4. Question No. 4—Prime MinisterCHRISTOPHER LUXON (Leader of the Opposition) to the Prime MinisterQuestion No. 4—Prime Minister4. CHRISTOPHER LUXON (Leader of the Opposition) to the Prime Minister: Does he stand by all of his Government's statements and actions?Rt Hon CHRIS HIPKINS (Prime Minister): Yes particularly this Government's $300 million boost to the New Zealand Green Investment Finance fund to accelerate the uptake of low-emissions technology and mobilise private sector capital into new businesses and jobs. Green Investment Finance has invested in electric vehicle charging infrastructure solar-powered projects and electric buses reducing emissions by up to 710000 tonnes. These investments will generate returns that can be recycled into other projects.Christopher Luxon: Is it fair that someone on the average wage is paying $1600 more in income tax because of bracket creep when their real wages have actually gone backwards because of his Government's economic mismanagement?Rt Hon CHRIS HIPKINS: Of course I note that overall real wages have been trending upwards under this Government. The member may choose to pick a particular point in time and of course we acknowledge that the current inflationary environment is putting families under pressure. That is exactly why the Budget is focused on—it is a no-frills Budget focused very much on the issues that are of concern to New Zealanders.Christopher Luxon: Why has he inflation-adjusted benefits inflation-adjusted New Zealand super and inflation-adjusted the minimum wage but refuses to inflation-adjust income tax brackets for hard-working middle-income Kiwis?Rt Hon CHRIS HIPKINS: I've never said that we wouldn't make adjustments in time to income tax brackets. I note that people move up income tax brackets because their incomes are increasing and inflation has led to a driving up of New Zealanders' incomes because of rising wages. I note they've risen much faster under this Government than under the last National Government.David Seymour: Does the Prime Minister understand that if your incomes are rising due to inflation and so is the cost of things you're buying you can't actually buy more and you're no better off?Rt Hon CHRIS HIPKINS: I note the longer-term trend under this Government is that wages have been rising ahead of inflation. I do note that we are currently in an environment which is very challenging for New Zealanders.David Seymour: Does the Prime Minister understand that after-tax wages last year rose 6.2 percent versus inflation of 7.2 percent so the hard-working people who pay the taxes who pay the bills for this place actually fell behind by 1 percent last year and if so what's he going to do about it?Rt Hon CHRIS HIPKINS: The member might like to take a look at the latest statistics and of course there will be more coming. At any given point in time there will be fluctuation between those two numbers but if you look at the longer-term trend this Government's track record stacks up very well.Christopher Luxon: So when he said income tax thresholds will need to be adjusted for inflation but just not yet how much inflation will be enough before he will finally give Kiwis a break?Rt Hon CHRIS HIPKINS: I note that adjusting tax brackets right now has the potential to keep inflation higher for longer. Pumping the sort of money into the economy that National's tax plan would do would ultimately result in higher inflation for longer. It would mean Kiwi households paying higher interest bills on their mortgage for longer.Christopher Luxon: So when he just said he was ruling out tax relief because it has the potential to be inflationary has he considered choosing tax relief over evermore wasteful Government spending given his Government is already spending an extra $1 billion each and every week?Rt Hon CHRIS HIPKINS: As has already been well noted by economists—reputable economists—actually the Government has been placing downwards pressure on the overall level of Government spending and that will have a flow-on effect to broader economic measures.Debbie Ngarewa-Packer: Does he stand by his Government's refusal to support a ban or moratorium on seabed mining in our own domestic waters despite his Government backing a conditional moratorium in international waters?Rt Hon CHRIS HIPKINS: I absolutely endorse the decision taken by the select committee to hold an inquiry on those matters so that we can make sure that all of the issues and the potential ramifications of decisions in this space are properly canvassed.Debbie Ngarewa-Packer: What is his response to the more than 20 hapū iwi and environmental NGOs who have sent him an open letter and the 40000 who signed a petition calling on him to support my member's bill and ban seabed mining?Rt Hon CHRIS HIPKINS: I would encourage them to channel their energies and efforts into submitting to the select committee.Debbie Ngarewa-Packer: Why is he kicking the can on seabed mining to a select committee inquiry when seabed mining applications have been rejected by the High Court the Court of Appeal and the Supreme Court?Rt Hon CHRIS HIPKINS: I think the select committee inquiry is a good way to canvass all of the relevant issues including all of the consequences of potential decisions that we could take in this space.Debbie Ngarewa-Packer: How can you refuse to support this bill to enable it to be debated at select committee when seabed mining has been consistently rejected by all the courts in Aotearoa by tangata whenua coastal communities environmental groups farmers fishing interests and the public at large?Rt Hon CHRIS HIPKINS: Because I think the select committee inquiry is actually a good way of dealing with those issues.Christopher Luxon: Isn't the real reason he won't deliver tax relief and is considering a capital gains tax and an inheritance tax and a wealth tax because his Government is totally addicted to spending and taxpayers are paying the price of that addiction?Rt Hon CHRIS HIPKINS: The member is just making things up. In fact I have specifically—SPEAKER: The Prime Minister well knows he cannot make that sort of statement about any member. I will say that the question—for which I counted at least five assertions and three legs—is probably going to generate such a response. I think we'll leave it there eh.Christopher Luxon: Is it the case that he wants a capital gains tax but he won't tell the public or is it that his Ministers want a capital gains tax but he won't tell them no?Rt Hon CHRIS HIPKINS: It is the case that I have made a commitment to honour the commitments we made in 2020 at the general election because unlike the previous Government we won't say we won't do something before an election only to do it after the election as they did when they specifically ruled out increasing GST and then went ahead and did it anyway. Christopher Luxon: So will he rule out a capital gains tax while he's Prime Minister? Rt Hon CHRIS HIPKINS: The member needs to get some new material. He asked me this question yesterday and I'll give him exactly the same answer which is our tax policy will be very clear before the election.