Ardern JacindaDEBATE ON PRIME MINISTER'S STATEMENTRt Hon JACINDA ARDERN (Prime Minister): I move that this House express—SPEAKER: No. I think we've got the presentation to do first.Rt Hon JACINDA ARDERN: Sorry. Excuse me. I present the Prime Minister's statement.SPEAKER: That paper is published under the authority of the House. Copies are available on the Table.Rt Hon JACINDA ARDERN: I move again with much enthusiasm. I move That this House express its confidence in the coalition Government and commend its programme for 2020 as set out in the Prime Minister's statement.I want to start where I started in January as it were because today is not the first time that I have spoken of the aspiration that this Government has for New Zealand and for this Government's programme for the next year. The first time that I spoke of the aspirations of this Government in 2020 was on 31 January and it was under somewhat more private circumstances. It was when I last visited Mike Moore. He asked in a way that only Mike Moore can. After we'd exchanged very brief pleasantries he said What are you doing next?" The answer to that is simple: more.I want to share with this House what I shared with Mike Moore that day: that our agenda for 2020 is based both on where we started—the circumstances and context under which this Government took office—and on where we are now and the environment that we're operating in and the experience of New Zealanders and it is focused on where we need to go.So let's start at the very start. In the beginning before there was light there were nine years of darkness. It wasn't like a black darkness; more a dark shade of blue kind of darkness—the worst kind. Now those words may be familiar at least to members on this side of the House. They were written by a very great writer "Kevin Davies".After nine long years there may not have been a blue smoke but there was plenty of denial. There was denial that we had a housing crisis. There was denial that kids were doing their homework in cars. There was denial that children in this country—an affluent country—did not have all that they needed to thrive. There was denial that we had an infrastructure deficit and that we were all suffering as a nation as a result. There was denial that our hospitals were broken. I don't say that lightly. Simple things like pipes being replaced that elevators could work or worse still sewage down walls were the ultimate manifestation. There was denial.That denial seemed to exist until after those nine years we entered into an election phase. When we entered into that election phase National emerged from the smoke of denial with a weighty tome known as a press statement. In that press statement they promised much. They promised roads. They promised infrastructure. They even made promises about child poverty.But as a very wise man said on the paepae at Waitangi know us by our deeds. Know us by what we do not by a press statement at the eleventh hour before people go to the polls—know us by what we do. That is why I wish to reflect on where we are now as well as projecting forward into where we must go. Those deeds tell you a story. The first thing that they tell to you strongly is that we are a Government of infrastructure—undeniably.I have a visual aid. The Leader of the Opposition loves this one! The Leader of the Opposition is particularly fond of this graph! This graph tells a story better than anything and this is of course based on Treasury's data. This shows capital investment and it demonstrates helpfully in a colour-coded manner that in 2016 we saw no new dollars for health capital expenditure. In 2017 we saw just $150 million. No wonder we had sewage in the walls.Within two years of course we have invested $2.5 billion into health. Now that number it doesn't tell you the story of the mental health wards that we are making safe again by rebuilding them in the central North Island in Waikato. It doesn't tell you about the investment we're putting into Tai Rāwhiti which doesn't have beds for alcohol and drug rehabilitation. It doesn't tell you about the new maternity services and child health services at Starship that we are rebuilding and expanding. But that is what that $2.5 billion—and of course we can't forget Dunedin Hospital.We have put $1.5 billion into schools. For the first time ever we have long-term planning to make sure that we can cater for over 100000 students coming into our schooling system. Again the message that you don't see in just a graph is that we are putting money into every single school—up to $400000 for most State schools so that they can do simple things like repair the roof or put down new carpet. I'll for ever remember the story of Grant Robertson saying he visited a local school and couldn't find the principal—it was January I believe. They were out and about walking around with a tradie taking notes of all the work they could do because of what we delivered at the end of last year.That is of course before you take into account just the huge extent of what we put in through the New Zealand upgrade package: $12 billion which adds a significant amount to make sure that we get New Zealanders out of congestion that we give them options for walking and cycling and rail and that we continue to make sure that safety improvements also continue to be at the top of our agenda.Infrastructure means going beyond just that rebuild and future planning. The Infrastructure Commission has been key. Financing has been key through the Infrastructure Funding and Financing Bill to support future housing and urban development. Ultimately I stand proudly as the Prime Minister for the "Government of infrastructure" and it is undeniable—it is undeniable.To be the Government of infrastructure we have to be the Government of training and education. We simply cannot deliver this infrastructure without having that relentless focus on training and education. When we came in we moved swiftly to implement fees-free. That not only has reduced the burden of debt for our young people for generations to come it's meant that those moving into apprenticeships for those first two years pay nothing. That has made a difference. Since that time 3900 Kiwis have taken up construction apprenticeships. That is exactly what this country needed. Not only that we've boosted vocational education and training: 4000 places for trades academy and gateway places.Mana in Mahi: a programme I will alongside our Minister forever be proud of. We are just at the beginning of that programme but I read the reports and I read the stories for instance of the young person who had been on a long-term benefit who found through Mana in Mahi a subsidised role by an employer working in landscaping. The difference that it made to their mental health in their own words was "undeniable". I am so proud of that programme. It sits alongside He Poutama Rangatahi as well. We are placing thousands of young people through that programme into work. The result: a 20 percent increase in construction apprenticeships more than 11000 Kiwis in the construction sector in the last couple of years according to the Ministry of Business Innovation and Employment. We are making a difference.Of course we need every single one of those young people and people in apprenticeships because we are also proudly a Government of housing. And I say that firmly and proudly. I'm going to speak Mr Speaker if you will allow me to review the last Government's record because that side of the House has nothing but a foundation of shame when it comes to housing. Homelessness rates at the worst levels we've seen in the OECD and homeownership the worst since 1951. At a time when children were sleeping in cars what did they do to State houses? They decreased—our net State housing stock decreased by 5000. When we needed housing the most that Government sold them. It is a disgrace. We've had to rebuild ever since but we have.We have now created more than 4258 public housing places. Every single one of these is a home. Every single one of these is a home for someone that did not exist before. In the time that it has taken to rebuild what they've created we have put people in homes and it is making a difference. First-home buyers now make up 24 percent of the market. That has been through the changes we made to tax loopholes to make sure that we shut down overseas investment in our residential housing market and changes that we've made to income support for those buying houses. We have ensured that 1100 households have been housed through Housing First. There's more to come because we currently have 3480—Hon Dr Nick Smith: What about KiwiBuild?Rt Hon JACINDA ARDERN: —houses under construction in the Government build programme Minister Smith. I understand why you're a little defensive because we're fixing what you broke and you broke our housing market and you stood idly by while people lived on the streets.I am proud of what we have achieved. It was only over summer that—we of course continue to acknowledge that there is more work to do. We have houses under stress. Over the summer I was speaking with some of the individuals who did see the City Mission over the Christmas period. One thing that stood out to me is that yes they were seeking that assistance at that time of year but the number of those people I spoke to who had in recent months moved into new State houses was phenomenal. The message they gave me is "We are now warm and dry." Now what a difference that that policy is making to New Zealanders everywhere. This week we've announced an extra $300 million into homelessness with more details to come. We are proudly a Government of housing and the new builds prove it.The reason that housing is so important to us of course is because family wellbeing and child wellbeing sit at the heart of everything that we do. Now we've demonstrated that from the moment we came into this place with the Families Package. I'm proud that this year we'll be celebrating another increase in paid parental leave. Of course we've had that aspiration of lifting it to 26 weeks and we will. That is an incredible milestone for us—couple that with the Best Start payment which continues to roll out increases to the Working for Families package and of course the winter energy payment. You'll see from that State of the Nation Report today that the Salvation Army is acknowledging the difference that that investment is making to low-income families.On top of that we've had the indexation of benefits. Now that means that when wages go up not only do our superannuitants benefit but those who are on those tight incomes who are on Government support they will also see that increase to help them keep pace with the cost of living. It all makes a difference. We know from those changes that between 50000 and 70000 children will be lifted out of poverty and what could be more important than that? Couple that alongside those increases to the minimum wage and I acknowledge New Zealand First; it was part of their coalition agreement so we'll see that go up once again in April this year. By the time that happens those people on a minimum wage will be $126 a week better off from the changes that we as a Government have made.I am happy to talk about the cost of living. We know that there are too many New Zealand families who feel the strain. Dropping things like NCEA fees increasing support for schools so that they don't ask for school donations reducing the cost of going to the doctor making sure that we are driving more housing supply to try and bring down those housing costs in the private sector as well and overall of course making sure that when there's a market failure and a problem in the market like fuel we do something about it and we will keep doing something about it.We are also proudly a Government of health and mental health and again I let the numbers tell the entire story. First of all we have grown the health workforce: 3000 new medical professionals. We've had 1699 nurses—and they are paid more of course with the important settlement that we were a part of—and 736 doctors. We've seen an increase in Pharmac and of course that's meant that a flow-on effect is more funding for important drugs like those that have benefited those who are sadly experiencing battles with cancer. Many of us will have stories of people stopping and telling us on the street what a difference that has made and I am one of them.And very proudly the largest funding boost to mental health this country has ever seen. Just yesterday I was looking at some of the numbers around people who are already benefiting from those front-line mental health services and they are at their GPs' offices they are in Mana Ake in schools for kids they are in our schools for our young people. We're making sure that wherever someone is help is not far away whether it's picking up telehealth services or visiting their local doctor because the need is so great. There is more work to do. The Suicide Prevention Office will be key. We're currently going out with requests for proposals for our youth services our Pasifika and Māori services and this year will keep seeing the expansion of those front-line services that we are so proud of.No matter where we turn though in health mental health every part of the system we have found need and I find it somewhat ironic to hear the member that services the area where we've seen such desperate need in Counties Manukau so vocal on this issue. The Simpson review will be pointing to some of the extra work that we need to do because wherever we have turned there have been problems that we need to address.Next of course is dealing with the structural issues because of course it's not enough for us just to say that we deal with these things down track. We need to make sure we have an economy that is supporting everyone that is delivering prosperity for everyone and it's been a mantra you will have heard from the Minister of Finance consistently. I'm happy to let the numbers speak for themselves. We're a Government that has delivered GDP growth of 2.7 percent. When you look around us others are falling on hard times and there's no denying it's had an impact for us but when you take into account the net average that we had under the National Government—the average GDP growth was 2.1 percent—I feel confident that we are doing well.Unemployment: of course the Reserve Bank would tell you we're at full employment at 4 percent. It is a tight labour market and again relative to what we inherited—4.7 percent when we came to office. The average hourly wage sitting at 3.6 percent—in that Government's first term it was roughly 2.1 percent we were seeing: those increases in hourly wages. Net debt: 21 percent versus 22.9 percent under the last Government. We've seen $13 billion in surpluses in our first two years and $11 billion in surpluses in our next five.I am proud of this Government's record when it comes to the management of the economy but more than just the numbers I am proud that we've seen unemployment go down in Northland Bay of Plenty Gisborne Hawke's Bay Manawatū Whanganui Otago and Southland and that is because of deliberate investment: 530 Provincial Growth Fund projects across the country making a huge difference. Again the words tell a story: in Gisborne and Hawke's Bay we're seeing unemployment rates that were as high as 8 percent to 4.1 percent. That is a huge difference. Again regional growth sits alongside our plan for trade diversification. It sits alongside our investment in research and development and it is about driving not just any job but decent high-wage jobs for our New Zealanders and we are delivering on that.Of course underpinning all of this is the environment. None of this matters if we don't have a planet we can sustain ourselves on. When we came into office there was no plan for climate action—there was no plan. We had 4000 native species at risk of extinction or threatened. We've had a record boost into conservation over a small space of time. We've had a list on climate change that is almost too long for me to read in one minute and 23 seconds—how about I have a quick go? Zero carbon Act; we've ended offshore oil and gas exploration; we've reformed the emissions trading scheme; we've worked with farmers on a world record - breaking new agreement on dealing with farm-based emissions; new wind farms have been built; the new energy research centre in Taranaki; of course switching our public buildings to clean energy; and of course the upgrades alone in public transport are worth $5.73 billion for rail walking cycling and transport options. Next is waste and next is fresh water. We have more to do.Finally—and the Leader of the Opposition will hate this—1800 new police officers and 500 fog cannons to support our small-business owners. It is all about prevention and supporting the safety of New Zealanders finally. We are the Government of infrastructure. We are the Government of housing we're the Government of family and child wellbeing of health and mental health and the Government for the environment. We are a Government of progress. There is more to do. After nine years in blue smoke and darkness there is plenty more to do but this year is the chance for New Zealanders to have their say in making sure we as a Government continue to get the job done."