Winston Peters: NZ First leader lays out plans for Government to buy BNZ

The New Zealand First leader says they'll be telling the National Australia Bank we want our bank back - as he lays out plans for the Government to buy BNZ.

The party will campaign on the purchase - after its sale in 1992 - and merging it with Kiwibank to create a National Bank of New Zealand. 

Winston Peters told Mike Hosking that the bank may not be for sale, but they'll make sure it is.

He says he doubts the National Australia Bank would turn them down - so Kiwis won't be ripped off for much longer if NZ First gets back in. 

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Episode Transcript

Speaker 1 (00:00):
You can tell the elections already here, can't you give
a national announce some judicial change that we'll get to
in a moment, and you see it. On first promised
one thousand dollars for each baby born to put into
a Kiwi saber, as well as buying back the BEE
and Z to merge with Kiwi Bank. Winston Peter's with
us morning.

Speaker 2 (00:14):
Good morning.

Speaker 1 (00:15):
How much does a bank cost?

Speaker 2 (00:18):
That's a fascinating question. Well, if you look at the
expert announcements over the last few years, it could be
a range of between seven and a half two twelve,
maybe fifteen billion, possibly much less than that in the
circumstances of a coming.

Speaker 1 (00:32):
Okay, so do the people who owned the B and
Z know you're coming for them or not really yet?

Speaker 2 (00:39):
No, that's the first announcement when made yesterday. But the
truth is that we began that bank many many decades
ago to try and take on foreign banks. It was mud,
it was usually successful, and then we started having a
privatization which began was selling one third to fay Wish Wide,
you recall, and on eighty seven then the bank went bankrupt.
The government that they guaranteed to underwrite. It's ongoing work

(01:04):
and bail it out and an underwriter it's ongoing work
and have a full selle investigation. We never did that.
We bailed it out, of course, and then we folded
it off to NAB in November of ninety two and
the rest is history.

Speaker 1 (01:17):
Yes it is, and that's fascinating. But nevertheless, I can't
work out how you're going to buy a bank that
isn't for sale.

Speaker 2 (01:24):
Well, yoursel do you say to them that this is
a country that brings internationals, this is like Australia. We
believe that ned Kelly is not baring himself and in
banking in his even we know they're over charging us,
and that's a fact as well, and we're saying we
want our bank back and we're better pay for it. Now.
You could call it nationalization, or you could call it
just a smart decision that they will make right.

Speaker 1 (01:44):
And so even if they came up with a price,
where would you get the money from.

Speaker 2 (01:50):
Well, you know, we've got the Sovereign Bank bond issuance
for capacity, We've got a long beded crown bet arrangement.
If we want to do that, we could have a
ton of truant of insual fund, an ac investment. This
is all there at the mountains ze On funds for
eighty two billion dollars in it, and so very smart investment.
And we're going to keep the Quy Bank as the
capital base and join them together. It just makes sense.

Speaker 1 (02:12):
Super fund is independent. Would you instruct them to buy
would you?

Speaker 2 (02:16):
No, we wouldn't do that. But the reality is the
super fund has done extraordinary well in some of its years.
It's been the worlds leading super fund in terms of
its percentage of savings. But this would make advice, but
this would be very wise. Here's a real point. When
they make one point five more billion profit per year,
we'll pay it off in a very short time ourselves.

Speaker 1 (02:38):
Of course, absolutely, this is all fantastic. It's just the
bank isn't for sale and they're not going to sell
it to you.

Speaker 2 (02:46):
Yes, well, the reality is we're not going to have
this country captured by a bunch of near liberal MPs
or ministers who's sold to carry down the drain. You
can recall what happened last time.

Speaker 1 (02:57):
I know exactly what.

Speaker 2 (02:58):
No, no, Jim Baldwin has sold it. And then when
Helen Class started the Quey Bank, she made him head
of the bank structure and what he said in his
avening speech. He said in his avening speech, and he
took the job as the chairman of the board of
the of Quy Bank. I've always believed in the Zealand
should own its own bank. At the shoot myself. I mean,
this is just tragic what's going on here, and we're
not going to be captured by this going into the future.

Speaker 1 (03:20):
Even if I agree with you, that's just a history lesson.
It doesn't address the hero and now. The here and
now is the bank is not for sale.

Speaker 2 (03:29):
Well, the here and now the bank will be for
sale because we tell the we tell the nab and
won our bank back and we're pair to pay for
what and be reasonable about it.

Speaker 1 (03:36):
Now is going to tell you to get stuffed. They're
not interested. It's a profitable bank. They don't want to
sell you the bank. It's not for sale.

Speaker 2 (03:42):
Well, that's the last thing I've been telling you to do.
Is gets tough because reality is the first thing that
does make sure that ripping off New Zealand people who
go to banks, it's not going to happen after we
get in. Make no bones about that. I've been on
this case for four decades.

Speaker 1 (03:56):
Yes, you have. No one doubts your dedication to history.
Now I bet you said, do you want to bet?
I bet you one thousand dollars by the end of
twenty twenty seven, you haven't bought the bank. Do you
want to take that the charity of your choice?

Speaker 2 (04:08):
Go on? You're on? Just like the last time I won?

Speaker 1 (04:10):
Well, you lost the last time, so one thousand dollars
I didn't I won, you know, I like what? Yeah,
I won last time. One thousand dollars to the charity
of your choice.

Speaker 2 (04:18):
You have you to pay over. You took a whole
year to pay over.

Speaker 1 (04:20):
You won't be owning the B and Z by the
end of twenty twenty seven. Is that a bit.

Speaker 2 (04:27):
You remember? You know this can be a stage purchase.

Speaker 1 (04:29):
Oh okay, remember that.

Speaker 2 (04:35):
And the end of twenty seven, the full purchase or
stage purpose has taking place. How's that?

Speaker 1 (04:39):
Okay? So all right? By the end of twenty twenty seven,
thousand dollars to the charity of your choice. That sort
of sure.

Speaker 2 (04:45):
I'd make sure I make sure it goes towards our
new fund where when you're born you get a thousand
dollars in your account. You become a keyy sale from
day one. I'll put your first thousands.

Speaker 1 (04:53):
Without Okay, that's good. I did the numbers. What will
you get if the return is four percent on average year?
If you give a child one thousand dollars, how much
will it be worth when they're sixty five?

Speaker 2 (05:05):
The return will not be four percent. Look, I just
tell you. I just told you. We're going to make
sure we don't have the circus we've got at the moment.
We're going to make sure we get the right people
banning the fund so we get the kind of performance
that we have we had when when our column fund
was a world leader.

Speaker 1 (05:21):
So you're now able to believe the return on investment,
are you?

Speaker 2 (05:26):
Well? Nobody would do that, no one but the sense
of But what I can tell you, it'll be way
above the market rate.

Speaker 1 (05:32):
Okay, So at four percent, do you know what it
turns out to be?

Speaker 2 (05:37):
No, I haven't got it at four percent. I've got
it much harder than what have you got of that? Oh? Look,
we've had I've sat down with the team and we've
looked at the range, and so we have not We're
not going to go to public and say that because
we get down to it. Anything in that performance here
we talk about, though, will be marvelous for the economy.

Speaker 1 (05:55):
There's not going to move on. I could stay here
talking to you forever. Winston Peter's the Leader New Zealand First.
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