What's been the key to keeping the coalition together and
working with your partners.
Speaker 3 (03:05):
It's just everything in life I think comes back to relationships.
Who've got good relationships, you then talk about the possibilities
of what you do together in the gender and the
plan together, and then you get the results and so
you know, it's you know, that's what It's a philosophy
of mind that I've taken everywhere. It's the same philosophy
I took in to the leadership of the National Party
and we had a lot of dysfunction in that period
(03:26):
of time. I took over, as you know, understanding people
were in the people business and that requires people skills
and so that's important.
Speaker 2 (03:35):
How do you prioritize your own performance versus the performance
of your team?
Speaker 3 (03:41):
Well, I guess I see my role as to make
sure I put the right people in the right assignment
with the right level of clarity about what I'm expecting
them to deliver. And then my job is to get
alongside my float and go and you go very very
deep with the minister through a set of issues where
I think they need support or that where I think
they need challenge and refocusing. That's what I'll do as well.
(04:04):
So and that's again the way I sort of run
leadership teams. The way that I think is the right
way for me to be able to go to the
issues that actually or actually support this is that are
needing mass, but also to encourage them, but also to
challenge them when I think they're not being not delivering
as well as they could be or should be.
Speaker 2 (04:21):
With the recent grim financial news, what's the priority to
us get us back on a better footing? Is it
productivity versus cuts here? And how do you balance that?
Speaker 3 (04:35):
Yeah, like you just said it on the head that
you're exactly right. The biggest problem that New Zealand has
said for thirty years is what we call a productivity disease.
We are working incredibly hard as a people, but yet
we have not been able to fundamentally change our stand
of living. And so I've studied small advanced countries are
five million people for probably twenty thirty years now, and
when you look at what drives them and why have
they become wealthier or done better in some ways than
(04:57):
New Zealand economically, it all boils down to sort of
you've got to have a world class education system so
you can access higher paying jobs. You've got to embrace
science technologies, you can add value to your products and services,
sell up the world, get more premium prices, therefore higher incomes.
You've got to make sure you've got infrastructure in place,
and world class infrastructure, because that really drives economic productivity.
You've got to get rid of red tape that just
(05:19):
had costs and barnacles on the walker that slows everything down.
And the first thing is you've got to be able
to get exports and trade moving. But also you've got
to attract investment to New Zealand. So you know, that's
why when you look at the examples of Ireland or
the Singapore's and others, that's how they've managed to move
their commune. That's an instances on some of that as
(05:40):
well over the last one hundred and fifty years too.
But we've got to do a lot more of that,
and that really is our challenge is how do we
get more economic productivity, how do we get more value
for every hour that we kind of work and therefore
that translates to higher incomes. So I think we've got
the balance right. The choice for us economically is to
carry on taxing more, borrowing more, spending more. We tried that,
(06:01):
that didn't work that's caused the pain and the suffering
that we're all wrestling with and getting our way through.
But we've got to be able to make sure every
government dollar gets value for money, make sure that we
get resources from the back office to the front line
as best we can, and make sure that we're out
the investment for things like education, infrastructure for that future
productivity improvement.
Speaker 2 (06:21):
Prime Minister, when we have all this grim sort of data,
just to touch a little bit more on the economy,
when do you think New Zealanders are going to start
feeling more positive about things?
Speaker 3 (06:31):
Well, I think you're already seeing a little bit of that.
You know, we're having to go back and just learn
the lessons of economics. You know, you've got to get
government spending working and directed towards the things that make
a difference instead of a result. If you spend eighty
four percent more, which is what had happened, you drive
inflation up, you drive interest rates up, you put the
economy into recession, and then you start laying off workers.
(06:51):
And so we've got to relearn that. And what you've
seen us do in the last twelve months is say, right,
we're going to get spending gripped up and that's going
to be daily practice. That's not just one off. We
have to make sure that every dollar coming into the
government Wellington actually people treat that with respect and they
do the right things with it. You've seen inflation come
down from seven point two down to two point two percent,
you know that's within the band. Because of that, that
(07:12):
now has enabled the interest rate cuts to come. We've
had three, We've got another one potentially coming in February,
which would be good. And then you've now seen business,
farmer and consumer confidence at high. So you know, you've
got business confidence at a ten year high, you've got
consumer confidence a three year high, farmer confidence the highest
in twenty seventeen. Now, that's all good, but that has
to translate ultimately that confidence, that positive confidence into growth
(07:36):
and then into higher pain and higher income jobs and
more jobs. So that's the real challenge going forward from here,
which touches on what you raised earlier on economic productivity.
Speaker 2 (07:45):
How's how's the law and order going? Are you happy
with progress on that?
Speaker 3 (07:49):
Yeah? I'm really proud of what we achieved in a
very short period of time. I mean, you saw total
victimizations down I think three percent, you know, compared to
violent crime up thirty three. I think it was in
retail crime doubling. You've seen plas out on the beat
up thirty percent, which has been helping in hot spots
like Allklan, CPD and Monet and Cristias and other cities.
(08:10):
And you've also seen you know, the gang law stuff
has kept in really well, and I'm really proud. You know,
the police are smashing up the gangs. And people often
say to me, Chris, you know, the gangs are nice people,
we don't understand them, misunderstood, and you go, well, no, no,
one quarter of one percent of the population of New
Zealand driving twenty to twenty five percent of our valient crime.
So we are going to make life difficult for them.
And that's what's happened immediately from when we pass out
(08:33):
in slation. So yeah, we've got a lot more to do.
You know, I'm pleased to see police recruitment as doubled,
which is fantastic. We've got police attrition as sable and
consistent of what it's been for the last ten years.
So yeah, we've made progress on gangs, serious young offenders,
police recruitment, and then sentencing and making sure the judges
(08:54):
don't discount senesce As too much.
Speaker 2 (08:56):
You've made your position on the treaty principles build clear
in terms of its progress or lack thereof, once it's
gone through the next process. Are we capable of New
Zealanders up till then, of having some sort of ration
more discussion about these things.
Speaker 3 (09:10):
Well, I think we actually have. I think that's what's
actually been quite special over one hundred and eighty four
years of the treaty is that New Zealanders. So we
have that up for crackling and wrestling with. It doesn't
mean we agree on everything, but actually we debate them
when we do discuss them. When you just go back
through our history over that period of time and there's
been some real differences of opinion and some real quality debates.
(09:32):
And at the moment, as I've said before, you know,
there's no doubt about it. We had immense frustration built
up under Dournam hip Kins on a number of decisions
where they didn't take the news young people with them,
and that frustration, that legitimate frustration years can't drive into
a very simplistic and divisive approach gets writing off one
hundred and eighty four years of debate with the stroke
(09:53):
of a peer. I think you've got to take the
issue case by capes and that's what we did with
three warders and Milori Health Authority and Maori Wards and
Macca and all that stuff. But you've got to keep
debating and keep discussing, and the treaties made us better
as a result.
Speaker 2 (10:05):
Is the real reason you're not going to white Tongy
is just because you going to be on a theatrical
hiding to nothing.
Speaker 3 (10:11):
No, the real reason is that I've been twice. I
think I've actually been three times to why Tony since
of my four years in politics. But I've always believed
I actually had the privilege of going with Bill English
to Nati Fartur in twenty seventeen when he'd just been
elected the Prime Minister or was, you know, took over
from Key and I was really impressed. And I've also
tried to do other community events at times when I
(10:34):
was an MP as well and even before. And I
just think there's real value and actually celebrating White Tony
Day across the country and other places. And so we
are sending our senior ministers out to different locations across
the country to actually get into the communities that actually
well and I'm mually coming together to celebrate White Tony
Day is a really good thing.
Speaker 2 (10:53):
Without going into too broad a detail, just a couple
of highlights that you would be looking to deliver in
twenty twenty five.
Speaker 3 (11:00):
Yeah, Look, I want to really step up again our
intensity with our international partners and a fact more investment
to New Zealand and do more trade. I really want
to be able to see a pathway in progress into
growth for the economy, which is actually the next level.
We've broken the back of the cost of living. They're
still more to do there with inflation, interest rates to
come down, for sure, but actually want to see the
(11:21):
growth starting to happen. And I really want us to
start to really start to think through how we bring
to life what we call social investment. You know, the
big and tractable social problems that New Zealand has. I
think we need to quite radical, quite bold about how
we might go about solving some of those. And you
know we've started those conversations with the formation of a
Social Investment Agency in May. For your listeners, that will
(11:42):
all sound like another bureaucracite. Not, it's just the way,
a different way of thinking about how do we make
these interventions in people's lives that actually set them up
for a better future, and doesn't just do more of
the same things, carry on doing the same thing.
Speaker 2 (11:56):
What are your plans for the summer holidays? Are you
actually going to get a break or are you going
to be staying around Premier house a mowing the lawns?
Speaker 1 (12:02):
No?
Speaker 3 (12:02):
No, no, I had a great Christmas there and just
on Christmas Day with my family and then at the
beach hip and just in the T shirt. What's mucking around?
They've got kids and friends and family and everybody piling
through and pulling what everyone else does with barbecues and.
Speaker 2 (12:18):
Who operates the barbecue?
Speaker 3 (12:20):
I did the barbecue. I did the barbecue. And then
and then Amanda and I and family and friends will
go out to a little bit of fishing an Auckland Harbor,
which will be great. So yeah, it's just just just
doing I think what everyone else does. Yes, I keep
being I get up earlier. I do with my reading
and processing of things I think to keep focused on.
But I'm able to switch on, switch off, and it's
(12:41):
just awesome just to hang out with, you know, friends
and family that I don't get as much chance to
now spend as much time with on weekends.
Speaker 2 (12:48):
Excellent listen, Chris, thanks so much for your time this morning.
Really appreciate it. Great to be with you, Tim, It
was prime mister Christopher Luxon
Speaker 1 (12:57):
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