Hon Bill English MP
National Party Finance Spokesman

4 March 2008

Last-minute rule change is political opportunism

Labour's last-minute attempt to stop the Canadian Pension Plan Investment Board's bid for a minority shareholding in Auckland Airport looks like political opportunism, says National Party Finance spokesman, Bill English.

"National believes that local control of taxpayer-owned strategic assets is important, but we believe there are established safeguards and mechanisms that deal with the bid by Canadian Pension Plan for a minority shareholding in Auckland Airport.

"Investors need the confidence of knowing what the rules are and knowing they won't change at the last minute. The Canadian offer has been on the table since July last year. The Government has had plenty of time to signal its intentions.

"CPP isn't allowed to hold more than 30% of voting rights over Auckland Airport. The fact that the Government has tried to stop this minority bid creates uncertainty for both New Zealand and overseas investors about the Government's attitude to any foreign shareholding in New Zealand.

"Michael Cullen has now raised questions about just how much of a minority stake overseas investors can have in other important assets like Telecom.

"The Government-owned New Zealand Superannuation Fund is buying minority stakes in assets all over the world, so we need to keep a balanced and pragmatic attitude about the constructive role foreign investment can play."

ENDS

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