Interest free student loans – still safe for now?

Written By: - Date published: 10:05 am, August 18th, 2016 - 58 comments
Categories: class war, debt / deficit, tertiary education - Tags: , , ,

A right-wing think tank blurts:

Interest-free student loans a ‘poor use of $6 billion taxpayers’ dollars’: report

The Government has written off $6 billion in interest on student loans in the last decade but a new report says the policy is a poor use of money and should be scrapped.

More than $1.5 million has been lent by the government to students in the last year alone and $602m was immediately written off, said Eric Crampton, head researcher at the New Zealand Initiative.

Yes, that’s the policy. Because $15 Billion in student debt is TOO MUCH ALREADY.

The loan scheme is a poor use of $6 billion and ultimately it’s a subsidy for “upper and middle class households who can afford to pay their own way,” he said.

That is true if and only if tertiary education is populated by the children of “upper and middle class households”, which it isn’t. And if it was, what a sad indictment of education in NZ that would be!

Labour Party education spokesman Chris Hipkins says scrapping interest-free student loans would “reinforce inequity”.

Exactly.

But both National and Labour are agreed – the right wing think-tank has got it wrong and neither party has any intention of getting rid of the scheme.

Crampton says politically the policy is a win and no party at the mercy of voters would want to get rid of it but in terms of increasing the number of students with degrees and the number of poorer students attending – it’s failed on both counts.

However,Tertiary Education Minister Steven Joyce disputes that and says official figures show 20,800 students completed bachelor degrees in 2008 and since 2012 the number of students has been in excess of 25,000.

He says the issue is about trade-offs and the government has it about right.

And interesting acknowledgement, given the way the Nats howled about interest free loans when Labour introduced them.

58 comments on “Interest free student loans – still safe for now? ”

  1. dukeofurl 1

    There are two types of student loan ‘ interest writeoffs’

    Firstly for students who are still studying, their interest is written off immediately

    Secondly for those who are out of study but paying at least the minimum to repay the amount borrowed any interest on the amount borrowed is written off.
    ( I hope I have the basics right- there may be an income threshold)

    • Chooky 1.1

      ..except for those young NZers living overseas….they get interest heaped on their loans and met at the airport if they are not paying through the nose…criminal really

      • dukeofurl 1.1.1

        Those are only people who have never paid any back, it may be interest free but its never principal free.
        Plus they dont respond to attempts to contact them. They are stealing from the taxpayer so deserve it as they discredit the whole scheme for people who do play by the rules.

        • Chooky 1.1.1.1

          “Those are only people who have never paid any back”…that is simply NOT true for a start

          …”Plus they dont respond to attempts to contact them.”…where is your evidence for this?…again not true!

          “They are stealing from the taxpayer so deserve it”… again not true! … many New Zealand taxpayers believe in supporting students through tertiary study for the good of New Zealand

          …and the rest is not true either!( fallacious arguments all)

  2. Lanthanide 2

    My partner has a phd, and over $50k of student debt. If interest were still being charged on loans, he would likely have gone to Australia after completing his degree, to earn enough money to keep up with the interest. It’s reasonably likely that I would have also gone with him, as I’d probably still have had a small amount left on my student loan too (as it was, I paid mine off in 2010 I believe, 4 years after graduating).

    Instead, it’s interest-free to stay in NZ. He’s now set up his own engineering company and employs 3 people, looking to hire 2-3 more over the next 12 months or so.

  3. Righty right 3

    There getting loans interest free the very least the student should do in pay back there student loans the government could package these loans up and sell them off get some of our money back

    • North 3.1

      Gosh you’re a box of tricks Righty Right. One minute you’re quite insightful next minute you want to throw people to the wolves. On which occurrence bankruptcy (the earlier adjudicated the better) would become more de rigueur than starry-eyed love declarations for John Key by T’Audrey and Trev’ of The Herald. Unless of course the love object were to exclude usual bankruptcy rules for the benefit of his pals the private wolves.

      • dukeofurl 3.1.1

        The government borrows at (say) 2.5% and lends it out to students at ( currently) 4.8%
        Its making money Rr, surely you could love that

  4. ianmac 4

    A bit puzzling that, “More than $1.5 million has been lent by the government to students in the last year alone and $602m was immediately written off, said Eric Crampton, head researcher at the New Zealand Initiative.”
    Was that $602million a debt written off, or was it what would have been gained had interest been charged?
    And the $6billion?

    • dukeofurl 4.1

      Its interest written off. They way it works is the account is sent with ‘interest due’ shown which then has a corresponding credit for interest written off. Interest is calculated daily too which is pretty tough if you dont qualify for interest free.

  5. keith ross 5

    I listened to the American tell us how to do it and could not believe that he really thinks that making it more un-affordable would be bettor for the poorer students . In America this would be ridiculous to not make money off the education of your children but this is NZ not Alabama. We used to care about our own population and how well they were doing. Now they are all about how to make money off everything and everyone ,winners and losers(mostly losers under neoliberal capitalism). Everyone can’t afford to have their daddy pay for them while they invest their loan into the banking system. Two points about this. The money from the loan could of been used to pay for the study and the money from daddy could of been used to invest it makes no difference when you have money from two sources which one is then put where. The money is still the same when pooled. The second point is that is this really a problem ? I have never met anyone who has the spare money and the deceit to do this. On the loan agreements there are provisions for this must be for what you say it is for. To borrow 1000 dollars for expenses which you must state what they are and then not to follow through is surely illegal under our present system. I am at Otago Polytechnic right now and I personally know several students who have given up study or are thinking about quitting as they have not enough to pay their bills.Most can starve the bills off for a while but they eventually catch up on you. I need a job as I have to pay x by x is a common line among the non well off. Jobs are not easy to come by for a student in Dunedin and it hampers study in technical subjects to have to get out and work .
    His comments may be true in America but are out of touch in NZ

    • North 5.1

      Keith Ross – “I listened to the American tell us how to do it…….”

      Yes, their fraudulent claims to objectivity and technical excellence by use of spin words like “Initiative”, “Foundation” and “Institute” are appalling. Such types truly are Ugly Americans.

    • Draco T Bastard 5.2

      Polytechnic right now and I personally know several students who have given up study or are thinking about quitting as they have not enough to pay their bills.

      Yep, our present system makes it almost impossible to actually be able to afford to finish study.

    • aj 5.4

      “Two points about this. The money from the loan could of been used to pay for the study and the money from daddy could of been used to invest it makes no difference when you have money from two sources which one is then put where. The money is still the same when pooled. The second point is that is this really a problem ? I have never met anyone who has the spare money and the deceit to do this. On the loan agreements there are provisions for this must be for what you say it is for. To borrow 1000 dollars for expenses which you must state what they are and then not to follow through is surely illegal under our present system”

      Totally true and never addressed by the Eric Crampton’s of this world. Kathryn Ryan to her credit confronted (weakly) Crampton about the lack of evidence for his case of loan abuse. It. Is. Total. BS

  6. Pat 6

    curiously there is no mention of the default/write-off level when student loans were subject to interest nor the rate of graduates heading offshore under the previous regime.

    The flaw in their argument is the fact the bulk of the defaults are by overseas based graduates who are subject to interest from the day they leave the country.

    • Chooky 6.1

      yes and ironically they leave the country in order to find work to pay off their student debt

      • In Vino 6.1.1

        I always believed that student debt is a nasty Right-Wing crime directed against a Social Good (Education), and I agree with Keith (comment 5) and his supporters.

  7. shorts 7

    whenever this lot publish their “research” I have to remind myself they’re the new face of the previously known Business Roundtable – an organisation many of us know by deed and history – i.e. we knew exactly what they stood for

    Everytime this mob publish their drivel I would suggest The Standard (at least) put something along the lines of the New Zealand Initiative previously known as the Business Roundtable – as that will easily identify the agenda to readers and posters

    • Pat 7.1

      their case is so weak and their presentation (as displayed on RNZ this morning) so unconvinced that it is evident it is nothing more than an attempted distraction.

      • shorts 7.1.1

        I’m not sure about the distraction – changing public perceptions is a long game

        • Pat 7.1.1.1

          true enough…and persistence is key, however it could serve both purposes…an immediate and long term goal.

    • Richard Christie 7.2

      Agreed, worse, the rump of whatever journalistic media that NZ still retains portray the NZ Institutes’ periodic self-serving propaganda offerings as “reports” , which implies they are commissioned or sought by some official body, or governmental agency, that has responsibilities towards policy development.

      Still, it’s understandable when you realise that the owners of our news services, big business and right wing think-tanks are all in it together. Thick as thieves.

  8. Irascible 8

    I suspect that the report was plagiarised as I read a similar piece of “research” from a USA based “think tank” last week.
    Here’s one of the “think pieces” that read in much the same way as the one released in NZ today.
    http://freakonomics.com/2011/09/19/forgive-student-loans-worst-idea-ever/

  9. We recommended reinstating interest on loans and using the savings to fund stronger tertiary preparation, especially in schools with poor track records in getting kids through to tertiary; we also recommended some of the savings be put into means-tested programmes for tertiary study. I thought it also could help fund the kind of career guidance programmes that Chris Hipkins has suggested.

    Tim Hazeldine, Prof of Econ at Auckland Uni, and not generally held to be part of the economic right, recommended reinstating interest on loans and using the savings for reducing tuition fees. http://www.stuff.co.nz/business/money/8197323/Bitter-pill-should-be-swallowed

    Susan St John, also at Auckland Uni, and of the Child Poverty Action Group, recommended looking at reinstating interest as a way of funding other forms of student support.
    http://www.radionz.co.nz/news/national/310013/rethink-interest-free-student-loans-child-poverty-group

    For what it’s worth, I’m Canadian, not American. I suppose whether I’m ugly or not is debatable, but I once again thank the Standard for its expected quality of commentary.

    • Pat 10.1

      assuming your proposals were implemented what is your projection for resident Kiwis tertiary education numbers and what distribution (polytech/university) changes?

    • Lanthanide 10.2

      Did you try and quantify the number of graduates who are explicitly staying in NZ because of the interest-free student loans, who otherwise would have gone overseas in search of higher wages to pay their interest?

      As I noted at #2 above, my partner has a phd and over $50k of student loan debt, which he is paying back at the minimum rate. He graduated just after the CHCH earthquakes struck and so ended up working night-shift in a plastics moulding factory barely above minimum wage because that was the only job he could get.

      If interest were being charged on his loan, he almost certainly would have gone to Australia. Instead he’s stayed in NZ and has now started his own engineering firm that currently employs 3 people and is looking to employ another 2-3 over the next 12 months. If he had gone to Australia, I probably would have gone with him, and this country would have lost two high-earning workers.

      So yes, charging interest might save some money up front. But how much would the country lose from further brain drain? Did you even try and quantify that?

      If not, your study isn’t worth much.

    • North 10.3

      Oh Crampton you can do better than that. The “Ugly……” I mention is the fake claim to objectivity advanced by use of spin words. It’s not necessarily silver-fox-coiffing a la the US Congress but then you know that.

    • Draco T Bastard 10.4

      We recommended reinstating interest on loans and using the savings to fund stronger tertiary preparation,

      Or we could get rich people to pay their taxes. That’d be ~$6 billion per year. Enough to fully fund study without fees or student loans.

      Tim Hazeldine, Prof of Econ at Auckland Uni, and not generally held to be part of the economic right, recommended reinstating interest on loans and using the savings for reducing tuition fees.

      He’s obviously stupid and wrong. All that reinstating interest will do is make young people even more in indebted or just not doing the study.

      Of course, that does seem to be the purpose of student loans and fees anyway.

      • Chooky 10.4.1

        +100 DTB…New Zealand students should be VERY WARY of these NeoLib immoral creeps!

        ( the Neolibs are cannibals of the young…in this case we have paid foreigners recommending we eat our own)

        …students need to get their act together and become a political force to change this government

    • Chooky 10.5

      This is a disguised cunning way of making New Zealand students and their families even more debt ridden

      (and slaves for the rest of their lives…as in the USA where $1.3 trillion in student debt is owed… Its a profit center for Wall Street and the government )

      https://www.revealnews.org/article/who-got-rich-off-the-student-debt-crisis/

      …”One of the winners in the profit spree behind this debt: the federal government. By the Department of Education’s own calculations, the government earns in some years an astounding 20 percent on each loan.

      “The United States government turns young people who are trying to get an education into profit centers to bring in more revenue for the federal government,” Sen. Elizabeth Warren, D-Mass., said on the Senate floor in February. “This is obscene. The federal government should be helping students get an education – not making a profit off their backs.”…

      ( New Zealand students and their families should NOT fall into the trap of American students and become debt slaves for the rest of their lives…they should VOTE this NACT government out !)

    • McFlock 10.6

      We recommended reinstating interest on loans and using the savings to

      yadda yadda yadda.
      1) Interest payments on student loans not “savings”, they’re “fleecings”.
      2) if any sector is underfunded, raise taxes on the private benefits of education rather than taxing education. Tax the higher income folk when they have a higher income. Because we need educated people in all walks of life.

      • In Vino 10.6.1

        +1 McFlock
        When people like Crampton talk about ‘using savings’ from their profit-gouging usury, we should all see the double-talk for what it is.
        A healthier, more moral society with greater insight would revert to the older religious practice of banning all usury – ie, any charging of interest at all.
        Flat wage increases instead of percentage-based ones would help. If John Key got a tiny percentage increase that gave him $5,000 a year more, so should everybody, including those on minimum wage. The full $5,000. That way, we could work to decrease the abominable and increasing gap between rich and poor.
        The percentage system is a rich man’s rort. Ban all interest, including on savings. Savings are on a loser rate anyway.

  10. Righty right 11

    I would agree if the students were given 2 to 3 years Intrest free on which time could be used to hammer the principle to ratchet a 20 yo with interest is not fair if the little prick makes no attempt of repayment then interest should whaked on and debt sold .There need to more education on the dangers of debt the way we handing out money is a form of predictor lending

    • Pat 11.1

      you do understand that anyone working in NZ with a student loan has their wage/salary garnished?

      • Righty right 11.1.1

        They still represent an asset that could be sold to kiwi saver funds if Intrest was charged

        • Pat 11.1.1.1

          they still can be…they are listed as an asset now…..assuming you see that as a positive. Of course that is merely bookkeeping slight of hand in any case as either way the risk is carried by the taxpayer…..unless of course your intention is to sell to an offshore interest?

  11. Observer Tokoroa 12

    .
    . To: Eric Crampton

    . Why should students be charged Interest Eric? Wouldn’t you be better to go out and enforce taxation on the many wealthy who exempt themselves to a greater or lesser extent.

    Neither students nor any PAYE person can wriggle out of Tax. Only the self employed and the wealthy thumb their nose at Tax. The Corporations too.

    The State wishing to make money out of student loans is appalling. Every normal person knows that. Usury enforced on the young,

    There is plenty of money for you to collect from tax avoiders.

    As regard the Professor of ECON loading up interest debt on students so as to reduce the cost of tuition, seems like a pea and thimble trick. Let the good professor pay more Tax. Strange man.

    Will you be writing a paper on all the ways a student should be ripped off. A tax on visiting a UNI toilet ? A tax on using the UnI corridors?. A Tax on drinking water from the Uni taps. A Tax on using chairs and desks.
    .
    .

  12. save nz 13

    When we get a refund cheque from the Natz members in parliament and the business roundtable for their free education paid completely by the tax payer and the interest on top of that, then we can take them seriously. Not before.

    Likewise can we have a refund from John Key and Paula Bennet for all the social welfare they received as children and growing up?

    I mean if they are serious about user pays…

  13. Gabby 14

    I’m sure Mr Crapton would approve of interest rates tailored to the wealth of students’ parents.

    • You_Fool 14.1

      Maybe tied to the weath/income of the student. Therefore as the graduate earns more they pay more tax.

      That said, just enforce current tax laws and we get the same thing

  14. Chooky 15

    …and in Britain

    ‘Homeward bound: 50% of grads who paid £9k-a-year tuition fees are living with parents, report says’

    https://www.rt.com/uk/356250-students-parents-tuition-report/

    “Students often dream of a nice house and fancy car after graduating from university, but a new report has revealed almost half of the first cohort who paid £9,000 a year in tuition fees are living back home with their parents.

    The National Union of Students (NUS) report highlighted the post-university situation of the first graduates to have paid £9,000 (US$11,700) per year in tuition fees, after costs were hiked in 2012.

    The report’s findings revealed that 47 percent of students were living with their parents seven months after graduating.

    But the bad news didn’t end there. Seven out of 10 students surveyed said they were concerned about the student debt they had accumulated, and half thought their degree wasn’t worth the fees. More than three-quarters of graduates said they are concerned the government might change the terms of their student loans to make them pay back more…

  15. Cinny 16

    Tertiary education should be free for all citizens. Those whom gain a qualification for any skill that there may be a shortage of in the near future should be given an incentive and a hook up for employment.

    The only reason any would try to suppress education is to gain control. A highly skilled educated population would be of huge benefit to NZ.

    Time to look to the future

    • b waghorn 16.1

      If it’s free how do you stop the students that go to uni for years and pass nothing ,

      • Cinny 16.1.1

        Limit the time, I like labours ideas on tertiary education. 3 is always a good number, 3yrs 😀 and it would enable many adults to retrain as some of their current jobs are replaced or scaled down due to advances in technology.

        Get a small incentive at the end when you receive your qualification. As well some whom may not gain their qualification will at least have some new skills to add more value to their life, future employment etc.

        Some whom fail at education are sometimes not that interested in what they are studying, so the advisor in the secondary school could help prevent that.

        • McFlock 16.1.1.1

          nah – you have postgrads, people who change degrees mid way, people who retrain mid-life, and older studiers used to be quite good examples for the young.

          I say make it free for everyone, but have policies on academic progression in funding so the establishments don’t have an incentive just to put bums on seats while educating nobody.

      • DS 16.1.2

        Universities already have procedures in place for perpetually failing students.

      • keith ross 16.1.3

        People who go to uni for years and pass nothing would not be readmitted to many institutions, as far as I am aware as the funding is worked out on a formula that is tied to a certain amount (%) that must pass (among other things). Maybe it was like that when you went but, thankfully, it does not reflect the reality today. You may find it quite a lot different now.

      • Nic the NZer 16.1.4

        You don’t. The waste of time involved is enough dis incentive anyway.

    • miravox 16.2

      Yup, I agree with this. For those who meet the entry requirements* tertiary education should be free.

      *which can and should be varied (I left school without qualifications so my entry requirements were being aged over 25 and passing a test).

      I don’t agree with time limits though. I can see the appeal, but it doesn’t work in practice. There would have to be so many exemptions to the limit that it’s cumbersome and has a whiff of unfairness. I agree with McFlock -the focus should be on academic progression.

      [With my academic background I should have a few disclaimers on that last paragraph]

  16. RedBaronCV 17

    The other thing we could do is to chop some of the exorbitant high end salaries the Universities pay. Lower down staff are worked hard and paid poorly but once the loans were interest free tuition fees exploded ( Basic degree went from $10000 to $20000 over about three years) so a large part of the interest free “benefit” was grabbed by those at the top of the Uni’s salary scale.

  17. Philj 18

    Let’s not forget the income to universities from overseas students and the marketing departments competing for ‘customers’. The system is totally back to front and these perverse outcomes are totally predictable. These are not unintended consequences.

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    Late last week The Treasury released a new 40 page report on “The productivity slowdown: implications for the Treasury’s forecasts and projections” (productivity forecasts and projections that is, rather than any possible fiscal implications – the latter will, I guess, be articulated in the Budget documents). In short, if (as it has) ...
    Point of OrderBy poonzteam5443
    4 days ago
  • The Controller and Auditor-General’s role
    Peter Dunne writes –  I am always wary when I hear that the Controller and Auditor-General has commented on or made recommendations to the government about an issue of public policy that does not relate strictly to public expenditure. According to the legislation, the role of the Controller ...
    Point of OrderBy poonzteam5443
    4 days ago
  • More harm than good
    How Labour’s and National’s failure to move beyond neoliberalism has brought NZ to the brink of economic and cultural chaos   Chris Trotter writes –  TO START LOSING, so soon after you won, requires a special kind of political incompetence. At the heart of this Coalition ...
    Point of OrderBy poonzteam5443
    4 days ago
  • Real reason Waitangi Tribunal could not summons Chhour
    And why did the Crown not challenge the Tribunal’s jurisdiction?   Gary Judd writes –  Retired District Court Judge, David Harvey, has posted on his A Halflings View Substack an excellent summary of Justice Isacs’ judgment declining to uphold the witness summons issued by the Waitangi Tribunal ...
    Point of OrderBy poonzteam5443
    4 days ago
  • Losing confidence in the integrity of NZ elections
    Bryce Edwards writes – Do you believe New Zealand runs its general elections fairly and competently? As a voter, can you be confident that the votes on your ballot will be counted towards the final result?As a political scientist, I’ve been asked these questions many times and ...
    Point of OrderBy poonzteam5443
    4 days ago
  • Macklemore's Pro-Palestinian Protest.
    Macklemore isn’t someone I’d usually think about. Sure I liked his big hit from a few years back, everybody did it was catchy and cool with some memorable lines. But if I was going to think of artists who might speak out on political matters or world events, he wouldn’t ...
    Nick’s KōreroBy Nick Rockel
    4 days ago
  • Gordon Campbell on miserly school lunches, and the banning of TikTok’s Gaza coverage
    Another week goes by in the Luxon government’s efforts to roll back the past 70 years of social progress. The school lunches programme is to be downgraded by $107 million, and women need bother their heads no longer about pay equity, let alone expect ACC to provide adequate sexual violence ...
    4 days ago
  • Weekly Roundup 10-May-2024
    Brrr, the first cold snap of the year. Hope you’re rugged up nice and warm. Here are some stories that caught our eye this week… This Week on Greater Auckland On Monday, we had a post from a new contributor, Connor Sharp, who dug into the public feedback ...
    Greater AucklandBy Greater Auckland
    4 days ago
  • The Hoon around the week to May 10
    Almost all of the Wellington City Council’s recommended zoning changes to allow many more apartments and townhouses in its inner-suburbs have been approved.Photo: Lynn Grieveson / The KākāTL;DR: The podcast above of the weekly ‘hoon’ webinar for subscribers features co-hosts and , along with regular guest on geopolitics, ...
    The KakaBy Bernard Hickey
    4 days ago
  • Skeptical Science New Research for Week #19 2024
    Open access notables A Global Increase in Nearshore Tropical Cyclone Intensification, Balaguru et al., Earth's Future: Tropical Cyclones (TCs) inflict substantial coastal damages, making it pertinent to understand changing storm characteristics in the important nearshore region. Past work examined several aspects of TCs relevant for impacts in coastal regions. However, ...
    4 days ago
  • Bryce Edwards: Losing confidence in the integrity of NZ elections
    Do you believe New Zealand runs its general elections fairly and competently? As a voter, can you be confident that the votes on your ballot will be counted towards the final result? As a political scientist, I’ve been asked these questions many times and always answered “yes”, with very few ...
    Democracy ProjectBy bryce.edwards
    4 days ago
  • The Song of Saqua: Volume VIII
    Thus far May has followed on from a quiet April in the blogging department, but in fairness, it has been another case of doing what I am supposed to be doing, namely writing original fiction. Plus reading. So don’t worry – I have been productive. But in order to reassure ...
    5 days ago
  • Pretending to talk other people’s languages
    Fakes can come in many forms.A Rolex, for instance.A tan can be fake. Read more ...
    More Than A FeildingBy David Slack
    5 days ago
  • What’s new? A social agency with an emphasis on “investment” instead of “wellbeing” – b...
    Buzz from the Beehive A new government agency will open for business on July 1 – the Social Investment Agency. As a new standalone central agency effective from 1 July, it will lead the development of social investment across Government, helping ministers understand who they need to invest in, what ...
    Point of OrderBy Bob Edlin
    5 days ago
  • Following the political money
    Bryce Edwards writes –    “Follow the money” is the classic directive to journalists trying to understand where power and influence lie in society. In terms of uncovering who influences various New Zealand political parties and governments, it therefore pays to look at who is funding them. The ...
    Point of OrderBy poonzteam5443
    5 days ago
  • Hipkins would rather no one remember that he was Minister of Education
    Alwyn Poole writes –  After being elected to Parliament in 2008 the maiden speech of Hipkins was substantially around education policy. He was Labour’s spokesperson for education 2011 – 2017. He was Minister for Education from 2017 until February 2023. This is approximately 88% of the time Labour ...
    Point of OrderBy poonzteam5443
    5 days ago
  • Fashionable follies
    Eric Crampton writes –  A fashion industry group is lobbying for protections. They make the usual arguments and a newer one. None of it makes sense. An industry group says it pumped $7.8 billion into the economy last year – that’s 1.9 percent of New Zealand’s GDP. ...
    Point of OrderBy poonzteam5443
    5 days ago
  • Justice for Bainimarama!
    In December 2006, Fiji's military leader Voreqe Bainimarama overthrew the elected government in a coup. He ruled Fiji for the next 16 years, first as dictator, then as "elected" Prime Minister. But now, he's finally been sent to jail where he belongs. Sadly, this isn't for his real crime of ...
    No Right TurnBy Idiot/Savant
    5 days ago
  • March for Nature in June
    Don't like National's corrupt Muldoonist "fast-track" law? Aotearoa's environmental NGO's - Greenpeace, Forest & Bird, WWF, Coromandel Watchdog, Coal Action Network Aotearoa, Kiwis Against Seabed Mining, and others - have announced a joint march against it in Auckland in June: When: 13:00, 8 June, 2024 Where: Aotea Square, Auckland You ...
    No Right TurnBy Idiot/Savant
    5 days ago
  • Bernard’ s Dawn Chorus & Pick ‘n’ Mix for Thursday May 9
    Seymour describes sushi as too woke for school meals. There are no fish sushi meals recommended by the School Lunches programme. Photo: Lynn Grieveson / Getty ImagesTL;DR: The Government will swap out hot meals for packaged sandwiches to save $107 million on school lunches for poor kids. MSD has pulled ...
    The KakaBy Bernard Hickey
    5 days ago
  • The non-woke $3 Lunch.
    I don't mind stealin' bread from the mouths of decadenceBut I can't feed on the powerless when my cup's already overfilled, yeahBut it's on the table, the fire's cookin'And they're farmin' babies, while slaves are workin'The blood is on the table and the mouths are chokin'But I'm goin' hungry, yeahSome ...
    Nick’s KōreroBy Nick Rockel
    5 days ago
  • Labour’s chickens come home to roost
    The Ardern Government’s chickens came home to roost yesterday with the news that the country is short of natural gas. In 2018, Labour banned offshore petroleum exploration, and industry executives say that the attendant loss of confidence by the industry impacted overall investment in onshore gas fields. Energy Resources Minister ...
    PolitikBy Richard Harman
    5 days ago
  • Calvin Reviews Lord of The Rings
    Hi,If you’ve been digging through the newly launched Webworm store (orders are being dispatched worldwide as I type!) you’ll have noticed the best model we had was Calvin.This is Calvin.Calvin.Calvin is 7, and is the son of my producer over on Flightless Bird, Rob — aka “Wobby Wob”. Rob also ...
    David FarrierBy David Farrier
    5 days ago
  • Climate Adam: How to visualise Climate Change (ft. Katharine Hayhoe)
    This video includes conclusions of the creator climate scientist Dr. Adam Levy. It is presented to our readers as an informed perspective. Please see video description for references (if any). Climate change is everywhere. And when something's everywhere it can feel like it's nowhere. So how do we get our heads ...
    5 days ago
  • The wrong direction
    Some good news on climate change today: the energy transition away from fossil fuels is picking up speed, and renewables now make up 30% of global electricity supply. Meanwhile, in Aotearoa, we're moving in the opposite direction, with Genesis Energy announcing that it will resume importing Indonesian coal. Their official ...
    No Right TurnBy Idiot/Savant
    6 days ago
  • National hates democracy
    Its a law like gravity: whenever a right-wing government is elected, they start attacking democracy. And now, after talking to their Republican and Tory and Fidesz chums at the International Democracy Union forum in Wellington, National is doing it here, announcing plans to remove election-day enrolment. Or, to put it ...
    No Right TurnBy Idiot/Savant
    6 days ago
  • No Tikanga Please, We're Lawyers.
    Yesterday Winston Peters focussed his attention on the important matter at hand. Tweeting. Like the former, and quite possibly next, orange POTUS, from whom he takes much of his political strategy, Winston is an avid X’er.His message didn’t resemble an historic address this time. In fact it was more reminiscent ...
    Nick’s KōreroBy Nick Rockel
    6 days ago
  • Member’s Day
    Today is a Member's Day, and it seems we've entered the slowdown as things emerge from select committee. First up is the committee stage of Greg O'Connor's Child Protection (Child Sex Offender Government Agency Registration) (Overseas Travel Reporting) Amendment Bill, which will be followed by the second readings of Stuart ...
    No Right TurnBy Idiot/Savant
    6 days ago
  • Hurrah for coal – Shane Jones welcomes Genesis Energy’s import plans as natural gas production s...
    Buzz from the Beehive A significant decline in natural gas production has given Resources Minister Shane Jones an opportunity to reiterate his enthusiasm for the mining and burning of coal. For good measure, he has praised an announcement from Genesis Energy that it will resume importing coal. He and Energy ...
    Point of OrderBy Bob Edlin
    6 days ago
  • Bryce Edwards: Following the political money
    “Follow the money” is the classic directive to journalists trying to understand where power and influence lie in society. In terms of uncovering who influences various New Zealand political parties and governments, it therefore pays to look at who is funding them. The political parties are legally obliged to make ...
    Democracy ProjectBy bryce.edwards
    6 days ago
  • A Left-Right ranking of universities in NZ: a practical guide for students and parents
    Rob MacCullough writes – Here is my subjective ranking on a “most-left” to “most-right” scale of most of our major NZ Universities, with some anecdotal (and at times amusing) evidence to back up the claim. Extreme Left   Auckland University of Technology Evidence The ...
    Point of OrderBy poonzteam5443
    6 days ago
  •  Inflation and GST thresholds
    Eric Crampton writes –  I hadn’t thought about this one until a helpful email showed up in my inbox.It’s pretty obvious that income tax thresholds should automatically index with inflation – whether to anchor the thresholds in percentiles of the income distribution, or to anchor against a real ...
    Point of OrderBy poonzteam5443
    6 days ago
  • Green Party grapples with persistent scandals
    Jacqui Van Der Kaay writes –  Parliament’s speaker had no option but to refer Green MP Julie Anne Genter to the Privileges Committee for her behaviour in the House last Wednesday evening. The incident, in which she crossed the floor to wave a book and yell at National ...
    Point of OrderBy poonzteam5443
    6 days ago
  • A law school to be avoided – Auckland University of Technology
    Gary Judd writes – The Dean of the law school at the Auckland University of Technology is someone called Khylee Quince. I have been sent her social media posting in which she has, over the LawNews headline “Senior King’s Counsel files complaint about compulsory tikanga Maori studies for ...
    Point of OrderBy poonzteam5443
    6 days ago
  • 17 people in Malaita stand in way of China’s takeover of the Solomons
    Cleo Paskal writes – WASHINGTON, D.C.: ‘Many of us have received phone calls from [the opposing camp] telling them if they join the camp they will be given projects for their wards and $300,000 [around US$35,000] each’, says former Malaita Premier Daniel Suidani. The elections in Solomon Islands aren’t ...
    Point of OrderBy Bob Edlin
    6 days ago
  • Gordon Campbell on the Hamas Ceasefire Offer, and Mark Mitchell’s Incompetence
    With hindsight, it was inevitable that (a) Hamas would agree to the ceasefire deal brokered by Egypt and Qatar and that ( b) Israel would then immediately launch attacks on Rafah, regardless. We might have hoped the concessions made by Hamas would cause Israel to desist from slaughtering thousands more ...
    6 days ago
  • Bernard’ s Dawn Chorus & Pick ‘n’ Mix for Wednesday May 8
    Placards and mourners outside the Kilbirnie Mosque following the Christchurch terror attack: MSD has terminated the Kaiwhakaoranga service, which has been used by 415 families since the attacks. Photo: Lynn GrievesonTL;DR: The Government’s pledge to only cut ‘back office’ staff rather than ‘frontline’ services is on increasingly shaky ground, with ...
    The KakaBy Bernard Hickey
    6 days ago
  • A few PT announcements
    There’s been a few smaller public transport announcements over the last week or so that I thought I’d cover in a single post. Fareshare I’ve long called for Auckland Transport to offer a way to enable employer-subsidised public transport options. The need for this took on even more importance ...
    6 days ago
  • Jacqui Van Der Kaay: Green Party grapples with persistent scandals
    Parliament’s speaker had no option but to refer Green MP Julie Anne Genter to the Privileges Committee for her behaviour in the House last Wednesday evening. The incident, in which she crossed the floor to wave a book and yell at National Minister Matt Doocey, reflects poorly on Genter and ...
    Democracy ProjectBy bryce.edwards
    6 days ago
  • At a glance – Tree ring proxies and the divergence problem
    On February 14, 2023 we announced our Rebuttal Update Project. This included an ask for feedback about the added "At a glance" section in the updated basic rebuttal versions. This weekly blog post series highlights this new section of one of the updated basic rebuttal versions and serves as a ...
    6 days ago
  • Nothing to sneer at
    Who likes being sneered at? Nobody. Worse yet, when the sneerer has their facts all wrong, and might well be an idiot.The sneer in question is The adults are in charge now, and it is a sneer offered in retort to criticism of this new Government, no matter how well ...
    More Than A FeildingBy David Slack
    7 days ago
  • Still on their bullshit
    When in government, Labour pushed to extend the Parliamentary term to four years, to reduce accountability and our ability to vote out a bad government. And now, they're trying to do it through the member's ballot, with a Four-Year Parliamentary Term Legislation Bill. The bill at least requires a referendum ...
    No Right TurnBy Idiot/Savant
    7 days ago
  • Drawn
    A ballot for a single Member's Bill was held today, and the following bill was drawn: Public Works (Prohibition of Compulsory Acquisition of Māori Land) Amendment Bill (Hūhana Lyndon) The bill would prevent the government from stealing Māori land in breach of Te Tiriti o Waitangi. It ...
    No Right TurnBy Idiot/Savant
    7 days ago
  • A nod and a wink that will unnecessarily cost Aucklanders tens of millions per year
    Simeon Brown, alongside Wayne Brown, is favouring a political figleaf now in exchange for loading up tens of millions in extra interest costs on Auckland ratepayers. Photo: Lynn GrievesonTL;DR: Ratings agency Standard & Poor’s is pushing back hard at suggestions from Local Government Minister Simeon Brown and Mayor Wayne Brown ...
    The KakaBy Bernard Hickey
    7 days ago
  • Correcting the Corrections announcement – a fiscal farce that should bother the OECD
     Buzz from the Beehive One headline-grabber from the Beehive yesterday was the OECD’s advice that the government must bring the Budget deficit under control or face higher interest rates. Another was the announcement of a $1.9 billion “investment” in Corrections over the next four years. In the best interests of ...
    Point of OrderBy Bob Edlin
    7 days ago
  •  Like it or not, the Kiwis are either going into ‘Pillar 2’ – or they are going to China
    Chris Trotter writes –  Had Zheng He’s fleet sailed east, not west, in the early Fifteenth Century, how different our world would be. There is little reason to suppose that the sea-going junks of the Ming Dynasty, among the largest and most sophisticated sailing vessels ever constructed, would have failed ...
    Point of OrderBy poonzteam5443
    7 days ago
  • A balanced and an unbalanced article
    David Farrar writes – Two articles give a useful contrast in balance. Both seek to be neutral explainer articles. This one in the Herald on Social Investment covers the pros and cons nicely. It links to critical pieces and talks about aspects that failed and aspects that are more ...
    Point of OrderBy poonzteam5443
    7 days ago
  • Deeply unserious country
    Every bit of this seems insane. And people wonder why productivity is falling through the floor. Energy News reports that the Environment Court finally threw out Allan Crafar’s appeal against a solar farm. From the story: Consent was granted in 2022. Crafar appealed November 2022. On what grounds? That ...
    Point of OrderBy poonzteam5443
    7 days ago
  • Senior King’s Counsel files complaint about compulsory tikanga Māori studies for law students
    The tikanga regulations will compel law students to be taught that a system which does not conform with the rule of law is nevertheless law which should be observed and applied…  Gary Judd KC writes –  I have made a complaint to Parliament’s Regulation ...
    Point of OrderBy poonzteam5443
    7 days ago
  • https://www.greaterauckland.org.nz/?p=77196
    The future of Te Huia, the train between Hamilton and Auckland, has been getting a lot of attention recently as current funding for it is only in place till the end of June. The government initially agreed to a five year trial, through to April 2026, but that was subject ...
    7 days ago
  • Bernard’s pick 'n' mix for Tuesday, May 7
    TL;DR: Hamas has just agreed to Israel’s ceasefire plan. Nelson hospital’s rebuild has been cut back to save money. The OECD suggests New Zealand break up network monopolies, including in electricity. PM Christopher Luxon’s news conference on a prison expansion announcement last night was his messiest yet.Here’s my top six ...
    The KakaBy Bernard Hickey
    7 days ago
  • HM Prison Aotearoa.
    A homicide in Ponsonby, a manhunt with a killer on the run. The nation’s leader stands before a press conference reassuring a frightened nation that he’ll sort it out, he’ll keep them safe, he’ll build some new prison spaces.Sorry what? There’s a scary dude on the run with a gun ...
    Nick’s KōreroBy Nick Rockel
    7 days ago
  • Get Your Webworm Merch!
    Hi,I know it’s been awhile since there’s been any Webworm merch — and today that all changes!Over the last four months, I’ve been working with New Zealand artist Jess Johnson to create a series of t-shirts, caps and stickers that are infused with Webworm DNA — and as of right ...
    David FarrierBy David Farrier
    7 days ago

  • COVID-19 Inquiry terms of reference consultation results received
    “The results of the public consultation on the terms of reference for the Royal Commission into COVID-19 Lessons has now been received, with results indicating over 13,000 submissions were made from members of the public,” Internal Affairs Minister Brooke van Velden says. “We heard feedback about the extended lockdowns in ...
    BeehiveBy beehive.govt.nz
    6 hours ago
  • The Pacific family of nations – the changing security outlook
    Foreign Minister, Defence Minister, other Members of Parliament Acting Chief of Defence Force, Secretary of Defence Distinguished Guests  Defence and Diplomatic Colleagues  Ladies and Gentlemen,  Good afternoon, tēna koutou, apinun tru    It’s a pleasure to be back in Port Moresby today, and to speak here at the Kumul Leadership ...
    BeehiveBy beehive.govt.nz
    11 hours ago
  • NZ and Papua New Guinea to work more closely together
    Health, infrastructure, renewable energy, and stability are among the themes of the current visit to Papua New Guinea by a New Zealand political delegation, Foreign Minister Winston Peters says.   “Papua New Guinea carries serious weight in the Pacific, and New Zealand deeply values our relationship with it,” Mr Peters ...
    BeehiveBy beehive.govt.nz
    14 hours ago
  • Driving ahead with Roads of Regional Significance
    The coalition Government is launching Roads of Regional Significance to sit alongside Roads of National Significance as part of its plan to deliver priority roading projects across the country, Transport Minister Simeon Brown says.  “The Roads of National Significance (RoNS) built by the previous National Government are some of New Zealand’s ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • New Zealand congratulates new Solomon Islands government
    A high-level New Zealand political delegation in Honiara today congratulated the new Government of Solomon Islands, led by Jeremiah Manele, on taking office.    “We are privileged to meet the new Prime Minister and members of his Cabinet during his government’s first ten days in office,” Deputy Prime Minister and ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • New Zealand supports UN Palestine resolution
    New Zealand voted in favour of a resolution broadening Palestine’s participation at the United Nations General Assembly overnight, Foreign Minister Winston Peters says.    “The resolution enhances the rights of Palestine to participate in the work of the UN General Assembly while stopping short of admitting Palestine as a full ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Speech to the 2024 Infrastructure Symposium
    Introduction Good morning. It’s a great privilege to be here at the 2024 Infrastructure Symposium. I was extremely happy when the Prime Minister asked me to be his Minister for Infrastructure. It is one of the great barriers holding the New Zealand economy back from achieving its potential. Building high ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • $571 million for Defence pay and projects
    Defence Minister Judith Collins today announced the upcoming Budget will include new funding of $571 million for Defence Force pay and projects. “Our servicemen and women do New Zealand proud throughout the world and this funding will help ensure we retain their services and expertise as we navigate an increasingly ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Climate change – mitigating the risks and costs
    New Zealand’s ability to cope with climate change will be strengthened as part of the Government’s focus to build resilience as we rebuild the economy, Climate Change Minister Simon Watts says. “An enduring and long-term approach is needed to provide New Zealanders and the economy with certainty as the climate ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Getting new job seekers on the pathway to work
    Jobseeker beneficiaries who have work obligations must now meet with MSD within two weeks of their benefit starting to determine their next step towards finding a job, Social Development and Employment Minister Louise Upston says. “A key part of the coalition Government’s plan to have 50,000 fewer people on Jobseeker ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Accelerating Social Investment
    A new standalone Social Investment Agency will power-up the social investment approach, driving positive change for our most vulnerable New Zealanders, Social Investment Minister Nicola Willis says.  “Despite the Government currently investing more than $70 billion every year into social services, we are not seeing the outcomes we want for ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Getting Back on Track
    Check against delivery Good morning. It is a pleasure to be with you to outline the Coalition Government’s approach to our first Budget. Thank you Mark Skelly, President of the Hutt Valley Chamber of Commerce, together with  your Board and team, for hosting me.   I’d like to acknowledge His Worship ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • NZ – European Union ties more critical than ever
    Your Excellency Ambassador Meredith,   Members of the Diplomatic Corps and Ambassadors from European Union Member States,   Ministerial colleagues, Members of Parliament, and other distinguished guests, Thank you everyone for joining us.   Ladies and gentlemen -    In diplomacy, we often speak of ‘close’ and ‘long-standing’ relations.   ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Therapeutic Products Act to be repealed
    The Therapeutic Products Act (TPA) will be repealed this year so that a better regime can be put in place to provide New Zealanders safe and timely access to medicines, medical devices and health products, Associate Health Minister Casey Costello announced today. “The medicines and products we are talking about ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Decisions on Wellington City Council’s District Plan
    The Minister Responsible for RMA Reform, Chris Bishop, today released his decision on twenty recommendations referred to him by the Wellington City Council relating to its Intensification Planning Instrument, after the Council rejected those recommendations of the Independent Hearings Panel and made alternative recommendations. “Wellington notified its District Plan on ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Rape Awareness Week: Government committed to action on sexual violence
    Rape Awareness Week (6-10 May) is an important opportunity to acknowledge the continued effort required by government and communities to ensure that all New Zealanders can live free from violence, say Ministers Karen Chhour and Louise Upston.  “With 1 in 3 women and 1 in 8 men experiencing sexual violence ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Smarter lunch programme feeds more, costs less
    Associate Education Minister David Seymour has today announced that the Government will be delivering a more efficient Healthy School Lunches Programme, saving taxpayers approximately $107 million a year compared to how Labour funded it, by embracing innovation and commercial expertise. “We are delivering on our commitment to treat taxpayers’ money ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Report provides insights into marine recovery
    New research on the impacts of extreme weather on coastal marine habitats in Tairāwhiti and Hawke’s Bay will help fishery managers plan for and respond to any future events, Oceans and Fisheries Minister Shane Jones says. A report released today on research by Niwa on behalf of Fisheries New Zealand ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • NZ to send political delegation to the Pacific
    Deputy Prime Minister and Foreign Minister Winston Peters will lead a broad political delegation on a five-stop Pacific tour next week to strengthen New Zealand’s engagement with the region.   The delegation will visit Solomon Islands, Papua New Guinea, Vanuatu, New Caledonia, and Tuvalu.    “New Zealand has deep and ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Low gas production threatens energy security
    There has been a material decline in gas production according to figures released today by the Gas Industry Co.  Figures released by the Gas Industry Company show that there was a 12.5 per cent reduction in gas production during 2023, and a 27.8 per cent reduction in gas production in the ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Defence industry talent, commitment recognised
    Defence Minister Judith Collins tonight announced the recipients of the Minister of Defence Awards of Excellence for Industry, saying they all contribute to New Zealanders’ security and wellbeing. “Congratulations to this year’s recipients, whose innovative products and services play a critical role in the delivery of New Zealand’s defence capabilities, ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Speech to the Minister of Defence Awards of Excellence for Industry
    Welcome to you all - it is a pleasure to be here this evening.I would like to start by thanking Greg Lowe, Chair of the New Zealand Defence Industry Advisory Council, for co-hosting this reception with me. This evening is about recognising businesses from across New Zealand and overseas who in ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Speech to the Sixth Annual New Zealand Government Data Summit
    It is a pleasure to be speaking to you as the Minister for Digitising Government.  I would like to thank Akolade for the invitation to address this Summit, and to acknowledge the great effort you are making to grow New Zealand’s digital future. Today, we stand at the cusp of ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Ceasefire agreement needed now: Peters
    New Zealand is urging both Israel and Hamas to agree to an immediate ceasefire to avoid the further humanitarian catastrophe that military action in Rafah would unleash, Foreign Minister Winston Peters says.   “The immense suffering in Gaza cannot be allowed to worsen further. Both sides have a responsibility to ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Daily school attendance data now available
    A new online data dashboard released today as part of the Government’s school attendance action plan makes more timely daily attendance data available to the public and parents, says Associate Education Minister David Seymour.  The interactive dashboard will be updated once a week to show a national average of how ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Ambassador to United States appointed
    Foreign Minister Winston Peters has announced Rosemary Banks will be New Zealand’s next Ambassador to the United States of America.    “Our relationship with the United States is crucial for New Zealand in strategic, security and economic terms,” Mr Peters says.    “New Zealand and the United States have a ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • New permit proposed for recreational gold mining
    The Government is considering creating a new tier of minerals permitting that will make it easier for hobby miners to prospect for gold. “New Zealand was built on gold, it’s in our DNA. Our gold deposits, particularly in regions such as Otago and the West Coast have always attracted fortune-hunters. ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • NZ and the UAE launch FTA negotiations
    Minister for Trade Todd McClay today announced that New Zealand and the United Arab Emirates (UAE) will commence negotiations on a free trade agreement (FTA). Minister McClay met with his counterpart UAE Trade Minister Dr Thani bin Ahmed Al Zeyoudi in Dubai, where they announced the launch of negotiations on a ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New Zealand Sign Language Week an opportunity for anyone to sign
    New Zealand Sign Language Week is an excellent opportunity for all Kiwis to give the language a go, Disabilities Issues Minister Louise Upston says. This week (May 6 to 12) is New Zealand Sign Language (NZSL) Week. The theme is “an Aotearoa where anyone can sign anywhere” and aims to ...
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