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September 24, 2025 • 18 mins

On Politics Thursday, Nick Mills was joined by Labour's Palmerston North MP Tangi Utikere and National's Otaki MP Tim Costley.

They discussed Treasury's stark warnings about the country's fiscal direction, the new Reserve Bank Governor and the ratings of politicians from the Herald's Mood of the Boardroom.

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Speaker 1 (00:07):
You're listening to the Wellington Mornings podcast with Nick Mills
from News Talk SEDB.

Speaker 2 (00:12):
It's time of the week every week we talk politics.
Today we have been joined by National's O techy MP
Tim Costley.

Speaker 3 (00:20):
Good morning, Tim, Good morning, So nice to be with you.

Speaker 2 (00:24):
Now, I've got a little quick question for you.

Speaker 3 (00:27):
Yeah, I'm excited you've fallen.

Speaker 2 (00:29):
In love with the camera. I mean, I can't go
on social media without seeing you now, you know, And
some of the stuff you're doing is a little bit goofy,
isn't it. Well.

Speaker 4 (00:40):
I think you've obviously started following some great social media pages, right.

Speaker 2 (00:48):
Sorry the one you walked around Parliament then sat down
cuddled up to the Prime Minister. But goof didn't quite
look right, did it. Well?

Speaker 4 (00:56):
Look, I'll be honest with you, some of these friends
that are out there I don't always understand. But you know,
sometimes we've got to give the people a little bit
of what they want. And but also it's a great
way just to get the message across, you know, and
to let people know what's going on in a really
direct way. And I've had a lot of good feedback
on just sort of putting my weekly columns online and

(01:17):
video form. So I'll keep doing that and love people
to like try and share my page at Tim Costley
and z come on down.

Speaker 2 (01:23):
Oh my god, you promote himself. I I actually I
only like the one when I was on it, But
I mean Labour's Parmerston North MP and Transport spokesperson Tonguey
utter Kerry. Good morning, Tuggy.

Speaker 5 (01:37):
Oh, good morning Matt. Good to be with you this morning.

Speaker 2 (01:40):
Great to have you on the show. Are you in
Palmerston right now? What's the weather like up there? What's
going on?

Speaker 5 (01:46):
I am in Parmi and I can tell you it's
always wonderful down here. There's a lot of misconception about
about the weather this way, but no, no, it's a
great day here in Parmers North. And Tim he's a
Parmi boy at hat, so I know he knows that
I'm certainly telling the truth.

Speaker 3 (02:01):
What did from those ross intermediate days? But what happened
at ross days? At ROSSA?

Speaker 2 (02:05):
Okay, right, let's move on. Treasury or Warnings put it
setting out a bit of a warning. Their outlook on
our fiscal future shows current government policies are not suitable
for a long term and change is required. The Plan
says our debt is higher than anticipated in our aging
population remains a big, long term challenged term. How worried

(02:26):
should the government be with us?

Speaker 4 (02:30):
Well, look, I think you Zeelanders should be worried if
we don't stay on the track that we're on now,
which is about.

Speaker 3 (02:36):
Making those tough decisions.

Speaker 4 (02:37):
You know, they've Treasury have said that we've been in
a structural deficit since twenty nineteen. In other words, we're
spending more than we earn, and that is why we
are so focused on doubling the value of our exports
so that we're earning more money and also coming back
on wasteful spending. We actually have to be like every
family right now. The government also has to be really
careful with how they spend their money. Otherwise we're just

(02:58):
creating bigger problems for the future. And we see that
now right Look at I'll just give you one point.

Speaker 2 (03:03):
Hold hold on, Tim, you're missing the point. The point
of this is is that we've got an ageing population.
We can't afford to play them. We can't afford to
retire at sixty five. We're in trouble. Don't tell me
about not eating tomatoes today.

Speaker 3 (03:14):
No, that story i'm telling about.

Speaker 4 (03:15):
I'm telling you about the path that we were on
up until twenty twenty three, in the path that we're
on now. Look, we've campaigned on things like increasing the
age of superannuation in the past. We have to have
an honest look at that, and we've taken sensible, sustainable
steps like increasing key we saber from three to four percent,
letting younger people like sixteen and seventy eighteen year olds
get into key we saber because it's actually really important.

Speaker 3 (03:38):
But also the government pumps.

Speaker 4 (03:39):
In billions and billions of dollars forecast to reach about
twenty nine billion into just the super alone in the
next few years. That's enough to build about fifteen of
Dunedin hospitals, right, and that's the most expensive hospital we've
ever built. We could build fifteen a year for the
same price. So actually it really matters how we spend
our money so that we make good choices so we

(04:02):
can sustain not just superannuation but also health and education
and law and order.

Speaker 2 (04:06):
Okay, Tony, can you tell us how we can actually
get everyone to work together on this, because I mean,
labor and national have to work together, don't they.

Speaker 5 (04:16):
Well, there is no doubt that there are huge challenges
ahead of a fiscal nature for our country, and you
know Tim talking about making the tough decisions. Nationals simply
can't cut their way out of this predicament for the future. Yes, Nick,
you are right, there needs to be a bipartisan approach
to this, and so we are committed to having a

(04:37):
mature conversation around this, and I'd hope that the National
Party are as well, because quite simply cutting in health
and education and housing, all of these sorts of things
which are areas that we must invest in, is not
the way to go about addressing what is a really
serious issue for the future. What's your answer, Well, the
answer is a commitment to that conversation. You know, we

(04:58):
simply cannot have an ongoing nature of cuts to core
public services and government services that ken we do rely on.
You know, I've talked about this and transport and other
areas around infrastructure that we are up for the conversation
in the bipartisan space. It is important. But if National
is simply going to go ahead with cuts, cuts, cuts,
which seem to be the mantra of the day at
the moment, we are not going to achieve the desired

(05:21):
outcomes for the community that we all rely on into
the future.

Speaker 4 (05:25):
Well, we certainly aren't going to get there by spending
our way out of it. And the kind of spending
we saw that the Treasury of criticized that led to
the structural deficit, and it started before COVID, right, So
this is significant and we have to be really clear.
Health and education are funded now more than ever before.
There was an extra seventeen billion dollars for health in

(05:45):
the budget this year. So let's not try and pretend
this is something that it's not. It's about targeting the
spending in the right areas so that we can look
after seniors, we can look after those, and education we
can look after those that need a bit of healthcare.

Speaker 3 (05:58):
But we've got to make the right decisions.

Speaker 5 (06:01):
Well no, look, look, look that's not right. I mean
the reality is in terms of that destructure. No, it's not.
In terms of hospital infrastructure. You know, the government has
put less into hospital infrastructure in their last budget than
Labor did whilst in office. Now, if we're going to
hear about cuts, cuts, cuts, you know, let's talk about
the lack of housing that's actually been built in communities

(06:21):
like parmer Stals and elsewhere around the country. For years,
we had had this void where there was no houses
being built. We suddenly start to see this all happening
an incoming national government. Hit pause, hit stop, no builds
in places all around the country and as a result,
thousands of skilled members of the workforce basically heading off
overseas because there is no work capacity for them. That's

(06:43):
what this government is delivering. They need to simply change tech,
be mature about how do we have a conversation?

Speaker 2 (06:48):
Hold on, Hold on a minute, tell you how do
we get to this When we were talking about the
treasure latest treasury outlook.

Speaker 3 (06:56):
So they just try and roll out the same lines.

Speaker 2 (06:59):
Okay, let's move that's not true.

Speaker 5 (07:00):
It is about priority at the end of the day.

Speaker 2 (07:02):
Let's move on. We have a new Reserve Bank governor.
Doctor and Brennan, the first deputy governor of Sweden's Central Bank,
has been appointed as a new governor of the Reserve Bank.
Tim is this a risk bringing someone from overseas? Surely
we want somebody that knows New Zealand, knows everything about

(07:23):
New Zealand. It hits the road running.

Speaker 3 (07:26):
Yeah, I just think we want the best person. Now.

Speaker 4 (07:28):
I don't obviously personally know her, but her CV is
pretty good. Working not just in Sweden, but in America.

Speaker 3 (07:34):
She's worked.

Speaker 4 (07:36):
As an academic, she's worked as a deputy governor, she's
worked for other banks. She's got an incredible CV. She's
been supported by both sides of the House. I just
think this is great. Let's let her focus on her job,
and the key focus of that, as she has said herself,
is keeping inflation down.

Speaker 2 (07:52):
Do you not think it's a risk bringing someone from
overseas that does not actually understand our culture in any
form or any way.

Speaker 4 (08:00):
I mean, I think that's probably a bit harsh on her,
but I also think it's a risk if you don't
get the best person, because this is a really important job,
and I think as a national experiences actually can be
really helpful when you know New Zealand years we have
some some unique aspects, but actually in terms of what
the Reserve Bank does, there are a number of these
banks all around the world that do the same job.

Speaker 3 (08:19):
I think she looks like a great candidate.

Speaker 2 (08:21):
Toll you, what should her focus be right now? What
should her first job that she does when she takes
office on the first of December.

Speaker 5 (08:29):
Well, I think, you know, being new to New Zealand,
she's going to have to get a handle on, you know,
the sort of various approaches here in New Zealand. Obviously,
inflation is something that is huge at the moment when
we're looking at the GDP sort of figures that came
out just last week, very very disappointing. They're just under
one percent in terms of the hit. That's the context
that she's going to have to deal with. But I

(08:51):
agree with Tim, I think you know her CV and
her background does look impressive. I've not met her myself either,
but we obviously do look forward to engaging with her.
The only but of caution, of course, I would signal,
of course, Nick is I do hope that the Finance
Minister's sort of actions with this governor perhaps is less
questionable than previous people in that role, and indeed the

(09:12):
Chair of the Reserve, Well, what.

Speaker 2 (09:14):
Do you mean by that? You hope that the Finance
Minister and her have a connection And I thought it
had to be independent.

Speaker 5 (09:21):
Oh, there is the independence there. But what we've seen
certainly rolling out in Parliament over the last month or
so is some very questionable tactics on the part of
Nikola Willis in terms of what she did know, what
she didn't know, how she communicated that and when she
communicated it in relation to the resignation of the former
governor and indeed the role that the chair of the
Reserve Bank did play. So while this is a new

(09:43):
Reserve Bank governor coming into the role, I do hope
that the relationship between the Finance Minister and those who
are involved in these roles is one that is high
in integrity and important none the less, because that is important.

Speaker 2 (09:55):
Tangy, I want to start with you on this one.
CEOs and business leaders have been given a strong message
that they're not happy with the government's direction and rated
Nikola Willis and Christopher Luxen eighteenth and fifteen best performing ministers.
But Labor didn't do any better, did they. Well?

Speaker 5 (10:13):
Look in terms of the government and that's what the
focus is on. It's pretty embarrassing for the Prime Minister.
I mean, look, he should be ranked number one. He's
the prime minister who really talked up his business credentials
and he's ranked what number fifteen. I mean, he's got
a member who's outside of cabinet who is ranked higher
than himself. So it's very disappointing. And if I was

(10:33):
the Prime Minister, I'd be a bit concerned about those rankings,
particularly from the business community who he's talked up those
business credentials.

Speaker 2 (10:40):
But I didn't answer my question, where's label on this
list of doing so well? Where are they? I'm down
to twenty three and I can't see any of them.

Speaker 5 (10:49):
Oh look, you know, in terms of what our alternative
plan is going to be, we will head into the
election next year and it's great that you know, people
do want to hear from us already with still a
year to go to the election. But our focus says
on ensuring that this government have a handle on jobs.
I've got a handle on housing, on health and tackling
who is like the cost of living. What that that
mood of the boardroom strongly signaled is that you know,

(11:11):
the government are not doing that. It is their responsibility
to be delivering for our community and for business, and
what's clearly shown is that leadership of the Prime Minister
and the Finance Minister are not delivering in that space.

Speaker 2 (11:23):
Add all, Tim this is a concern, isn't it be honest?

Speaker 3 (11:27):
It's a concerner, we'll answer the question for you. Yeah,
I mean, so let's start with your first question.

Speaker 4 (11:32):
Yes, every single Labor MP apart from two were rated
lower than every single minister from every single party, and
that includes Chris Hipkins. So Chris Hipkins isn't rated the
top of his party and he's rated lower than every
single minister. And you know, the comments that the board
had were pretty slaving for Labor, saying that they're just invisible.

Speaker 3 (11:54):
They you know, they're really disappointing. There's there's just no visibility.

Speaker 4 (11:58):
And frankly they hopeless said one another said side disappointing bunch.
They're hopelessly and competent in the context of potentially leading
our country.

Speaker 3 (12:07):
So against that, I take.

Speaker 4 (12:09):
The team that we're putting up and the racings that
our team has got every day of the week.

Speaker 2 (12:13):
So you take the Prime Minister being at fifteenth.

Speaker 3 (12:18):
Well, for context, that's higher than the prime one.

Speaker 2 (12:22):
Of deep Come on, come on, I want you to
be a bit honest here, the Prime Minister fifteenth.

Speaker 4 (12:29):
Oh yeah, but look, I mean when you look at that,
you look at the team that are up there, look
at what Erica Stanford's doing an education absolutely phenomenal.

Speaker 3 (12:35):
We've absolutely transformed.

Speaker 2 (12:37):
Maybe she should be the Prime Minister.

Speaker 4 (12:39):
No, because the role of the Prime Minister is running
the team given the right people in the right place,
That's what he does a great job of. You know
that Richie McCall wasn't always man of the match playing
for the All Black Stat's okay. He did a great
job leaving the team regardless, and I stand by the
PM every.

Speaker 2 (12:54):
Day, Richie mccaugh Would they come fifteenth on the All
Black list? Trust me on that one.

Speaker 3 (13:00):
Wow, I don't know. I'm sure you'd love to hear that.
But look, the point is all right.

Speaker 2 (13:06):
We'll move on. We're going to get it. We're not
going to get anywhere there. Let's talk about both. This
is something that both of you will be able to
talk about in a positive manner. You'll both be regular
users of the current stretcher road of the Otaki Diliveran.
Now construction is officially begun on the two zero point
one billion dollar road and complete the complete the actual
Wellington Expressway Corridor. Tom, how important is this.

Speaker 3 (13:29):
Critical? Absolutely critical.

Speaker 4 (13:31):
I've spent six years fighting for this road, Even before
being an MP, I started my first petition to get
it built in twenty nineteen after Labor canceled it in
twenty eighteen, and that went right through to fighting to
make sure we ended up with the right design for
the expressway, you know as the current MP. This will
save lives, This will increase productivity, It brings opportunity to

(13:51):
hout of Fena, or it connects people right across the
lone North Island. And it's really critical because not just
because it's the only two sets of traffic lights that
State Hiwa one goes through and live in currently between
Wellington and Fungada, but actually all that traffic coming from
the line of th Island has to get to and
through live In before it splits to Taranaki, Hawk's Bay, Palmerston,
North Top or wherever it might be.

Speaker 3 (14:13):
So this is an absolute game changer.

Speaker 4 (14:14):
And I don't think people realize just how good this
will be when it's finished in a few years.

Speaker 2 (14:18):
Will it be as good as Transmission Gully? And will
it be told? Can you tell me that? Can you
tell our listener whether it's going to be told?

Speaker 3 (14:24):
Yes, it will be told. This is costing two point
one billion dollars.

Speaker 4 (14:27):
We've got to pay for these roads but the savings
are absolutely worth it, not just in terms of the safety,
but in terms of the time saves up to fifteen
minutes each way for you two dollars seventy I'd be
happy to pay that.

Speaker 3 (14:39):
And that's the general feedback here around town.

Speaker 2 (14:41):
Now, Tuggy, I've got to say, because you're in Palmerston
North National Secondary School basketball tournaments up there this week,
a big event, and I'm going to go up a
couple of times after the show. I mean, driving between
Wellington and Palmerston now is a breeze because of it,
isn't it?

Speaker 3 (14:55):
Well it is.

Speaker 5 (14:56):
I mean, you know, it'll be great when the new
CAPBLIC connection service comes on in twenty twenty nine. It'll
give people lots of options. But for now, yes, and
this is a critical and vital link in terms of
from Wellington right through to the Mnuwatu. Of course, it
has to be told because the government have a six
billion dollar financial hole in the transport budget, so they've
got to scrabble around try and find the revenue somewhere.

Speaker 2 (15:18):
But are you against tolling.

Speaker 5 (15:21):
No, I'm not against tolling. I am against sort of
whacking it on to a community right at the end
of the whole process. Like the government sought to do
with Tiahua Tuanga the Mnuatu Tartarhua Highway, they got a
very stern message around what the community thought around that.
But the good thing is that this particular oh to
and now project, you know, consultation with the community about
a toll did take place, and so I accept that.

(15:43):
I'm supportive of the toll being placed on the stretch
of road.

Speaker 2 (15:46):
Right, I know that we have to wrap in a
couple of minutes. We're still waiting on Winston Peters to
reveal whether New Zealand players to formally recognize Palestine's stay.
Is this taking too long? Are we wise to be
sitting back and waiting just a yes or no?

Speaker 3 (16:02):
Oh?

Speaker 4 (16:03):
Look, sometimes the plima thin can be seen to take
take a while. Well, I think the thing is it
will be an important step when New Zealand does take it.

Speaker 2 (16:11):
We're waiting too long?

Speaker 4 (16:13):
Well, no, I don't think we're waiting too long. I
think the time is going to be about right. But
also we have to be realistic that this recognition alone
won't be the thing that actually gets a bottle of
water or a food parcel or a bandage and a
health first day kit across the border into Gaza where
it's needed.

Speaker 3 (16:31):
So you know, words matter, but also so to actions
and right now we need that or know.

Speaker 2 (16:39):
That I've had in my career in radio tugy. Can
you be a little bit sharper? Are we waiting too long?

Speaker 5 (16:46):
Yes?

Speaker 2 (16:47):
That's it?

Speaker 5 (16:49):
Well, I hate to it you wanted to.

Speaker 3 (16:50):
Yes, yes we are.

Speaker 5 (16:52):
And look, the reality is that I think Tim probably
already knows what the government position on this because the
government have made a decision. And what's really disappointing here
is that the government are choosing to treat Kiwi's with
disrespect by waiting until Winston Peters is on the world
stage to globally announce what that decision is.

Speaker 1 (17:09):
We need to know.

Speaker 5 (17:10):
The government need to come out and identify what it
is it needs to be in support of an immediate
cease fire, recognizing two states. Yes, yes, yes, we have
waited far too long.

Speaker 2 (17:19):
Thank you, Tim, He's right, tongue, he's right, you know,
you got you know exactly what's happening. It's just a
timing issue. Trying to get the big best exposure moment
for Winston Peters isn't it.

Speaker 4 (17:30):
Oh not saying this, but hush, Look at true, I
need to sit there in opposition and say that. You know,
we've spent years, through those COVID years, asking for clarity
and you know, decisions to be communicated, and you know
it was a little bit different then when the shoes
on the other foot. So look, look, this is this
is not just a yes no game. This is actually
this really matters for the people that are impacted on

(17:51):
the ground.

Speaker 2 (17:52):
I know, I know you guys have got to go,
and we've got to go. Tim Costly tonguey Uda Kitty,
thank you very much for joining us this morning. I'll
look forward to the social media bite that will be
on this afternoon. Tim.

Speaker 1 (18:05):
For more from Willie Mornings with Nick Mills, listen live
to news Talks It'd be Wellington from nine am weekdays,
or follow the podcast on iHeartRadio.
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