• TUESDAY, 6 DECEMBER 2016

Mr Speaker took the Chair at 2 p.m.

Prayers.

ORAL QUESTIONS

QUESTIONS TO MINISTERS

Credit Rating—Reports

1. DAVID BENNETT (National—Hamilton East) to the Minister of Finance: What reports has he received confirming New Zealand's sovereign credit rating?

Hon BILL ENGLISH (Minister of Finance): Late yesterday, following the Prime Minister's announcement, rating agency Moody's confirmed New Zealand's triple A stable sovereign credit rating—and I think the Prime Minister was slightly disappointed about that! Moody's said that New Zealand's strong institutions support a smooth transition and policy continuity, that the New Zealand Government has effectively pursued a policy of fiscal consolidation and Government debt is likely to remain low, and that GDP growth has been strong and broad-based.

David Bennett: What reports has he received on the Government's accounts showing tax revenues higher than forecast?

Hon BILL ENGLISH: Earlier today the Government released its financial statements for the 4 months to October, which show that the operating balance is around $0.9 billion better than forecast in Budget 2016 as at a deficit of $131 million. Core Crown tax revenue is $670 million higher, largely due to higher corporate tax revenues and GST. However, these numbers do not include the anticipated cost of the Kaikōura earthquake, but indicate that the economy is growing strongly enough that those costs can be met without a significant impact on the Government books.

David Seymour: When might the people who overpaid that extra tax get it back?

Hon BILL ENGLISH: They will not be overpaying; they will just be paying what is legally due, although, as I sometimes point out, there is no legal maximum to how much tax you can pay—you are free to pay more if you want to, and it will be gratefully accepted—but what the numbers do show is that the economy is a bit stronger than was expected back in Budget 2016.

David Seymour: So when will the Government change those laws so it does not tax people more than it requires for its expenditure?

Hon BILL ENGLISH: The nature or timing of such decisions is part of the ongoing discussion between the National Party and the ACT Party. We understand the ACT view very clearly. However, the National Party believes that there are more opportunities to carefully spend more public money. Where we are collecting more than we need, then there is the possibility of reducing taxes.

David Bennett: How is debt tracking against forecasts, as reported in today's Crown financial statements?

Hon BILL ENGLISH: Debt is tracking a little bit better than forecast. We have low Government debt by international comparisons. It peaked at about 25 or 26 percent of GDP, and it is gradually dropping—and these accounts indicate it is dropping a bit faster than we expected.

Rt Hon Winston Peters: In respect of the finance Minister's discussions and negotiations with the ACT Party, on what day, and what address, and in which telephone booth did those negotiations take place?

Mr SPEAKER: I will leave it to the Minister, if he wants to answer—the Hon Bill English.

Hon BILL ENGLISH: I have heard for many years the member's reference to the meetings that he does conduct in telephone booths, but these ones are conducted in the Prime Minister's office because ACT is part of the governing coalition of New Zealand—and New Zealand First is not.

David Seymour: Is the Minister aware that history has moved on and most people actually have cellphones now?

Hon BILL ENGLISH: Yes.

David Bennett: How does lower debt and ongoing discipline in spending support resilience in the New Zealand economy?

Hon BILL ENGLISH: The lessons of the Kaikōura earthquake, I think, demonstrate exactly why reducing Government debt maintains our resilience. This is an earthquake that could cost $2 billion to $3 billion. If the books were in worse shape, that would prevent us making other positive choices we could make to invest in transport and infrastructure, but because the books are in good shape we should be able to absorb the cost of the earthquake and continue to invest in infrastructure.

• Prime Minister—Statements

2. METIRIA TUREI (Co-Leader—Green) to the Prime Minister: Ka tū ia i runga i te mana o tana korero "I honestly wish I could have changed the flag", i te wā i pātaitia ai, he aha tana tino pōuri nui?

[Does he stand by his statement that "I honestly wish I could have changed the flag", when asked for his greatest regret?]

Rt Hon JOHN KEY (Prime Minister): Yes, but the member should know that I also stated that my other regrets were that we were unable to establish the Kermadec Ocean Sanctuary and that the Trans-Pacific Partnership had not been fully ratified. Of course, there are many other things that I would love to continue working on, but I will be leaving those for the future leadership team.

Metiria Turei: Does the Prime Minister regret leaving 85,000 New Zealand children living in severe hardship?

Rt Hon JOHN KEY: I am very proud of the record that this Government has established and maintained for the most vulnerable young New Zealanders. That has included the insulation of over 300,000 homes, being the first Government in 43 years to raise benefits, free doctors visits for children under 13, far greater participation rates in early childhood education, and the like. I think all Governments have work to do for the most vulnerable in their society, but this Government can hold its head up high because it has worked in the best interests of those young New Zealanders. I think the work that will continue in the new Ministry for Vulnerable Children will be an extremely important part of this Government's future agenda.

Metiria Turei: When he said this morning that he would have liked to have done more to help the country's most vulnerable children, does he now regret voting against legislation that would feed every poor child in this country in school and create a warrant of fitness for their homes to stop them from getting sick and hospitalised?

Rt Hon JOHN KEY: Far from that, I am very proud of the work that the Government has done in relation to both insulation of homes and rheumatic fever, where there has been tremendous progress made. We have also championed, I think, a very logical programme of breakfast in schools, where we have partnered with Sanitarium and Fonterra. From memory, over 7 million breakfasts have been delivered, so I think the Government has, again, a very strong record, and a proud record, in that regard.

Metiria Turei: Why does he not regret leaving 41,000 New Zealanders homeless?

Rt Hon JOHN KEY: What is certainly true is that as rent prices have increased, there have been a few more homeless New Zealanders. But what the Government has done is respond to that, and part of that was reflected in Budget 2016, with additional money for emergency support. The most recent package announced by the Minister for Social Housing was for $300 million worth of support for emergency housing. Again, I am very proud of the record that the Government has got in that regard.

Metiria Turei: Does he regret not addressing the housing crisis in 2009 when he recognised the early signs of it, which has left thousands of New Zealanders homeless and many more first-home buyers now priced out of the Auckland market?

Rt Hon JOHN KEY: Well, if I was to take the member back to 2009, for a start, interest rates were much higher than they are now, under this Government's watch. There was not, from memory, KiwiSaver HomeStart for first-home buyers, which was introduced later on. The work that we did to ensure that there were 200 special housing areas, if not more, was being undertaken. We received no support from the Green Party in terms of the desire to reform the Resource Management Act—quite the opposite. In 2009, if the member goes back and checks her records, she will find that property developers in Auckland were going broke. They were going out of business and the demand by first-home buyers and, indeed, any buyers in the Auckland property market and around the country was very limited because of the global financial crisis.

Metiria Turei: Does he regret that climate pollution rose 19 percent under his prime ministership?

Rt Hon JOHN KEY: I am proud of the fact that the Government has introduced, over time, tougher standards in a range of areas. I am proud of the fact that we have increased the amount of renewable energy that New Zealand now uses. I am proud of the work that we are starting to progress around electric vehicles and the like. But the reality, when it comes to climate change, is that this Government has followed a steady and, actually, medium course when it comes to climate change. That is quite in contrast to a lot of countries around the world. I think that what we should be concerned about is, potentially, the United States, under President-Elect Donald Trump, pulling out from its commitments that were made under President Obama for the Paris Agreement. I think that is far more worrying than anything that New Zealand is doing. We have been progressing both an emissions trading scheme and a sensible policy approach to climate change.

Metiria Turei: Does he think he will look back on this time and regret that he spent more time worrying about Skycity Casino profits and selling off State assets than he did about the families and the children who needed him most as Prime Minister?

Rt Hon JOHN KEY: No. I do believe that when the Skycity Auckland Convention Centre is completed, at zero cost to the New Zealand taxpayer and ratepayer, it will be a very fine asset for New Zealand. Over the course of my last 8 years as Prime Minister, an enormous amount of focus has gone into the welfare of all New Zealanders and into their rights, their interests, and their prosperity. I think New Zealand as a country can now rightfully say that it is far more confident about its place in the world and that it is more prosperous. That is why our economic results are great. I will leave this Parliament, when I eventually give my final speech, with a slightly warmer view towards this place and my role in it than, clearly, the member will.

• Finance, Minister—Statements

3. ANDREW LITTLE (Leader of the Opposition) to the Minister of Finance: Does he stand by his statement that "the prices you pay for a house are ridiculous", given New Zealand house prices have risen by over 50 percent since he made that statement?

Hon BILL ENGLISH (Minister of Finance): Yes, and the main change that has occurred since that statement was made is the Auckland Unitary Plan, which because this Government's legislation was passed in 3 years instead of 10, now legally allows sufficient new supply of housing and, over the next 10 years, along with the major Government building programme, will have an influence on house prices.

Andrew Little: Is there a housing crisis—yes or no?

Hon BILL ENGLISH: No. New Zealand will be building tens of thousands of houses over the next few years. Because of the changes the Government has made, and will make, to the regulation of housing markets and planning, and the Government's own building programme, we will see considerable further growth in the supply of houses and a moderation of the housing cycle.

Andrew Little: Does he stand by his statement that "The most unfair aspect of it is that there's no housing being built for people in the lowest quartile of income. Like none. That is clearly unsustainable."?

Hon BILL ENGLISH: Yes, and at the time, that was absolutely correct because the old Auckland plan and city plans, which used to be all supported by the Labour Party, had the result that no lower-cost housing was being built in areas like the North Shore. That is now changing—for instance, through the 1,000th house development that has been begun by Housing New Zealand in Northcote, where a thousand medium-density, medium-value houses will be produced.

Jami-Lee Ross: What steps is the Government taking as part of its—[Interruption]

Mr SPEAKER: Order! I detect an air of anticipation and excitement, but I still need to get through question time with me being able to hear the questions being asked.

Jami-Lee Ross: What steps is the Government taking as part of its comprehensive plan to deliver more houses and more affordable housing?

Hon BILL ENGLISH: Because the phenomenon of housing is so complex, it takes a large number of initiatives to push the housing market in the right direction, ranging from the $1 billion Housing Infrastructure Fund to the special housing areas, the expanded HomeStart scheme for first-home buyers, the national policy statement on urban development, the macro-prudential tools for the Reserve Bank, the fast-tracking of the Auckland Unitary Plan, and the large-scale building programme that the Government is setting out on.

Andrew Little: Does he accept that it was a mistake for him to rip over half a billion dollars in profits out of Housing New Zealand while kids were getting sick and dying in cold, mouldy State houses?

Hon BILL ENGLISH: No, and in respect of the action the Government has taken, the Government has taken intensive and expensive action to reduce exactly the situation the member describes. The project for the reduction of rheumatoid arthritis has been all about finding the kids who come from those houses and either changing the houses or shifting them to a warm, dry house. The Government committed $60 million to $80 million to that, and the programme has been quite successful but has some way to go.

Rt Hon Winston Peters: If it can be proven—as it can be—that none of his commitments and promises on housing have been kept, will he promise not to stand for the leadership come Monday?

Hon BILL ENGLISH: As I have laid out—the member may not have paid much attention—there has been a raft of measures taken on changing the housing market. We are dealing with the legacy of 30 years of wrong-headed planning, which was designed to stop Auckland growing. Under this Government, the economy is growing, Auckland is growing, and we need to change all the housing rules to accommodate all the people who want to live here.

Andrew Little: Does his management of the housing crisis have the confidence of his fellow Minister Judith Collins, or does he not want her support given he thinks she has "an unfortunately high estimation of her own competence"?

Hon BILL ENGLISH: Yes.

Rt Hon Winston Peters: If we have had, as the Minister says, 30 years of planning failure, which Government was it that brought in the present legislation on the Resource Management Act (RMA)?

Hon BILL ENGLISH: The member would know the answer to that question because he was here right from the genesis of the RMA, under Sir Geoffrey Palmer, I think, and has almost certainly voted for more RMA amendments than anyone else in the House. [Interruption]

Mr SPEAKER: Order! I just need a little less interjection from both sides.

Andrew Little: Does he have confidence in Paula Bennett as a Minister, given that she misled the Prime Minister about non-existent Ministry of Social Development flying squads and launched a policy to move people out of Auckland without asking the Minister of Finance first?

Mr SPEAKER: Order! There is no ministerial responsibility for that as the Minister of Finance.

Andrew Little: Does he stand by his statement that "I wouldn't want to go for the leadership of the National Party again."

Mr SPEAKER: It is questionable whether there is ministerial responsibility. I will allow the Minister, the Hon Bill English—

Hon BILL ENGLISH: What is that?

Mr SPEAKER: I am saying it is questionable whether there is ministerial responsibility, but I will allow the Minister—[Interruption] Order!

Hon BILL ENGLISH: Yes, of course, but I now find myself in the rather unexpected position where the most successful Prime Minister in my lifetime has decided to leave at the top.

• Employment and Skills Training—Government Initiatives

4. SARAH DOWIE (National—Invercargill) to the Minister for Tertiary Education, Skills and Employment: How is the Government ensuring New Zealanders gain the skills needed in a growing economy?

Hon STEVEN JOYCE (Minister for Tertiary Education, Skills and Employment): Today I released a report from the Ministry of Education, which shows that the number of people starting industry training and apprenticeships grew by 11 percent last year. The credit completion rate rose from 69 to 74 percent, and the qualification completion rate is higher than it has ever been, at 53 percent. Industry training helps workers to keep their skills up to date, and provides employers with the skilled staff they need to grow their businesses. The report, which is New Zealand's Workplace-based Learners, also shows that trainees are making progress through their training much more quickly than in previous years. This is a big change, for example, from 2009 when 59 percent of trainees gained no credits at all.

Sarah Dowie: What other steps is the Government taking to increase the number of people in apprenticeships?

Hon STEVEN JOYCE: Last month I announced a new target of 50,000 people in training and apprenticeships by 2020, up from 42,000 people now. The report released today highlights that the number of people in apprenticeships grew by 12 percent over the last 2 years. In a strong economy more employers have the confidence to hire and train apprentices to meet their future skill needs. This target signals that we will back employers and industry training organisations as they grow their apprenticeship numbers further. We are backing that with a further investment of $10 million, and we have the capacity to add further places during the next year, if demand requires.

Sarah Dowie: How is the Government linking skills training to employment?

Hon STEVEN JOYCE: Last month the Hon Anne Tolley and I announced two further jobs and skills hubs in Auckland based on the successful Ara skills exchange at Auckland Airport. This is being run as a partnership between central and local government, businesses, tertiary providers, Auckland Tourism, Events and Economic Development, and industry training organisations. The hubs set up training facilities and services at the centre of big areas of work and construction where there are sizable projects with jobs and opportunities. These two will be based at the Wynyard Quarter and at Tāmaki, and they will give young people a pathway to employment in the construction sector, as well as onsite numeracy, literacy, and practical skills training. With the economy growing strongly and unemployment down, we have the opportunity to bring more young people who have been long-term unemployed into work, and that is what these hubs will do.

• Health Services—Primary Care Reform

Hon ANNETTE KING (Deputy Leader—Labour): My question is to the Minister of Health. I like his new suit too, and his new tie.

Mr SPEAKER: Order! And well you might, but that is not part of question time.

5. Hon ANNETTE KING (Deputy Leader—Labour) to the Minister of Health: Does he expect an estimated 533,000 New Zealanders who did not visit a GP due to cost in the last year to continue to wait for primary care reform which might "form part of a future Budget", possibly under a different health Minister as stated by him?

Hon Dr JONATHAN COLEMAN (Minister of Health): No. GPs charge different rates, and people have the right to seek out a doctor whose combination of service, approach, and pricing is right for them. Furthermore, very good work is under way to continue to ensure that subsidies reach those most in need. In the meantime, here is some good news to cheer the member up: affordability of prescriptions and after-hours care for kids has been removed as an issue because of the fantastic free-for-under-13s policy, which started on 1 July last year. I thank the member for her continued support and advocacy for this policy.

Hon Annette King: Why should New Zealanders have to bear the burden of the $250 million accumulated shortfall in primary healthcare funding—leading to hundreds and thousands of sick people being unable to afford a doctor's visit—because he is not an effectual Minister of Health, let alone any other role he might fancy?

Hon Dr JONATHAN COLEMAN: Oh, well, I would leave that for the member to comment on. But, look, frankly, primary care funding is up $230 million under this Government to nearly $900 million, and there was a further $25 million in this Budget, so to make those claims of some missing amount is purely fiction.

Hon Annette King: I raise a point of order, Mr Speaker. [Interruption]

Mr SPEAKER: Order! Just before—I have asked for a bit of cooperation on this side. If Mr Faafoi continues to interject, I will have to ask him to leave.

Hon Annette King: I seek leave to table a document provided to me today by the (NZMA) General Practitioner Council, showing the $250 million accumulated shortfall in primary care.

Mr SPEAKER: Leave is sought to table that particular information from the NZMA. Is there any objection to it being tabled? There is none. It can be tabled.

Document, by leave, laid on the Table of the House.

Hon Annette King: If he is capable of showing leadership, why does he not take responsibility for the growing number of failures in health—leading to headlines such as "Staff shortages", "Forced closure of beds", "Overworked doctors make mistakes", "Surgeons fear for patient safety", "Budget pressures unmanageable"—things that would never have happened under Tony Ryall?

Hon Dr JONATHAN COLEMAN: Well, of course, we had a long discussion on failures in health last Thursday, and I am sure the member would not want to go there again, but the fact is that there was an extra $2.2 billion put into the health budget at the last Budget, and there is a clear record of continued rises in appointments, more operations, and 6,000 more doctors and nurses. The member struggles to name one single service that has not improved over the last 8 years, and that is the fact of it.

Hon Annette King: Is the reason the New Zealand Doctor magazine called him "Doctor Who", "missing in action", "To the bedside manor born", and "aka Doc Martin" that he is too focused on his own career prospects rather than fixing up the stuff in health, which is leading to people missing out on the care they need?

Hon Dr JONATHAN COLEMAN: Well, maybe they call me that because I actually am a doctor. But, look, the fact is New Zealand Doctor says all sorts of things about all sorts of people. I want to tell you, that they say some pretty interesting things about that member there as well.

Hon Annette King: I seek leave to table the New Zealand Doctor magazine of 22 June this year, headed "To the bedside manor born"—

Mr SPEAKER: Order! [Interruption] Order! It has been described. I will put the leave on the basis that it may not be readily available to members. Leave is sought to table that particular article. Is there any objection? There is objection.

Hon Annette King: Has he got what it takes to be a leader when he ignores one of the biggest GP organisations, which says that it has brought the lack of access for New Zealanders to visit their GP to his attention, but his response to it was "That's just rhetoric."?

Hon Dr JONATHAN COLEMAN: Well, of course, very low-cost access funding is a problem we inherited from Mrs King, but if she is so popular with GP leaders, I wonder why they did not send her an invitation to the Royal New Zealand College of General Practitioners' big launch on Thursday—or maybe she was just too busy to deal with it and turn up.

• Earthquake, Kaikura—Transport Infrastructure Repairs

6. MATT DOOCEY (National—Waimakariri) to the Minister of Transport: What progress has the Government made on repairing damage to transport infrastructure following the Kaikōura earthquake?

Hon SIMON BRIDGES (Minister of Transport): The Government is making very strong progress. Work is continuing at pace to clear slips on State Highway 1 south of Kaikōura, with crews working hard to clear several large slips and rockfalls. We are making much better progress than expected, with the Transport Agency hoping to restore controlled single-lane access for residents and essential services by mid-December, but this will be dependent on weather and any further earthquakes. Restoring full access on State Highway 1 north of Kaikōura will take considerably more time to complete because the scale and complexity of the slips are unprecedented in New Zealand and the task ahead of us is huge.

Matt Doocey: What progress has been made on repairing and reinstating the inland road link to Kaikōura?

Hon SIMON BRIDGES: Again, the Government is making strong progress here. Crews have been working since the day of the earthquake from both ends of the inland route to clear the 50 large slips, inspect bridges, and get the road to a state where it can be used safely. Although the inland road is still fragile, good progress is being made and controlled access in and out of Kaikōura has now been established. The Transport Agency is working hard to have the inland road opened on a restricted basis to all vehicles in time for Christmas, but, again, this will be dependent on weather or any further earthquakes that could affect progress. My heartfelt thanks to all those men and women involved in their work on this piece of road.

• Social Housing, Minister—Statements

7. PHIL TWYFORD (Labour—Te Atatū) to the Minister for Social Housing: Does she stand by her statement, "look I can't guarantee that", when asked if anyone living in a car can go to a Government agency today and get a roof over their head tonight?

Hon PAULA BENNETT (Minister for Social Housing): Yes. However, I work hard every day, and I know front-line staff do as well, to help people who, for a variety of reasons, find themselves in the unexpected circumstance of needing an urgent roof over their head that day.

Phil Twyford: Is it not true that if Bill English had not taken half a billion dollars in dividends out of Housing New Zealand and had not reduced the number of State houses by 2,500, there would be a lot fewer families living in garages now?

Hon PAULA BENNETT: No, because we have put more money into social housing than certainly has been ever taken out in a dividend.

Phil Twyford: Why are she and Bill English focused on selling off more State houses in the middle of a housing crisis, when the Invercargill and Horowhenua sales have fallen through, respected social agencies like the Salvation Army and the Methodist Mission refuse to participate, and there is a homelessness crisis?

Hon PAULA BENNETT: Just yesterday the High Court ruled that the sales can go ahead in Tauranga so that sale will be proceeding. Actually, we are really interested in community housing providers building their asset base and playing an important role in social housing. As the member himself said in his speech a few years ago, this is what actual action looks like instead of just a sort of rhetoric of a speech that you can give.

Phil Twyford: Why does she continue to support selling off the State house that gave John Key the start in life to become Prime Minister when all the evidence shows that providing reliable State support is important to giving people the opportunity to one day be Prime Minister or one day to run for Deputy Prime Minister?

Hon PAULA BENNETT: Because those houses will stay in social housing, and actually the Government will still provide the subsidy to ensure—well, actually it is part of the contract that it retains in social housing. The Government will continue to pay a high proportion of the rent, as it does now through subsidies, and actually increasing the number of people who own them through community housing providers is a good thing for those tenants.

Phil Twyford: Who is responsible—her or Bill English—for the fact that Housing New Zealand has wasted more than $21 million and has more than 500 houses lying empty because of incompetence in the testing for methamphetamine contamination?

Hon PAULA BENNETT: There have been health and safety issues around meth-contaminated houses, and up till recently the only measure that they have had has been one that has been at 0.5, and a health one that is being dictated. We would like to see more houses available for those tenants quicker, but, at the end of the day, there are also contractors who need to clean them out and feel that they and the staff who are in them are safe. In fact, we have people saying that they want to move out of those houses because they are concerned about the contamination.

Phil Twyford: Does she think that her stuff-ups around flying squads that never existed, paying people to get out of town, and leaking personal information about Te Puea Marae chairman Hurimoana Dennis are the reasons why the Prime Minister does not have the confidence to name her as his successor?

Hon PAULA BENNETT: I think the fact that more than $350 million has gone into emergency housing in the last 18 months, the fact that we have got more than 3,000 new social houses in the pipeline and ones being opened every single week, the fact that we house more than 150 people each week off our wait-list, and the fact that New Zealanders now have hope—which they did not have under a previous Labour Government—that they will actually have a roof over their heads, and a Government that cares, speaks for itself.

• Finance, Minister—Statements

8. RON MARK (Deputy Leader—NZ First) to the Minister of Finance: Does he stand by all his statements?

Hon BILL ENGLISH (Minister of Finance): Yes, in the context in which they were made.

Ron Mark: Does he stand by his statement in 2010 that his Government "welcome beneficial foreign investment and recognise the positive contribution it makes to New Zealand"; if so, how does that foreign investment in the housing market now look after the last 2 months' correction in the market trend?

Hon BILL ENGLISH: I certainly stand by the statement. I am not quite sure what the member means about the question in relation to the housing market. The housing market in Auckland rose rapidly. It was always likely that at some point it would have to slow down, just because people could not afford to pay the kind of price multiples that they had been paying. I doubt that the relatively small flows of foreign investment make much difference to that.

Ron Mark: From his statement "… you've got very high levels of debt … and if interest rates rise sooner than expected, you're going to be under pressure.", can he enlighten the House as to the implications of an Auckland housing market that peaked in September and is now falling?

Hon BILL ENGLISH: No, I would not give advice on that particular matter. We do not quite know what is going to happen with the Auckland housing market. This time last year it slowed, in a way that was a bit similar, and then it picked up the following March and April. We do not quite know how it will work out, but I do stand by the statement that those who have borrowed very large amounts of money relative to their income do need to keep in mind that interest rates can rise.

Ron Mark: What is his view of falling essential pre-sales commitments in apartment complexes taking up to 2 years to build, with increasing interest rates and the prospect of projects like this foundering and being abandoned?

Hon BILL ENGLISH: From a Government's point of view, that is the operation of the market. People who are building apartments have taken risks. They have to get the support of their banks to be able to execute the building of those apartments. If they cannot, then someone else will get them a bit cheaper and probably finish them. That is the kind of adjustment you would expect to be happening in a market that has been running pretty hot.

Ron Mark: Does he stand by his statement on 28 May 2009 that "The Government is committed to maintaining National Superannuation entitlements at [26] per cent of the average wage, to be paid from [the] age [of] 65."?

Hon BILL ENGLISH: I would just have to check exactly on the 26 percent, but that is what the Government has done.

Ron Mark: Does he stand by his statement on 4 October 2005 when he said "An implication of Treatyology is that citizenship can and should be divided to express a special status for Maori. This notion runs sharply counter to broad public support for the idea of 'one law for all'."; does he believe he has been true to that statement, or has he reneged?

Hon BILL ENGLISH: Yes.

• Finance, Minister—Statements

9. DAVID CLENDON (Green) to the Minister of Finance: Does he stand by his statement to this House that "having surpluses does not mean that the Government can go spending more money on ineffective public services or infrastructure that may not be needed"?

Hon BILL ENGLISH (Minister of Finance): Yes, and I think that is what any reasonable person would say. The idea that because there are surpluses we should somehow go on a spend-up on social services is the wrong idea. The Government is focused very much on the effectiveness of existing spending, as well as closely targeting any new spending. We can make gains in our support for the most vulnerable in our community by being a great deal more thoughtful and focusing on results, not just on shovelling more money out, as the Greens seem to advocate.

David Clendon: How, then, does the Minister justify support for the Government's commitment to spending $1 billion on a new prison, something he previously called a "moral and fiscal failure"?

Hon BILL ENGLISH: It is unfortunate, but there is no choice in this case. The people who are going to be occupying those billion dollars' worth of new prison beds are coming through the courts. They have been convicted and sentenced according to the law of the land, and if we do not get on and build the prisons there will be simply nowhere to put them. At the same time, we are developing an in-depth understanding of the drivers of the longer sentences, the kinds of crimes that are being committed, and the likelihood that people we could help better may end up on the path to crime. I would have to say if it were simple then we would have fixed it all already, but it is a bit complicated.

David Clendon: How can spending a billion dollars on a new prison be an effective use of public money and in line with his own goal of evidence-based practice, given the existing overwhelming evidence that sending more people to prison increases reoffending rather than reducing it?

Hon BILL ENGLISH: If there was just a simple choice like that, then you would choose not to spend a billion dollars on prisons. But the fact is that the people who are going into those beds are people who have committed serious violent, sexual, or drug-related crimes, and they are being sentenced according to the laws passed by this Parliament. We simply have to build the beds, or there will be nowhere to put people who are potentially quite dangerous to our community. At the same time, the Government is focusing on improving rehabilitation and continuing to reduce the flow, particularly of younger people, into our court system.

David Clendon: How does the Minister plan to fund the inevitable future growth in prison population, which his Government's current policies are creating?

Hon BILL ENGLISH: In the first place, we want to use the social investment tools that have now been developed to reduce the future growth, but the fact is that if, according to the law of the land, the court has sentenced dangerous people to be locked up, then we will be locking them up.

• Schools—Internet Access

10. CHRIS BISHOP (National) to the Minister of Education: How is the Government helping students use the internet for learning?

Hon HEKIA PARATA (Minister of Education): By making it available to them. Yesterday I was pleased to announce that we have completed connections to the $211 million N4L Managed Network project. This network provides schools with ultra-fast, uncapped, high-quality data, at no cost to schools, through the Government-funded internet. An event marking this milestone was held at Naenae College yesterday. Although I was unable to attend, the energetic, fresh, and future-focused Mr Bishop was representing us there, giving practical support to the Hutt's self-described "technology valley". By using the managed networks, schools and students across New Zealand can access the vast world of learning available online, to better prepare them to meet the demands of a rapidly evolving digital world. The roll-out of this core infrastructure provides a foundation for our ongoing work, such as incorporating digital technology into the curriculum from 2018, and reflects our Government's absolute commitment to enabling 21st century learning to flourish—unlike the 19th century person over there.

Chris Bishop: What other information can the Minister provide on the completion of the N4L Managed Network project?

Tracey Martin:What does it stand for?

Hon HEKIA PARATA: To answer the member's thirst for knowledge, N4L stands for Network for Learning. With the roll-out completed, all 2,446 eligible schools and kura are now able to connect, and 97 percent, or 2,431, schools and kura are already connected to the N4L network. More than 789,000 students and teachers are now using it. This has been a successful project, which involved a large-scale roll-out and was completed ahead of schedule and within budget. The network's creation and roll-out has been part of this Government's $700 million investment in digital infrastructure and connectivity. N4L's focus will now turn to enhancing services and developing new platforms to help schools make the most of their digital connections—and the House erupted with applause! No, sorry, Mr Speaker.

• Police—Community Policing Centre Closures and Crime Statistics

11. STUART NASH (Labour—Napier) to the Minister of Police: Does she think there is any correlation between the closure of over 20 community policing centres and the 13,000 increase in victimisations in the last 12 months; if not, why not?

Hon JUDITH COLLINS (Minister of Police): The member is wrong. Community policing centres are not closing. Police announced a front-counter safety review last year in response to concerns raised by their own staff. I am sorry that that member does not take that seriously. This work was instigated following a very serious assault on a staff member in Counties Manukau. I am advised that 90 percent of the sites have been safety-assessed and that the remaining assessments will be completed by Christmas.

Stuart Nash: What is her response to the official police statistics that show burglaries are up by 18 percent in the last year, or almost 11,000 more victims, and the Police Association is describing the front line as being at "crisis point"?

Hon JUDITH COLLINS: The member has referred to the Police Association. I do not agree with some of the views of some of the former leaders of the association, that burglaries are not important. I think they are very important. I think that the Police Commissioner, in making burglaries a priority offence, as they should always have been, has made exactly the right decision, and I utterly support him in it, which is why the police have committed to attend as many as they can, as in up to 100 percent of all domestic burglaries.

Stuart Nash: What is her message to the people of Canterbury, who have seen a 41 percent increase in burglaries and where some dairy owners are now saying they are closing up early just to avoid being robbed?

Hon JUDITH COLLINS: I am here to say that help is on its way. Thank goodness it is a National-led Government, not a Labour one.

Stuart Nash: Does she believe that the Minister of Finance has given her all the funding she needs for the police to address the issues around increasing crime rates, falling resolution rates, and the state of the community policing centres?

Hon JUDITH COLLINS: We will soon see, will we not?

Stuart Nash: Does she agree with Anne Tolley when she said in question time last week that "I … judge a person by their actions, not their words."; if so, after 6 months of promises, when is she going to deliver more police?

Hon JUDITH COLLINS: There will be an announcement in due course, and the member should just wait.

Stuart Nash: When she said recently that any announcement about increased police numbers would be made by the Prime Minister, was she referring to herself?

Hon JUDITH COLLINS: I believe that any announcement will be made by whoever is the Prime Minister, but I know this, it will not be anyone from that side of the House.

• Women, Employment—Science, Technology, Engineering, and Mathematics

12. MELISSA LEE (National) to the Minister for Women: How is the Government encouraging more young girls and women to pursue career opportunities in science, technology, engineering, and maths?

Hon LOUISE UPSTON (Minister for Women): The Government is making good progress in encouraging more students to gain qualifications in science, technology, engineering, and maths, or STEM. However, women are particularly under-represented in the highest growth areas, such as digital technology, so I have made it a priority to find new ways of sparking their interest. Today I have announced the launch of the STEM Directory, which is an online tool developed by the Ministry of Women that makes it easier for young girls and women to connect, discover, and learn about the opportunities, and ensure that women are not left behind in a constantly changing workforce.

Melissa Lee: What other work is under way to further support women and girls in education and training?

Hon LOUISE UPSTON: The Ministry for Women is working across Government to ensure that women and girls have greater opportunities in high-demand areas. Ministry officials are working with the Ministry for Primary Industries to better understand the barriers to pursuing careers in the primary sector. Earlier, Minister Parata announced the opening of a new round of scholarships to encourage graduates wanting to become secondary teachers in STEM fields, and we are advancing work under the Ministry of Business, Innovation and Employment's (MBIE's) national science strategy, A Nation of Curious Minds, and through the Make the World public awareness campaign, to increase STEM graduates. Ultimately, though, it is about recognising and backing fantastic role models, like 25-year-old Kellie Hobbs, an offshore well engineer featured in today's Taranaki Daily News. She is working with girls as young as 11 in workshops that are funded by MBIE through the Nation of Curious Minds fund, to show the next generation of women that they absolutely can, and must, succeed in STEM.

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