2. Question No. 2—Prime MinisterCHRISTOPHER LUXON (Leader of the Opposition) to the Prime MinisterQuestion No. 2—Prime Minister2. CHRISTOPHER LUXON (Leader of the Opposition) to the Prime Minister: Does she stand by all of her Government's statements and actions?Rt Hon JACINDA ARDERN (Prime Minister): Yes particularly our work to support New Zealand families manage cost of living pressures by improving access to childcare. This policy reverses National's freeze on the income threshold for childcare eligibility; it means 10000 more children will be supported increasing coverage to more than half of New Zealand families. A family with two parents both working 40 hours a week on $26 per hour with two children under five will now be eligible for $252 per week from 1 April 2023. This is 10 times the amount those parents would receive under National's $11 billion tax cut plan. At a time when families are feeling the cost of living spike we've provided targeted support to New Zealanders through these uncertain economic times. Christopher Luxon: Can she explain to the New Zealand public why in the middle of a cost of living crisis her Government is merging TVNZ and Radio New Zealand (RNZ)? Rt Hon JACINDA ARDERN: Of course our cost of living focus is on easing the pressure for New Zealand families and I reference just one example in the childcare assistance; that is where our focus is. If the member wishes to talk about public service broadcasting more than happy to do so but I see that as quite separate from the issue of the cost of living for most families. Christopher Luxon: Does she agree with Willie Jackson that this merger is not just about the dollars dollars dollars"; it's about "a change of culture"?Rt Hon JACINDA ARDERN: I would hope that across this House we could agree that New Zealand benefits from having a strong public service broadcasting presence. I'd hope that we could all agree the likes of the ABC and the BBC have demonstrated their value in their respective countries. We've had our own model. The unfortunate situation we're in and those media sitting in this gallery will know—traditional forms of revenue for TVNZ are in decline. We have recognised that there is an issue we need to provide greater flexibility for those entities and that is the solution we're seeking. It is not in any way deterring us from what is top of mind for New Zealanders at the moment which is not public service broadcasting; it is the cost of living. I'm fascinated that the member has chosen not to focus on that presently. Christopher Luxon: Does she think spending $370 million to merge TVNZ and Radio New Zealand when that is greater than the combined value of both of those entities is a responsible use of taxpayers' money? Rt Hon JACINDA ARDERN: Two points: one we already also additionally fund content through New Zealand on Air and the funding the member has just mentioned consolidates some of that funding. Two as the revenue declines for TVNZ unless we find ways to better support them they will come to the Crown for support. We are trying to get ahead of these issues ensure strong public broadcasting in New Zealand and allow them to be as nimble as possible in the changing environment. But again over the weekend when we had the opportunity to talk about the thing that was top of mind for us as a party it was the cost of living. Going into the next election it will be the cost of living; it will be the economy. The member doesn't seem to want to talk about his policies in that regard; I am more than happy to talk about ours. Christopher Luxon: Why during a cost of living crisis is she pushing through a media merger that will destroy TVNZ's commercial model and cost taxpayers $200 million a year each and every year for the next 30 years? Rt Hon JACINDA ARDERN: Over the last 10 years TVNZ's commercial returns have declined by millions of dollars. The member seems to not have noticed that people's access to what was traditional forms of media such as television has substantially declined.Christopher Luxon: What's that got to do with it?Rt Hon JACINDA ARDERN: You question what that's got to do with it. When people stop watching it declines their advertising revenue. That means that their commercial viability declines which means our ability to have public broadcasting declines. Again the member may not see the problem; that's because we are the ones facing it. We've formulated a solution but if you're asking me what my number one priority in this House is today it isn't on this; it is on the cost of living. The member may wish to join me in that regard.Christopher Luxon: How many extra hospitals beds extra hip operations or extra cancer drugs could the Government purchase for $200 million each and every year for the next 30 years?Rt Hon JACINDA ARDERN: Half a million mental health sessions for New Zealanders; a 43 percent increase in Pharmac spending—we have moved on health reforms so that there is not a postcode lottery. We fixed the botched roll-out of bowel cancer screening that we were left by that Government. We have improved young people's access to mental health support. I stand firm on our record. That is the kind of investment we have made including $7 billion in capital spending for health. That member has no credibility on health spending.Christopher Luxon: Does she think Kiwis struggling with massive increases in the basics like food and rent might question her priorities when she's willing to spend hundreds of millions of dollars of their money each and every year on a pointless media merger during a cost of living crisis?Rt Hon JACINDA ARDERN: What those families may wish to know is that that member is promoting an $11 billion tax cut which predominantly supports those on the top top incomes. If anyone wants to know National's record in this regard we have recently reinstated childcare assistance because the number of children that were supported by it halved after that party got rid of it. If you want to know whether or not you can trust whether the National Party will put in place tax cuts for the wealthiest whilst maintaining health and education just listen to this statement in 2008. In 2008 National's goal was to deliver cheaper childcare to parents: "We will keep all existing subsidies." Two years later they cut them so they could give a tax break to the wealthiest New Zealanders. You cannot trust National.Christopher Luxon: Is the TVNZ-RNZ merger which will cost taxpayers over $6 billion another good example of the wasteful spending that New Zealanders have come to expect from this Government which simply doesn't deliver for them?Rt Hon JACINDA ARDERN: The member's numbers are simply incorrect.David Seymour: What is the purpose of merging RNZ and TVNZ and what objective measures will New Zealanders be able to look at to know that that purpose has been achieved enough to justify spending hundreds of millions of dollars of their taxpayer money on the merger?Rt Hon JACINDA ARDERN: Taxpayer money already goes to our public service broadcasting—number one. Secondly we need to futureproof these models in a dramatically changed environment. Every New Zealander knows because they are already doing it; they're accessing their information in different ways. We need to allow our entities to provide that content in those different places.David Seymour: Point of order. My question was very clear: how will people know that the objectives have been achieved—what measures? And she didn't come close to addressing that.SPEAKER: I'm pretty sure there was something else in your question as well.David Seymour: In fairness I'm not sure she addressed that either but anyway did the Prime Minister talk to anyone on a long waiting list for early childhood education (ECE) before she decided to increase subsidies for just 3 percent of under-fives?Rt Hon JACINDA ARDERN: Over 50 percent of New Zealanders will be eligible to access childcare subsidies. At the same time we know one of the issues for education generally is that we need to improve ongoing access to those with the skills for the sector. We have done a number of things in that area including being able to access ECE teachers offshore. And we've put over half a billion dollars over the past few Budgets on the issue of pay parity to help resolve some of those issues also.David Seymour: Does the Prime Minister stand by her finance Minister's action of reappointing Adrian Orr as Reserve Bank Governor and if so can she tell us to the nearest year when she expects Adrian Orr to return inflation to the 1 to 3 percent target band?Rt Hon JACINDA ARDERN: In answer to the first part of the question: yes because the Minister has listened to the advice recommended by the Reserve Bank board to reappoint the Reserve Bank Governor. David Seymour: Is the Prime Minister aware that taxes went up 10.7 percent year on year last year compared with household costs on average that went up only 7.7 percent and if so when is the Prime Minister going to let Kiwis keep more of their hard-earned money which is the biggest cost they're paying right now: her taxes?Rt Hon JACINDA ARDERN: Obviously I refute the last assertion in the member's question. You can see from the multitude of policies that we have produced over the past 12 months our eye is directly on issues around the cost of living—childcare assistance family tax credit increases half-price public transport fuel excise reductions. It is all about making sure that we support New Zealanders through this highly inflationary period that we can see many of those that we compare ourselves to experiencing as well. What we will not do is promote policies that firstly do very little in the way of support for those who can least afford this period of time—our low and middle income earners—and that will make inflation worse. And that is all I've heard as a policy solution from that side of the House."