2. Question No. 2—Prime MinisterDAVID SEYMOUR (Leader—ACT) to the Prime MinisterQuestion No. 2—Prime Minister2. DAVID SEYMOUR (Leader—ACT) to the Prime Minister: Does she stand by all her Government's statements and actions?Hon GRANT ROBERTSON (Acting Prime Minister): Yes. In particular I stand by this Government's policy of funding the largest ever increase to Pharmac's medicines budget through Budget 2022. This investment of an extra $191 million over the next two years will allow Pharmac to buy more medicines for more New Zealanders. The Government is serious about funding medicine. By 2023 we will have increased the combined pharmaceutical budget to a total of $1.245 billion per annum—a 43 percent increase since we came into office in 2017. Most importantly Pharmac is already consulting on introducing or expanding access to medicines for lung cancer breast cancer blood cancer multiple sclerosis hormone replacement and HIV. The Government is committed to reforming our health sector and will continue to fund it.David Seymour: Is the Prime Minister aware that four people related to just one Cabinet Minister Nanaia Mahuta have been appointed to Government working groups or governance roles since 2017 in areas for which that Minister had ministerial responsibility; and if so is she comfortable that such appointments fit with the Cabinet Manual's guidance that appearances and propriety can be as important as actual conflicts of interest."?Hon GRANT ROBERTSON: Aspects of the member's question are inaccurate and I reject the premise of them. With respect to Ms Mahuta she is scrupulous in the way that she adheres to the Cabinet Manual.David Seymour: Which aspects does the Minister reject and which are inaccurate?Hon GRANT ROBERTSON: Well the member has to be responsible for that but he is aware that aspects of the question that he has asked are not accurate. I repeat: Ms Mahuta is scrupulous in the way in which she manages conflicts of interests and adheres to the Cabinet Manual.David Seymour: What responsibilities does she accept for Treasury's conclusion that "Inflation is being driven by strong domestic demand" and "In response the Reserve Bank of New Zealand has signalled its intention to tighten monetary policy" and does the Prime Minister accept that some of that domestic demand is deficit spending by her Government?DEPUTY SPEAKER: Any one of those three questions.Hon GRANT ROBERTSON: What I accept is the full quote from the Treasury as outlined in the economic forecast: "inflation is expected to peak in the first half of the 2022 calendar year. Inflation is being driven by strong domestic demand pushing up against constrained supply and has been compounded by the global supply disruption and the Russian invasion of Ukraine."David Seymour: Isn't it correct that Government spending has forced the Reserve Bank to hike interest rates which now means mortgage payments for some people represent 60 percent of their disposable income—the highest for that figure in 14 years?Hon GRANT ROBERTSON: No it is not correct—as the Reserve Bank Governor said the other day in response to a similar comment. That is simplistic and frankly wrong.David Seymour: Does she accept responsibility for her Government seeing the largest single annual drop in real wages since the global financial crisis and how will $350 over one period of three months help people who have mortgage payments food prices and petrol prices growing but in many cases aren't eligible for even that?Hon GRANT ROBERTSON: The member is well aware that there is a global inflation spike affecting countries all around the world. In New Zealand we have seen wages outpace inflation consistently and they are forecast to do so again from 2023. We are pleased with the fact that we've had wages rise by 4.8 percent. That of course does not match the rate of annual inflation at the moment but in the future wages will once again go ahead of inflation."