Labour's Cabinet turned down a proposal to stop funding gangs.
The National Party's revealed the then-Justice Minister Kiri Allan lodged the proposal to end contracts with gangs in July.
Cabinet didn't agree, which National says is another example of Labour being soft on crime.
National's spokesperson for Public Service, Simeon Brown, says it's a waste of taxpayer money.
"And what we see the Mongrel Mob doing is peddle meth and misery- they're not out there to try and help people become better and get off drugs. It's completely opposed to what they do."
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