Responding to the latest Controller of the Auditor General report criticising the decision-making process that led towards $15.9 billion worth of investment projects to be delivered over the pandemic period, Taxpayers’ Union Campaigns Manager, Connor Molloy, said:

“It should have been obvious to the then Labour-led Government that rapidly pulling together a bunch of massive infrastructure projects, against advice from officials, was a recipe for disaster. Sadly, it seems that the ministers of the day were more concerned with the glamour of an announcement than they were with ensuring that they would actually receive value-for-money from their investment.

“We could see from the outset that without focused timeframes and transparency measures, the fund was always doomed to fail. Now, more than 3 years later, many of the various projects have blown way over budget and are either still ongoing, haven’t been started, or have been ditched altogether. The dismal rollout of this fund only highlights the outrageous disrespect the previous Government had for taxpayer funds.

“We welcome the Auditor General’s recommendation for Treasury to provide more regular updating on the delivery of major capital spending projects. Given the complete failure from the previous Government to deliver on their infrastructure promises, it is critical that taxpayers can be sure their money is being spent effectively and responsibly going forward.”

The Taxpayers’ Union is slamming today’s announcement from Judith Collins that the Government is doling out more corporate welfare via Callaghan Innovation instead of cutting waste and delivering tax relief to hard-working New Zealanders.Taxpayers’ Union Campaigns Manager, Connor Molloy, said:

“Any hope that this Government would be one for the taxpayer rather than caving in to crony capitalism and its special interests is fast going out the window.

“Grants like these simply pick winners by gambling with taxpayer money rather than allowing the market to determine what businesses should succeed based on their ability to provide a product people want at a price people are willing to pay.

“Arguments that we need more taxes, such as the app tax, ring hollow when millions of dollars are frittered away giving millions in handouts to those who need it least. Wasteful spending like this simply fuels the cost-of-government crisis, driving up inflation for the struggling taxpayer.

“Judith Collins and Christopher Luxon have some serious explaining to do – are they going to be a government that supports free markets and private enterprise or one that puts a select few special interests ahead of the taxpayer? We urge the ACT Party to stick with their historically principled stance of opposing corporate welfare and push from inside Cabinet for this kind of buffoonery to come to an end.”

Responding to Hamilton City Council’s decision to spend $700,000 moving and re-developing a bus stop due to its location outside an adult toy store, Taxpayers’ Union Campaigns Manager, Connor Molloy, said:

“Only a couple of weeks ago, Hamilton City Council advised that they were looking to make savings to slash debt and finally balance the books. If the Council was actually serious about righting the ship, they wouldn’t spend a moment considering this outlandish upgrade. Sadly, it’s clear that Hamilton City’s councillors are completely unwilling to do anything more than pay lip service to fiscal restraint.

“While the relocation of the bus stop may be justified given the backlash from where it is currently situated, the problems were easily foreseeable and it should never have been built there in the first place. The Council could quite easily repaint a few road markings and dig a new hole for the sign at next to no extra cost. Instead, Hamilton ratepayers are being forced to needlessly funnel money into what has turned out to be a laughably costly makeover.

“Even with cuts to maintenance and cleaning budgets, the mayor has signalled that an enormous 25.5% rate hike will still be required to whip Hamilton’s finances back into shape. It’s abundantly clear from vanity projects like these that there is still plenty of waste to axe first before the Council starts hacking away at core services.”

The Taxpayers' Union is dismayed by the Ministry of Foreign Affairs and Trade's (MFAT) outrageous expenditure on its delegation to the COP 27 climate conference. New information revealed under the Official Information Act shows that the total travel and accommodation cost to the taxpayer was an eye-watering $201,496.59. The kicker? All New Zealand-based staff flew business class.
 
Oliver Bryan, Investigations Coordinator at the Taxpayers' Union, said, "This jaw-dropping cost is an affront to New Zealand taxpayers. Spending over $20,000 per person for ten staff members to attend a single climate conference, with the added irony of opting for business class flights, epitomizes extravagance. The accommodation costs for each member ranged between $10,762.95 and $12,781. It's enough to make one wonder whether it was really about climate or just another public sector junket.

"But of course the environment is what matters when discussing COP. The hypocrisy of flying ten staff members internationally to attend a conference designed to combat climate change is laughable. International travel is the only mode of transport not included in our Emissions Trading Scheme, so flights like these simply add to global net emissions.
 
"This expensive escapade not only reeks of financial recklessness but also undermines New Zealand's reputation in the fight against climate change. The public deserves better than this flagrant misuse of taxpayer money and woeful lack of environmental consideration. We will be watching to see if this year's COP takes as big a toll on the public purse."

Responding to Wellington city’s earthquake-strengthening crisis, which sees the city on track to upgrade just 20% of vulnerable buildings, Taxpayers’ Union Policy Adviser, James Ross, said:

“Hundreds of millions of dollars are being burnt upgrading earthquake-prone buildings, whether the owners want to keep the building or not. Heritage status binds the hands of owners, giving them no choice but to sink unbelievable amounts of capital into non-profitable projects.

“In dozens of cases, the owner is Wellington City Council itself. For just one example, a town hall described as of “dubious merit both historically and architecturally” is draining up to $329 million of ratepayers’ money on a gold-plated revamp at a time where billions in savings are needed to repair years of negligence to critical water infrastructure.

“Neither private owners nor cash-strapped ratepayers should be forced into exorbitant vanity projects such as these against their will. Councils must have the ability to de-list heritage buildings where preserving these is not in the public interest.”

Commenting on the Human Rights Commission’s appointment of a second “shared leader” to work alongside the existing Chief Executive, Taxpayers’ Union Policy Adviser, James Ross, said: 

“The cushy jobs-for-lefties culture at the top of the public service is well documented, but even by the incredibly low standards of Wellington bureaucrats this appointment at the Human Rights Commission takes the cake.  

“Having two people share the leadership of a Crown Entity is a deeply questionable choice in and of itself, but one thing is clear: if these two officials are going to share a job, then they should be sharing the salary as well. Instead, Whaipooti’s position was advertised with a salary almost two thirds higher than an MP’s. 

“The Human Rights Commission far too often uses taxpayer resources to stifle human rights rather than facilitate them, and that alone is more than enough reason for them to be scrapped. But this complete and utter disregard for the public’s back pockets goes to show that the Commission’s ethos is rotten right to the top.” 

Commenting on the incoming Government exploring plans to scrap Māori language bonuses for public servants, Taxpayers’ Union Policy Adviser, James Ross, said:

“If a role requires proficiency in te Reo Māori, then of course fluent speakers should be hired. But when proficiency isn’t relevant to the role in question, it is simply unacceptable that Kiwi taxpayers’ hard-earned money should be wasted encouraging skills which have absolutely no bearing on a bureaucrat’s ability to do their job whatsoever.

“Six years of untold levels of government waste resulted in spending increasing 70% whilst outcomes nosedived. Departments need to be looking for ways to trim the fat, and wasteful schemes like this must be first on the scrap heap.

“It doesn’t take a trained accountant to tell you that paying bureaucrats thousands of dollars a year in bonuses for skills which don’t improve outcomes does not provide value for money.”

The Taxpayers’ Union is expressing deep concern over New Zealand’s declining education standards as revealed by the latest OECD Programme for International Student Assessment (PISA) results.

Taxpayers’ Union Investigations Coordinator, Oliver Bryan, said:

“If education funding were a maths problem, it seems we’ve got the equation wrong – more dollars doesn’t equal better scores. Despite a 38.7% increase in the education budget from 2018 to 2023, and spending per student rising from $16,413 to $22,145, New Zealand’s performance continues to deteriorate.

“The latest PISA scores are a wake-up call. Despite pouring more money into education, we’re witnessing a decline in standards. It’s a clear indicator that throwing money at the problem isn’t the solution. The new government needs to get a hold of this, scrutinize where this funding is going and ensure it’s being used effectively to improve educational outcomes.

“With the economic problems facing New Zealand, we cannot afford for our education standards to decline and keep declining. Our youth deserve better and the taxpaying public demand better for their kids."

The New Zealand Taxpayers’ Union is offering to redesign logos for any renamed government departments for free in an effort to save taxpayers money following concerns that requiring a name change of government departments will give them an excuse to undergo an expensive rebrand.

Taxpayers’ Union Campaigns Manager, Connor Molloy, said:

“Taxpayer-funded organisations will take any opportunity to undergo an expensive rebrand which involves spending tens, if not hundreds, of thousands of dollars on design and consultation fees – we will do this for free.

“Government branding guidelines say all departments should begin transitioning towards the NZ Govt logo mark, which incorporates the Coat of Arms next to the name of the department. But this is being ignored with many departments continuing to have free rein over their branding – racking up costs with every brand change and creating confusion among the public as to which departments are affiliated with the Government.

“We recently revealed that the Human Rights Commission spent $418,000 on a new brand and website while the Electricity Authority spent almost $100,000 on a logo that was was near identical to the old one. Standardising government branding, as is done in the UK and Australia, will increase accessibility and save taxpayers millions.”

Taxpayers will be alarmed that the Minister of Finance has said the new Government has discovered “nasty financial surprises” despite Ruth Richardson’s Fiscal Responsibility Act that was specifically designed to avoid the exact situation the new Government appears to be in.

“Ms Willis is not prone to Winston Peters-style rhetoric so her comments are particularly alarming” says Jordan Williams, a spokesman for the Taxpayers’ Union.

“Given Treasury’s role to prepare the Pre-election Fiscal and Economic Update, it is inexcusable for a government to be greeted by economic surprises.

“We need to cut through political claims and point scoring and get to the bottom one way or another. It is becoming clear that Treasury has dropped the ball and we urgently need an updated assessment of the objective state of the books over and above HYFEU, due by the end of the year.

“A government inquiry, or at minimum, a select committee inquiry with the ability to call under oath the former Minister of Finance, and Treasury officials is called for. If the books are in the state Nicola Willis claims, clearly there has been a major failing within our public finance institutions. As well as getting to the truth, Wellington need to learn the lessons, if we are not to return to the 1980-style politicisation of public accounts.”