3. Question No. 3—Prime MinisterCHRISTOPHER LUXON (Leader of the Opposition) to the Prime MinisterQuestion No. 3—Prime Minister3. 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 our careful economic management and the actions that we have taken to support businesses and to protect jobs during global instability resulting in an economy that is 2.9 percent larger than it was a year ago and more than 6 percent larger than it was before COVID-19; unemployment below 4 percent for 24 consecutive months—that's only happened once before in the last 30 years and that was between 2004 and 2008; coincidentally also under a Labour Government—wages have increased by 7.1 percent in the year to June and by 29 percent since we took office; more New Zealanders in work than ever before with labour force participation increasing to 72.4 percent and the employment rate increasing to 69.8 percent with both being the highest on record; increased numbers of people in apprenticeships; a 44 percent increase in the minimum wage; record levels of R & D investment up 67 percent since we became Government; the delivery of new free-trade agreements that mean almost three-quarters of our exports are now covered by a free-trade agreement; we have cleared Mycoplasma bovis infections from 280 farms with no active M. bovis infections in New Zealand; and we've seen record high food and fibre revenue up 50 percent from 2017. But I also particularly stand by my comments that the member was proposing unaffordable tax cuts and I welcome his admission that they are unaffordable judged by the fact that they're proposing now to introduce four new taxes in order to pay for them. Christopher Luxon: Why if everything is going so swimmingly well is he now ready to admit that there's billions of dollars of waste and why didn't he start reining it in over the last six years instead of leaving it just for the last six weeks before the election? Rt Hon CHRIS HIPKINS: It may come as a surprise to the member that every Budget cycle Governments look for savings and we indicated on Budget day that we would continue to look for savings and that is what we set out yesterday. What I can say is that every commitment that we are putting before the electorate in this election is fully costed and it's fully paid for. The member can't say that and that's why his finance spokesperson and co-leader is proposing new taxes in order to pay for them. Christopher Luxon: Isn't it pathetic that after scaremongering over National's plans for responsible fiscal management for months he's now making spending cuts at the eleventh hour in a very desperate attempt to make New Zealanders think that his Government hasn't been engaged in reckless economic vandalism on a scale we've never seen before? Rt Hon CHRIS HIPKINS: I'll tell the member what's desperate: spending two years saying that tax cuts are affordable and now desperately trying to scrabble together four new taxes in order to pay for them. But we should not be surprised because the National Party have past form. They said that tax cuts were affordable last time they came into Government and then they increased GST in order to pay for them meaning New Zealanders paid more every time they went to the supermarket more every time they paid the power bill more every time they filled up the car—all because National promised unaffordable tax cuts which is history repeating itself here. Christopher Luxon: Oh my goodness! Why should New Zealanders believe this last-minute promise to rein in wasteful spending when this Government has spent more than it promised at every single Budget it has delivered over the last six years? Rt Hon CHRIS HIPKINS: We've been very clear through the course of the year that we would look for savings and make sure that New Zealanders are getting value for money from their public services. That is ongoing work that we have been doing across the entire six years we have been in Government. But I am very proud of the fact that our teachers have had record pay increases and our nurses have had record pay increases. Unlike the last National Government we've invested in our health system and our education system. We are spending record levels on road maintenance because we don't think that running down the roads in the way the last National Government did was an acceptable way to manage the economy. The National Party are trying to tell New Zealanders that they can have all of the promises National is making and no one needs to pay for them. Well now the mask starts to slip and we see that there are at least four new taxes on the drawing board in order to pay for his unaffordable promises. Christopher Luxon: Isn't the real reason he has announced last-minute spending cuts that he's just trying to paper over the fact that his Government's reckless spending has left our country's economy and finances in ruin?Rt Hon CHRIS HIPKINS: The only person that's trying to paper over anything at the moment is Nicola Willis who is desperately trying to paper over the fact that the National Party's promises simply don't add up. Christopher Luxon: Can he confirm then that under his Government spending is up almost 80 percent inflation has increased by more than 22 percent tax has increased by 65 percent the national debt has tripled and we're the only country in our region in a recession? Rt Hon CHRIS HIPKINS: What I can confirm is the IMF has reported this morning that since the global pandemic—since the second quarter of 2020—the New Zealand economy has experienced cumulative growth of 10.2 percent and when I compare that with the IMF's stated growth for Australia of 8.8 percent for the US of 7.6 percent for the euro area of 7.1 percent or 6.1 percent for the UK that shows that we've actually been managing the economy pretty well. Christopher Luxon: Oh no no it doesn't. It doesn't show that. Isn't it extraordinary that after months of accusing everyone else of cutting public services it turns out that he was the one planning millions of dollars in cuts to health and education to fill his fiscal hole? Rt Hon CHRIS HIPKINS: Oh the member can't have it both ways because presumably they're going to announce more cuts themselves tomorrow in addition to the fact that they are now saying that they're going to add four new taxes in order to pay for the tax cuts that they're proposing that will disproportionately benefit those on the highest incomes—millionaires amongst others—and property owners. I think we've got our priorities about right. We are focused on supporting working New Zealanders through the current cost of living challenge with targeted cost of living measures that will make a meaningful difference for them. We're not focused on delivering tax cuts to those who need the money the least. Christopher Luxon: Why is it that every time a Labour Government is put in charge of the public finances they leave a complete and utter mess for a National Government to come in and clean it up? Rt Hon CHRIS HIPKINS: The member should have quit while he was behind a couple of questions ago because I'm very proud of our economic track record and when we compare that with the last National Government despite the fact that—Simeon Brown: You've cooked the books. Rt Hon CHRIS HIPKINS: —we have faced a global pandemic our economy—SPEAKER: Order! Sorry. Simeon Brown that interjection is completely out of order. [Interruption] No I haven't decided if you're staying. Can you stand withdraw and apologise. Simeon Brown: I withdraw and apologise. Rt Hon CHRIS HIPKINS: I am very proud of the fact that under our Government despite the fact that we faced a global pandemic our economy year on year has had stronger growth on average than it did under the entire nine years that National was in Government.