• ORAL QUESTIONS

QUESTIONS TO MINISTERS

ANDREW LITTLE (Leader of the Opposition): My question is to the Minister of Finance. Does he stand by his statement—

Rt Hon John Key: Oh, God, I'm irrelevant already.

ANDREW LITTLE: John, it is all over. It is all over, brother.

Mr SPEAKER: Order! Again, as I said yesterday, I can sense the excitement in the air, but we will still conduct question time under the normal rules.

ANDREW LITTLE: It is not the excitement; it is the relief on the face of the Prime Minister.

Mr SPEAKER: Order! We will have the question.

Economic Programme—Fiscal Strategy

1. ANDREW LITTLE (Leader—Labour) to the Minister of Finance: Does he stand by his statement, "there is no room for significant loosening of the purse strings", and does this apply to funding for health, police, and education?

Hon BILL ENGLISH (Minister of Finance): Yes. That comment was made in 2014, before a return to surpluses, but it holds as true today as it did then. The Government is not in the habit of spending surpluses before it has them, but now that it does have surpluses, some of them will be used up on funding the Kaikōura earthquake recovery. Whatever other surpluses there are it will use responsibly to make a difference to the lives of New Zealanders. [Interruption]

Mr SPEAKER: Order! I will not put up with that behaviour again from New Zealand First members.

Andrew Little: Which is more important to him: more tax cuts or fixing public services like health, education, and police?

Hon BILL ENGLISH: Both are important, because we need to reward hard-working New Zealanders and we need to make sure that the billions we spend on health and education actually change lives and make a difference for New Zealanders—that we are not just shovelling money out because it sounds good to spend on education, like the Labour Party does.

Andrew Little: Can he confirm Judith Collins' claim that she has been requesting money for more police since June; if so, why has he rejected her?

Hon BILL ENGLISH: All propositions made by Ministers for the expenditure of significant public money, which we only have because people pay GST on their shopping at the supermarket—all of those propositions have to go through a thorough process. Sometimes Ministers find it a little bit irritating.

Andrew Little: Why has crime been surging in the last few years? Is it because he has not been funding enough police or because Judith Collins just is not a very good police Minister?

Hon BILL ENGLISH: There is, I think, quite a serious discussion, actually, to go on about what has changed about the trajectory of crime rates. It does look as if the lower tolerance for family violence is a big part of more arrests and convictions for those serious crimes. There is better investigation of serious sexual crime, leading to more arrests and convictions, and the clutch of criminal activity that goes with methamphetamine. We are digging pretty hard into why those numbers have been rising.

Andrew Little: When New Zealanders like 96-year-old Trixie Cottingham are having their home care cut by underfunded district health boards (DHBs), does he take responsibility for that as finance Minister?

Hon BILL ENGLISH: No, because, as that member will know, DHBs have considerable latitude as to how they use their money. As the Minister of Health has pointed out, I think, this year they got around $600 million more to meet the growing demand for health services. But when we put more money in, we want to make sure that it makes a difference. We do not just shovel it in because it is good to spend on health.

Andrew Little: Does he agree with Jonathan Coleman that "before we look at tax cuts, we've got to make sure we're properly funding health"; if so, why is health not then funded properly already?

Hon BILL ENGLISH: The Minister has been a strong and persistent advocate, not just for more spending in health, actually—he has been an advocate for things like the bowel screening programme, for instance, which should save the lives of hundreds of New Zealanders. And he has overseen a programme where improved emergency room performance has halved the death rate over the last 5 years, and that is a pretty impressive achievement. [Interruption]

Mr SPEAKER: Order! A little less interjection from my left.

Andrew Little: Given his statement "No ifs, no buts and no fighting in school communities over whether to have it. Everyone is going bulk funding", how quickly does he think he can resurrect that policy?

Mr SPEAKER: In so far as there is financial ministerial responsibility—the Hon Bill English.

Hon BILL ENGLISH: I am not sure what the member is referring to, but the Minister of Education has recently had a discussion with the education sector about a review of the funding system, made some decisions about what not to proceed with, and is proceeding with the other five or six aspects that she proposed. That is the Government position.

• Economy—Reports on Growth

2. TODD BARCLAY (National—Clutha-Southland) to the Minister of Finance: What reports has he received showing the New Zealand economy is on track for continuing moderate growth?

Hon BILL ENGLISH (Minister of Finance): Well, another of many, actually, from the New Zealand Institute of Economic Research (NZIER). The NZIER has said that despite the recent earthquake, New Zealanders should continue to benefit from a growing economy. It is forecasting average growth above 3 percent for the next 5 years, and, over the next 5 years, 400,000 new jobs and picking unemployment will fall to 4.2 percent by 2018. The ability to achieve this kind of economic progress is relatively unique in the developed world.

Todd Barclay: What does the NZIER say are some of the factors supporting the growth outlook?

Hon BILL ENGLISH: The survey points to good confidence in businesses that they will hire more staff, and that this is related to higher consumer confidence, which is leading to higher growth. It points out that although the effect of the earthquake is significant for those affected, it will have a moderate impact on the economy at large. It points out that the New Zealand economy is in good shape, and will provide a buffer for any further shocks, whether they are international or of a seismic nature.

Todd Barclay: What other reports has he received that show the economy is delivering results for New Zealanders?

Hon BILL ENGLISH: Just today the ANZ published its job ads survey, which shows that the number of jobs advertised rose 2.9 percent in November and the number of job ads is 18 percent higher than a year ago—the strongest monthly growth rate in 2 years. [Interruption]

Mr SPEAKER: Order! Just before I call the supplementary question, there are just too many interjections, coming particularly from one person to my left. I will have to deal with it if it continues.

James Shaw: Has he seen the latest IMF Global Housing Watch report, which shows that New Zealand is the least affordable country in the world to buy a house in, relative to income, and will he be asking the new head of the IMF to write less critical reports in the future?

Mr SPEAKER: There are two questions. Either can be answered.

Hon BILL ENGLISH: Well, the Prime Minister tells me it is yet to be determined who the new head of the IMF is. That is just another report on the condition of the New Zealand housing market, and I would look forward to the support of the Greens to change their position from 20 years of opposing the growth of our cities, to helping with legislation that is going to allow our cities to grow and houses to be reasonably priced.

Todd Barclay: What indicators point to diversification of the New Zealand economy supporting resilience?

Hon BILL ENGLISH: One indication of the resilience of this economy has been the way that it has reacted to the fall in dairy prices. Dairy prices dropped significantly over the last couple of years, but almost all other exports performed much better, and, as a result of that, we have been able to continue with moderate and consistent economic growth, even though our largest single primary production commodity dropped in price.

Grant Robertson: In light of those probing and challenging supplementary questions, does he now regret not going to Todd Barclay's barbecue last week and leaving it to Judith Collins?

Mr SPEAKER: Order! There is no ministerial responsibility, whatsoever.

• Prime Minister—Ministers, Confidence

3. Rt Hon WINSTON PETERS (Leader—NZ First) to the Prime Minister: Does he have confidence in all his Ministers; if so, why?

Rt Hon JOHN KEY (Prime Minister): Yes; because they are all highly capable.[Interruption

Mr SPEAKER: That could well be a supplementary question, but I am about to call the Rt Hon Winston Peters.

Rt Hon Winston Peters: How can he have any confidence in a Minister that says that the National Party will be "A bunch of wusses" if they pass legislation that extends the Youth Court age to include 7-year-olds, 17-year-olds—[Interruption]—17; not your age—

Mr SPEAKER: Order! [Interruption] Order! Bring the question to a conclusion.

Rt Hon Winston Peters: —yes, all right—which extended the Youth Court age to include 17-year-olds, and someone in whom the Minister of Finance and the Minister of Health appear to have no confidence at all?

Rt Hon JOHN KEY: I know the member is worried about the youth age being lifted to 70-year-olds, because it would include him, but he should rest assured that I am very confident that he will stay out of the court, having done so for the last 69 and something years.

Rt Hon Winston Peters: How can he have confidence in his finance Minister when, plainly, the Minister of Police, the Minister of Health, and a host of others have no confidence in him?

Rt Hon JOHN KEY: Firstly, that is patently untrue, and, secondly, because Bill English is respected around the world as one of the best finance Ministers, and rightly so. He has led an economy that is back in surplus, that is growing rapidly, that has seen wage growth, and that is the envy of the Western World, and that is why he is acclaimed in the manner that he is.

Rt Hon Winston Peters: How can the Prime Minister have confidence in the health Minister when, clearly, the Minister of Police and the Minister of Finance and a host of others in the caucus have no confidence in him at all?

Rt Hon JOHN KEY: It is not true. The Minister of Police and the Minister of Finance have great confidence in the Minister of Health. You see, the difference on this side of the House is that we actually have a capable caucus where we actually know each other and like each other. It is quite a bit different over there and over there.

Rt Hon Winston Peters: How can he have confidence in his social housing Minister when she clearly does not have any confidence in herself?

Rt Hon JOHN KEY: I think you can say a lot of things about Paula Bennett, but she has enormous confidence in herself—trust me. Anyone who hosts a pirate party and does so until late into the evening has tremendous confidence in themselves.

Rt Hon Winston Peters: How can he possibly have confidence in all of his Ministers when all we are hearing from his answers and from the spills coming out of caucus is terrible instability, feuding, backstabbing, fighting, all sorts of secret calls—so much so that it has fallen to New Zealand First to look like the epitome of stability?

Rt Hon JOHN KEY: Well, when you have a caucus of one, it is reasonably easy to be stable. But the member may have noticed that on Monday—the last time you held up a sign it said "No" and it should have said "Yes".

• Health Services—Funding Levels

4. Hon ANNETTE KING (Deputy Leader—Labour) to the Minister of Health: Does he stand by his statement, "I think we've got to be very careful before we look at tax cuts. We've got to make sure we are properly funding health and education"; if so, has health been funded properly over the last two Budgets to allow him to do everything he has wanted as health Minister?

Hon Dr JONATHAN COLEMAN (Minister of Health): Yes. Although health got an extra $2.2 billion over 4 years in Budget 2016 for new initiatives and to meet cost pressures and population growth, there is always more to be done in health, and every extra dollar is helpful. Of course, my comments are focused on the future. I also stand by my comment that it is unbelievable that a previous Labour health Minister could be given an extra $3 billion but actually cut elective operations by 2,000 per year and first specialist assessments by 7,000.

Hon Annette King: Why has it taken a leadership challenge and his personal ambition for him to see that, under Bill English as Minister of Finance, $1.7 billion is missing from the health budget and that health now needs to be—according to him—properly funded, having caused untold misery to sick New Zealanders over the past 8 years?

Hon Dr JONATHAN COLEMAN: I fundamentally reject the premise of that question. Once again, Mrs King is making up a whole lot of stuff, including this $1.7 billion figure. She knows for a fact that the health budget has gone up every year under this Government, from about $12 billion to $16 billion over our 8 years in Government, and that is the fact of it.

Hon Annette King: Why has he spent 2 years hiding the fact that health, under Bill English Budgets, has not been properly funded, knowing that services have closed and been cut, people have waited in more pain before getting care, police are sent out to deal with very sick mental health patients, and thousands cannot afford to go to a GP?

Hon Dr JONATHAN COLEMAN: There are about five things there to say no to. Once again, Mrs King is making up stories about—

Mr SPEAKER: Order! [Interruption] Order! I am going to allow the Minister to finish his answer, but he cannot accuse another member of making stuff up, and I refer to Speaker's ruling 46/1. The Minister can complete his answer.

Hon Dr JONATHAN COLEMAN: So, as I was saying, there are about five noes in that question there. We put an extra $4 billion into the health system, 6,000 extra doctors, thousands of extra first specialist assessments, and a massive uplift in electives. The member cannot name a single service under this Government that actually is not delivering more than before. I will tell you what, she would not want more scrutiny of her own record, but I commend her for her bravery in asking questions in the House every week.

Mr SPEAKER: In making comments to the Minister, I used Speaker's ruling 46/1; it is actually 47/4, should any member want to check it.

Hon Annette King: Does he now regret gloating about the Government's fiscal strategy and health back in January, when he said "We've slowed the growth, so the growth and health spending is down from 8 to 9 percent, to around 2.5 percent.", which, from his comments over the past day, shows that he does not think that health has been properly funded; or does he not know the meaning of the word "properly"?

Hon Dr JONATHAN COLEMAN: No. I think we have actually funded health extremely well, but I am looking to the future.

Hon Annette King: Is he prepared to fund a programme advising of the dangers of second-hand cigar smoke being blown at people in close quarters in corporate boxes?

Hon Dr JONATHAN COLEMAN: No, but I think we could do with a programme on staying well past your used-by date, Mrs King.

• Accident Compensation Corporation—Levies

5. MAUREEN PUGH (National) to the Minister for ACC: What changes to ACC levies come into effect from 1 April next year?

Hon NATHAN GUY (Acting Minister for ACC): Today I am pleased to announce further cuts to ACC work and motor vehicle levies. This will mean savings of $126 million over the next 2 years for New Zealand businesses and motorists. Today's cuts come on top of more than $2 billion worth of ACC levy cuts that Kiwis have enjoyed under this Government since 2012. ACC is now in great financial shape. It is confident it can meet the lifetime costs of all claims on its books, reassuring those with more serious injuries who need lifelong support.

Maureen Pugh: How much will individual businesses and motorists save as a result of those cuts?

Hon NATHAN GUY: The exact levy that businesses and motorists pay depends on their particular circumstances. In general, the average work levy is reducing from 80c to 72c per $100 of liable earnings, a reduction of 10 percent. The average motor vehicle levy, which includes the annual licence levy and petrol levy, will reduce by around $16, a reduction of about 12.5 percent. The petrol levy itself will reduce from 6.9c to 6c per litre, a reduction of 13 percent. These reductions have been made possible by the improved financial management of ACC under our watch, which has seen significant improvements in the funding position of all levied accounts.

• Police—Resourcing

6. GRANT ROBERTSON (Labour—Wellington Central) to the Minister of Police: Does she believe Police have been given adequate resources to address crime in all areas; if not, which areas are in need of further resources?

Hon Members: Given up on finance?

Hon JUDITH COLLINS (Minister of Police): I do not think that member is going to have any better luck with this than he does with finance, but there you go. Police has been given substantial resources by National, with an injection of 600 extra police and a budget of $1.6 billion, up from $1.2 billion under Labour. As I have often said, it has been doing an excellent job with those resources. As I have also said—repeatedly—Police will need more numbers going into the future. As to where further resources should go, I actually think, everywhere. I want to see an increased police presence around the country—rural, regional, in our biggest city, and in our centres. I want to see more police out there making New Zealanders feel safe and secure, preventing crime, and ultimately making New Zealand the safest country in the world.

Grant Robertson: Given her statement on the need for more police "I've been [asking] since June and I've been waiting for that to happen.", who is responsible for that not happening?

Hon JUDITH COLLINS: If the member had listened to previous questions in the House and if he had ever been a Minister he would know that these matters go through a Cabinet process. These matters are not just putting a few numbers on the back of an envelope—

Andrew Little: Why have you complained about it, then?

Hon JUDITH COLLINS: —and waking them up. It is not a complaint. The member asks why I am complaining; I am not complaining at all. I am just stating the fact. It has been a long process and a very thorough process.

Grant Robertson: Will she provide additional police resources to tackle the theft of public money, such as someone who uses a taxpayer-funded trip to China to advance their husband's business interests? [Interruption]

Mr SPEAKER: Order! The question can be addressed.

Hon JUDITH COLLINS: If that were the case, then it would be. Of course, it is not.

Grant Robertson: In light of her statement that she "does not bear grudges", can we bury the hatchet today, and will she tell me once and for all who was the border official at the dinner in China?

Mr SPEAKER: There is no ministerial responsibility there at all.

• Prime Minister—Ministers, Confidence

7. JAMES SHAW (Co-Leader—Green) to the Prime Minister: Does he have confidence in all his Ministers?

Rt Hon JOHN KEY (Prime Minister): Yes.

James Shaw: Does he have confidence in Jonathan Coleman, and does he even know what he looks like?

Rt Hon JOHN KEY: Yes. I am pretty sure he is the one that is just over there. But, you know, given he has been in quite a number of my Cabinets, and I am awake for most of them—absolutely.

James Shaw: Does he have confidence that if Judith Collins becomes Prime Minister, New Zealand will not wake up one day and find itself tied with Zimbabwe on the Transparency International corruption index?

Rt Hon JOHN KEY: I have absolute confidence in Judith Collins, and I have absolute confidence in all of my caucus and my Cabinet colleagues.

James Shaw: Does he have confidence that if Steven Joyce becomes the finance Minister he will not lose the entire surplus on one of those roulette wheels he gave to Skycity Casino?

Rt Hon JOHN KEY: Here is a prediction: when the Skycity Auckland Convention Centre opens in, I think it is, 2019, from memory, it will be a sparkling asset used by many convention-dwellers, both internationally and locally. It will not cost a cent of taxpayer or ratepayer money, and, if it is true to form, the Labour Party members, who will still be in Opposition, will be coming over to the opening, just like they did when they objected to the hobbits and so many other things in the past.

James Shaw: Is the real reason that New Zealand's productivity is so low because every working-age New Zealander has been bored to death listening to Bill English?

Rt Hon JOHN KEY: If that is his test, then I should introduce him to his own caucus colleagues. Man, they are not exactly people I want to party with when I leave Parliament—let me give you a clue. [Interruption]

Mr SPEAKER: Order! I dealt with the showing of those visual aids by New Zealand First earlier. If it continues again from any of those members, they will be leaving the Chamber. I do not want to have to issue that warning again.

James Shaw: Now that he knows who his likely successors are, is he tempted to turn round and say: "Actually, Bill, I've changed my mind."?

Rt Hon JOHN KEY: Definitely not. As I said on Monday, it has been a great privilege to be Prime Minister of New Zealand for the last 8 years and to lead such a fantastic Cabinet and caucus. I am immensely proud of what this Government has achieved, but, as I said on Monday, I have called time on my own political career, and I will not be turning back on that decision.

Hon Gerry Brownlee: In his long and successful tenure as Prime Minister over the last 8 years in this House, does he recall a day when the Greens have put more effort into their questions?

Rt Hon JOHN KEY: No, but it is good to see that they are getting the hang of it, because they are going to be asking questions for a very long time.

• Crown Land Programme—Housing Developments

8. KANWALJIT SINGH BAKSHI (National) to the Minister for Building and Housing: What new housing developments has he announced as part of the Crown Land programme and how many homes will it provide

Hon Dr NICK SMITH (Minister for Building and Housing): Yesterday I announced a new 300-home development on part of the Point England Reserve with Ngāti Paoa and the Tāmaki Redevelopment Company. For the last 30 years, 18 hectares of the 48-hectare reserve have been used grazing cows. This is poor use of land that is only 12 kilometres from Auckland's CBD. The cows will go, and 12 hectares will now be used for housing, and the remainder of the reserve will be developed into better amenity and recreation space. The Government is committed to all of the proceeds of the land being used for housing and to be reinvested locally—a position that has been strongly advocated for by the MP for Maungakiekie, Peseta Sam Lotu-Iiga, and Auckland Council.

Kanwaljit Singh Bakshi: How will this Point England housing development help support the Tāmaki project?

Hon Dr NICK SMITH: The major challenge with the Tāmaki redevelopment of 2,800 homes into 7,500 is the provision of housing in the interim for the large number of families dislocated during the demolition and reconstruction phases. The great advantage of this Point England project is that providing 300 additional homes in close proximity will enable that largest redevelopment project in New Zealand history to be able to be accelerated.

Kanwaljit Singh Bakshi: How many sites have now been confirmed under the Government's Crown land programme, and how many homes are being built?

Hon Dr NICK SMITH: We have now announced nine sites in the Crown land programme, which will deliver over 1,500 homes. Four of them are partnerships with the private sector, and five, including Point England, announced yesterday, are with iwi partners. Announcements in the last month include 60 in Te Atatū, 120 in Great North Road and Waterview, and 100 in New North Road in Mount Albert. Further sites are well advanced, and by the end of this financial year there will be over a billion dollars' worth of additional housing in the pipeline. In fact, this year the Government will be directly involved in building more houses than at any time in New Zealand's history.

• Housing New Zealand—Tenants Housing Preferences

9. PHIL TWYFORD (Labour—Te Atatū) to the Minister for Social Housing: How many State house tenants turned down properties because of birds chirping in nearby trees, because a backyard was too small for a trampoline, or because they disliked the colour of a door?

Hon PAULA BENNETT (Minister for Social Housing): This question is so last year, but that is fine; let us have another go. Let us have another go. What the member is referring to is what we call people who decline an offer of a social house without sufficient reason. From when the changes took effect, which I put in on 25 January, to the end of September there were 1,760 offers of houses made that were declined, and 144 offers were found to be turned down for insufficient reason.

Phil Twyford: Why did she take three examples to portray 69,000 State house tenants as the ungrateful and undeserving poor, in order to play politics with the most vulnerable people and make herself look tough?

Hon PAULA BENNETT: A bit of kettle black there, mate. It is you who is doing that.

Rt Hon Winston Peters: I raise a point of order, Mr Speaker. There is no way that that Minister can call you a kettle or black. She has been around long enough; she is probably not experienced enough to take a higher job, but she should know the Standing Orders and Speakers' rulings.

Mr SPEAKER: I would also hope that the member would know the Standing Orders and Speakers' rulings, which were changed, I think, in 2011 so that the only person who can take a point of order on that matter is indeed the Speaker himself. If it is done absolutely deliberately and consistently, then the debate or question time would be interrupted. But in the event that it is done on occasion and not deliberately directed to the Speaker, we allow it to be left. I will find the particular Standing Order and refer it to the member for his education.

Phil Twyford: Why did she say that contamination figures are shockingly high and label innocent tenants as "worse than animals", when she knew that Housing New Zealand's methamphetamine testing has been shown to be a completely incompetent waste of money that cannot prove meth manufacture or hazardous levels of residue?

Hon PAULA BENNETT: I have never ever referred to tenants in that manner, and that member yet again is overreaching, exaggerating, and, in this case, just plainly not telling the truth.

Mr SPEAKER: Order! The last part is out of order. A member cannot accuse another of not telling the truth. Any member can certainly take it up in another way, and I refer members to Standing Order 359.

Phil Twyford: I seek leave to table the Stuff story that contains the words—

Mr SPEAKER: Order! Stuff stories are freely available to all members if they decide to refer to them.

Phil Twyford: Does she believe that someone who would deliberately call State house tenants "worse than animals", who would say that homeless people do not want to be helped, in the case of the Pullman Park flying squads, and who calls State house tenants "ungrateful and undeserving" has the character and integrity to be a deputy leader?

Hon PAULA BENNETT: I just simply do not abide by the member's characteristics.

Phil Twyford: Why is the Government sending officials to Australia on Monday to try to sell Christchurch's State houses to Australian companies, when for the last few years she has been trying to spin the State house sell-off as being about boosting local New Zealand community housing providers?

Hon PAULA BENNETT: I stand by our policy around getting more community housing providers involved in social housing. I think it is good for tenants and I think it is good for New Zealand.

Phil Twyford: I seek leave of the House to table an invitation from the Government to Australian companies to a briefing at KPMG's headquarters on Monday.

Mr SPEAKER: Order! And I just—[Interruption] Order! I just need the source of the document. How has the member sourced it?

Phil Twyford: It has been obtained via KPMG.

Mr SPEAKER: I will put the leave; the House can decide. Leave is sought to table a particular invitation to a KPMG function to be held in Australia. [Interruption] Order! Leave is sought to table it—[Interruption] Order! Leave is sought to table this particular document. Is there any objection? There is none. It can be tabled.

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

• Finance, Minister—Statements

10. Rt Hon WINSTON PETERS (Leader—NZ First) to the Minister of Finance: Does he stand by all his statements; if so, how?

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

Rt Hon Winston Peters: Well, does he stand by his statement—

Mr SPEAKER: Order! [Interruption] Order! The member needs to stand, call, and then I call a supplementary question.

Rt Hon Winston Peters: Well, I am calling. I am standing for a supplementary question.

Mr SPEAKER: Supplementary question—[Interruption] Order! I just need to explain to the member—and I should not have to—that the member stands, he calls "Supplementary question?"; if he gains my attention, I call him to ask the question. He does not lead straight into it.

Rt Hon Winston Peters: Does he stand by his statement that he is fit to be the Prime Minister of New Zealand?

Mr SPEAKER: In so far as there is ministerial responsibility—the Hon Bill English.

Hon BILL ENGLISH: Yes.

Rt Hon Winston Peters: Minister, what was the amount and percentage of public debt in 2008 when you took office as the Minister of Finance, and what is the amount and percentage of public debt today?

Hon BILL ENGLISH: When we took office it was single digits, like 7 or 8 percent of GDP. It was just before the global financial crisis and the Christchurch earthquakes, for which we borrowed, I think, almost $18 billion. But, of course, the member would think we should have just left them to it.

Rt Hon Winston Peters: If as Minister he is responsible for freezing the police budget and the lack of policing resourcing and responsible for the decrease in real terms of the health budget, would he agree that it is disgraceful to hold a ministerial warrant and announce a belt-tightening Budget, and then claim an accommodation allowance worth over $30,000 to live in his $1.2 million Wellington home?

Hon BILL ENGLISH: The police have not had a frozen budget, and I invite the member to just look at the police budget numbers. I think last year it was something, over 4 years, like $200 million in wage increases for everyone in the police force. The member may not count that as a relevant expenditure of public money, but we certainly do.

David Seymour: What percentage of GDP did Treasury recently forecast public debt would reach under historical spending patterns, as advocated by parties such as New Zealand First?

Mr SPEAKER: Order! The last part of the question—[Interruption] Order! The last part of the question is completely out of order. The first part of the question can be addressed.

Hon BILL ENGLISH: When we did take office in 2008 and Treasury did its forecasts based on the expenditure pattern of the previous coalition Government, it showed never-ending rising public debt. That is, if we had followed that pattern, public debt would never stop going up.

• Education—Reports

11. Dr JIAN YANG (National) to the Minister of Education: What recent reports has she received on educational achievement for New Zealand?

Hon HEKIA PARATA (Minister of Education): Tēnā koe, Mr Speaker. I am pleased to see the results of the OECD's Programme for International Student Assessment (PISA) released overnight. It is particularly pleasing to see that the 2012 fall in rankings has stabilised. New Zealand is now notably ranked 10th out of 70 countries for reading, up from 13th; is up two places from 23rd to 21st for maths; and has significantly improved in science from 18th to 12th. PISA 2015 also reports that New Zealand has one of the highest international proportions of all-round top achievers in all three subjects, at 6 percent compared with the OECD average of 4 percent. Furthermore, 20 percent of all New Zealand students assessed are among the top performers in at least one of these subjects. This is better than the OECD average of 15 percent.

Dr Jian Yang: What other insight does PISA tell us about how our education system is performing?

Hon HEKIA PARATA: I am very proud of New Zealand students who achieve these excellent results, but it is balanced by my concern that we still have too many in the lowest performing cohort and we see little shift from Māori and Pasifika in this group. So we have more to do. PISA is an important contribution to the indicators that tell us how well we are doing compared with the rest of the world. Other education systems are striving just as hard as we are to improve, and PISA reflects that dynamic. This latest report shows that although New Zealand has stabilised and improved its ranking, other systems have fallen. Our science and reading rankings place New Zealand students above countries like Australia, France, Switzerland, the United Kingdom, and the United States.

Catherine Delahunty: Tēnā koe, Minister. Given that the PISA results show that our schools have been unable to overcome the impact of inequality within their walls, which was confirmed by Ministry of Education officials at the Education and Science Committee today, will the Minister now acknowledge the effect that not having lunch has on a child's educational achievement?

Hon HEKIA PARATA: That, in fact, is not what the member was briefed on at select committee this morning. In fact, Dr Jones, head of evidence, data, and knowledge in the ministry and New Zealand's representative on the international PISA board, advised select committee that in 2012 the effect of socio-economic status was 18 percent. It has now reduced to 13 percent, which reflects how our social investment initiatives are supporting young people to be more successful.

Dr Jian Yang: What does PISA tell us about changes we can make to our education system to ensure New Zealanders continue to be internationally competitive?

Hon HEKIA PARATA: Similar to the trends in international mathematics and science study, TIMSS, released last week, PISA highlights that there remains more work to do to lift achievement levels of Māori and Pasifika students, who still, on average, have lower rates of achievement than other groups. We are making significant progress in both excellence and equity, and my work programme will continue to build on these next year. This will include directly targeting operational funding to students most at risk of underachievement, better and more consistent use of data, targeted professional learning and development, and a review of decile funding. We also want to help more of our students and teachers by extending the educational success we have in many of our schools, and communities of learning, or kāhui ako, are key to this goal being achieved, as they can turn best practice into common practice.

Catherine Delahunty: Does a child trying to do their homework in the back seat of a car that their family lives in place their educational achievement at risk?

Hon HEKIA PARATA: As I indicated earlier, our Government's approach to, and record on, social investment reflects how concerned we are to ensure that the background, the home experience, and the support families at risk get from this Government is available to them. Whether that is in social housing, whether that is the fact that we are the first Government in 43 years to raise benefit rates, or whether it is the targeted operational funding in education, this Government is putting taxpayers' money where it matters most.

Catherine Delahunty: So is the Minister now acknowledging that children from disadvantaged socio-economic circumstances are at greater risk of poorer health; cold, damp homes; and significant educational challenges, and that these issues are actually connected?

Hon HEKIA PARATA: I have never not acknowledged that the home life of a child has an impact. But what I have consistently said in this House is that that does not discharge the obligation of ensuring that every child has the best education possible, and, as Minister of Education, that is my focus. My colleagues are focused on the other elements that contribute to that success, and we are working well together to ensure that those most at risk get the support they need.

• Education—Science, Maths, and Reading Achievement

12. CHRIS HIPKINS (Labour—Rimutaka) to the Minister of Education: Why, after eight years of a National Government, are New Zealand students' performance in science, maths, and reading continuing to decline as reported in the OECD Programme for International Student Assessment study, and is she concerned that their scores are now at their lowest point ever?

Hon HEKIA PARATA (Minister of Education): I am more concerned about the member's understanding of the use of plurals and singulars—but never mind, he can review his question and check the literacy of it out. The scores have not continued to decline and have, in fact, stabilised and consolidated from 2012. Unlike the member, I was pleased. Unlike all members in the Opposition, I am pleased to see from these latest Programme for International Student Assessment (PISA) results that New Zealand's 15-year-olds place well above the OECD average in reading, maths, and science. How about a little celebration for them? I note that last week the member was less concerned about test scores and more concerned about New Zealand's table ranking, so I am happy to report that New Zealand's relative standing in science and reading has improved, and the fact we are sitting 10th in the world is something to be celebrated. It is also marginally pleasing that it beats the Aussies. This week the member has decided he is concerned about test scores, so I point out to the member that the declines observed in earlier studies have now stabilised, the scores have consolidated, and we are celebrating New Zealand students' success.

Chris Hipkins: Is it not simply a fact that no amount of spin in the world from her can hide the fact that New Zealand students' performance in reading, maths, and science has fallen in both of the PISA studies that have been published since National took office, and the only reason our international ranking has gone up is that other countries' performance has declined even more than ours?

Hon HEKIA PARATA: New Zealand scores have declined slightly but they are within the margin of error, which the members of the select committee had explained in painful detail to them this morning. It has always been the case—as I explained in 2012—that PISA is a league table; it is like a tennis ladder. It is dynamic; countries go up, countries go down. New Zealand has gone up and, as a result, Australia has fallen below us, France has fallen below us, Switzerland has fallen below us, the United Kingdom has fallen below us—

Mr SPEAKER: I want to bring the answer to a conclusion.

Hon HEKIA PARATA: Mr Speaker is understanding the difference; perhaps the member does too.

Chris Hipkins: Why does she declaim that the decline in the average scores of New Zealand students in reading, maths, and science are statistically insignificant while boasting that New Zealand has moved up the international league tables due to even smaller changes in the statistics of countries we compare to?

Hon HEKIA PARATA: I am neither declaiming nor boasting; I am describing and explaining. I am telling the member, as he was told in select committee this morning, that the points difference in the scoring is statistically insignificant and, in respect of New Zealand, because of our sample size in comparison with other countries, the margin of error is smaller and therefore our data is more reliable. In terms of rankings, I have just explained at length, at the edge of tolerance of Mr Speaker, that when countries go up, others go down. New Zealand has gone up.

Chris Hipkins: Why should the New Zealand public have any confidence in National's one-size-fits-all approach, given the latest PISA study records the lowest average student achievement scores for New Zealand students ever, ongoing increases in the number of students in the lowest performing cohorts, and a drop in the number of our students in the highest performing cohorts?

Hon HEKIA PARATA: I am so glad I am on this side of the House; that side of the House swims in a pool of misery. In fact, we can look at the data for performance in the New Zealand education system in far more detail than has ever been the case before. Why? Because this Government is prepared to be accountable, this Government wants to see every child succeed, and this Government has put the most amount of investment into education of any Government. We have seen the results—that is why parents can have confidence, speaking of tennis.

• QUESTIONS TO MEMBERS

[Draft]

Land Transfer (Foreign Ownership of Land Register) Amendment Bill—Importance

1. RIA BOND (NZ First) to the Member in charge of the Land Transfer (Foreign Ownership of Land Register) Amendment Bill: Why is it important that the Land Transfer (Foreign Ownership of Land Register) Amendment Bill passes its first reading today?

Rt Hon WINSTON PETERS (Member in charge of the Land Transfer (Foreign Ownership of Land Register) Amendment Bill): As we twiddled our thumbs, legislation to establish a new register for foreign ownership of water access entitlements in Australia passed the federal Senate at the end of November. In addition to Australia having an agricultural land register, soon foreign investors there will be required to notify the Australian Taxation Office of any water entitlements they hold, on a yearly basis.

Hon Gerry Brownlee: What?

Rt Hon WINSTON PETERS: We need to take off our blinkers, bring Gerry halfway awake, and pass this bill.

Ria Bond: Are there any other jurisdictions looking to do something similar to the member's bill?

Rt Hon WINSTON PETERS: Absolutely. Aside from our second-largest trading partner, Australia, the UK Government is also committed to a public register of foreign companies purchasing UK property by April 2018. I can also add that the Netherlands, France, Ireland, and Norway are all moving towards land registers—like we are—either this year or very early next year, when they fly the white flag, as well. Currently, New Zealand is an all-you-can-eat foreign property - owning smorgasbord.

• Land Transfer (Foreign Ownership of Land Register) Amendment Bill—Necessity

2. PITA PARAONE (NZ First) to the Member in charge of the Land Transfer (Foreign Ownership of Land Register) Amendment Bill: Why is the Land Transfer (Foreign Ownership of Land Register) Amendment Bill needed if, according to LINZ, transactions by foreign buyers are only 3 percent?

Rt Hon WINSTON PETERS (Member in charge of the Land Transfer (Foreign Ownership of Land Register) Amendment Bill): Land Information New Zealand (LINZ) data has more holes than Swiss cheese, given there was no statement at all for 38 percent of foreign sales. We also note, from an Official Information Act request, that the Inland Revenue Department "does not record information based on tax residency". That is a Grand Canyon - wide hole right there. What we have with the LINZ data is an honesty box based on an unverified self-declaration that the IRD has no means of verifying. To conclude, this is why this dynamic bill is definitely needed by our country.

Pita Paraone: What is the potential scale of investment New Zealand could expect that requires this bill's introduction?

Rt Hon WINSTON PETERS: Bloomberg reports that current property investments from China are about US$234 billion. Capital Economics estimates that Chinese capital outflows in October 2016 reached US$73 billion, while Bloomberg intelligence estimated that in the 9 months through to September, US$620 billion flowed out of China. Having little restrictions while other countries erect their barriers means we could be swamped very quickly, and we should not just walk away and betray the country, like the Māori Party.

Mr SPEAKER: Order!

• Land Transfer (Foreign Ownership of Land Register) Amendment Bill—Consistency with New Zealand Bill of Rights Act 1990

3. DENIS O'ROURKE (NZ First) to the Member in charge of the Land Transfer (Foreign Ownership of Land Register) Amendment Bill: Does he believe the Land Transfer (Foreign Ownership of Land Register) Amendment Bill breaches the New Zealand Bill of Rights Act 1990, as the Attorney-General contends?

Rt Hon WINSTON PETERS (Member in charge of the Land Transfer (Foreign Ownership of Land Register) Amendment Bill): That is a marvellous question. The Attorney-General has perfected the ultracrepidarian art.

Hon Member: What?

Rt Hon WINSTON PETERS: I knew you would say "What?", because you have got to be educated to understand this.

Hon Gerry Brownlee: I raise a point of order, Mr Speaker. [Interruption]

Mr SPEAKER: Order! I have a point of order—the Hon Gerry Brownlee.

Hon Gerry Brownlee: That was a very unnecessary comment from Mr Peters. He was asked whether he could clarify what he was saying because he was mumbling.

Mr SPEAKER: Order! [Interruption] Order! If the member is having difficulty hearing—[Interruption] Order! If the member is having difficulty hearing then I suggest he moves closer for the rest of this question so he can clearly decipher—[Interruption] I must say I am finding it a little difficult myself, but I am putting it down to the background noise from some interjections. I invite the member, because we have now lost the continuity, to repeat the answer to the question.

Rt Hon WINSTON PETERS: The Attorney-General, Chris Finlayson, has perfected the ultracrepidarian art. His arguments are blurb-iated balderdash of the first order. How could foreign owners and buyers providing their name, country of origin, and the value of land purchased, in a publicly accessibly database, breach privacy, when anyone can pay a fee to the foreign owners of Quotable Value and get most of that information for themselves, as any practical lawyer knowing anything about property law—

Mr SPEAKER: Order! We just need the answer to the question. Supplementary question, Denis O'Rourke. [Interruption] Order! We just need the question first. [Interruption] Order! Mr Bridges. Supplementary question, Denis O'Rourke.

Denis O'Rourke: This will stump him.

Mr SPEAKER: Order! I am doing my best—[Interruption] Order! The member will resume his seat. I am doing my best to maintain order so the member can ask his question. It certainly does not help when he starts his question that way. Stand and ask the supplementary question or I will be moving on.

Denis O'Rourke: How have other jurisdictions successfully introduced registers without a Bill of Rights issue emerging?

Rt Hon WINSTON PETERS: Now that is a wonderful question, but it is better directed to our own self-appointed Lord Denning, or the "Blackstone of the Antipodes". A basic tenet of our legal system is rights and responsibilities. If a foreign national is granted the right to own land here, then they would have the responsibility of being on this register. You would think a cumber-ground like—[Interruption] It is a bit heavy for me. You would think that a cumber-ground like Minister Finlayson would understand that.

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