Post-Cabinet Press Conference: Monday, 14 August 2023

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Tēnā koutou. Good afternoon, everybody. Today I’m announcing the removal of all remaining COVID-19 health requirements. The seven-day isolation period and requirement for visitors to wear masks in healthcare facilities will end at midnight tonight. COVID-19 case rates, waste-water levels, and hospitalisations have all been trending down since the beginning of June and reported cases are now at the lowest level in 18 months.

I’m joined by my colleague the Minister of Health, Dr Ayesha Verrall, who will answer any health-related questions and provide insights into how the virus is changing, but first I do want to take a moment to acknowledge the significant milestone that we are recording today: the formal end of what was a uniquely challenging time for the country and, of course, for the world.

Using the word “was” in that sentence to describe our COVID-19 response in the past tense really does bring home what has been a very interesting and challenging time. About 3½ years ago, on 25 March 2020, we moved to COVID-19 alert level 4, and the entire nation went into self-isolation as a state of national emergency was declared. It was an incredibly fearful time for us and for the world, and no one at that time could foresee how things were going to turn out. But the speed with which things moved, the unity of the Kiwi response, and the sacrifices that were all commonplace all contributed to the many thousands of lives that were saved.

It was a proudly health-led response, which paid off in terms of human life. Two thousand and thirty-five people have died in New Zealand with COVID-19 as the main underlying cause, and the virus contributed to the deaths of a further 1,214 people. That starkly reinforces the deadly nature of COVID-19. All of those people were loved. But if New Zealand had had a similar rate of COVID-19 mortality as the United States, we would be reporting around 15,000 deaths from COVID. For the first two years of the pandemic, New Zealand had the lowest rates of deaths and hospitalisations of any OECD country. We were also extremely conscious of the impact of COVID-19 on the economy and on people’s incomes and futures. We worked hard to keep people connected with their employers and to support businesses, which provided essential support to the economy.

Despite these successes in saving lives and livelihoods, there is absolutely no sugar-coating just how difficult COVID-19 has been for New Zealand and for New Zealand families. Closing the border, lockdowns, the travel bubble with Australia—these things had an impact on people’s lives and livelihoods and on people’s wellbeing. Auckland, in particular, did the heavy lifting for the rest of the country, going through extended lockdowns to stop the spread of the virus. I know those long restrictions had a significant impact on many people.

And then, of course, there was MIQ. By February last year, almost 230,000 travellers—more than the population of Wellington—had gone through our managed isolation facilities. It was incredibly tough for families and for those working at those facilities, but it kept COVID-19 out of our community or at low levels, and it crucially gave New Zealanders time to get vaccinated.

Out of adversity came strength, and that is the Kiwi way. We undertook the fastest and most successful vaccine roll-out in New Zealand’s history, positioning us incredibly strongly when COVID-19 did finally arrive in New Zealand. There were some bumps along the way, but the response ultimately delivered what was needed under incredible pressure. It meant we were able to step down carefully from pandemic response to business as usual and ultimately reach the point that we are now at today.

All of these were profound and massive decisions, but nothing would have been possible without the dedication and selflessness of the many thousands of people who mobilised with their efforts and with their expertise. New Zealand will always owe them an enormous debt of gratitude.

The remaining restrictions we’re ending today are the final act in our COVID emergency response, and we now await the outcome of the royal commission of inquiry into the lessons learnt that we announced last year. All other COVID-19 restrictions have previously ended. We kept the isolation period to help reduce the spread of COVID-19 through this winter just past. With spring now fast approaching, we’re removing those, as the public health risk is considered low compared to in other stages of the pandemic. Again, I’d like to pay special thanks to all of the people involved in the preparations and planning and the incredible work of our entire health system.

I do want to say there were times during the peak of our COVID response when I longed for this particular day. The weight of the enormous decisions that we took sat heavily. I have to confess, as I’m announcing this today, it seems a bit of an anti-climax. The other familiar faces who were part of these announcements in the past, with the exception of my good friend Dr Verrall, have now left the stage and moved on to other things. But I want to acknowledge them as well.

As we draw the final line under our emergency pandemic response and we mark the incorporation of COVID-19 into the business-as-usual role of our health system, I want to say one last thank you to New Zealanders, at home and those spread around the globe. While there were no doubt fractures in our collective sense of unity, I believe that New Zealanders can be enormously proud of what we achieved together. We stayed home, we made sacrifices, we got vaccinated, and there is absolutely no question that we saved lives. Now happy to open up for questions.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

We always said that we would reach the point where we were able to finally draw a line under the pandemic and remove the remaining restrictions. We started removing restrictions at the beginning of last year, with MIQ and the reopening of the border, and we’ve progressively continued to do that. I think we signalled, when we last extended the two remaining health measures, that that was likely to be the last extension, and it has been.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

The flu seasons—we’ve seen a reduction in the flu cases, and also I think the situation we’re dealing with has shown itself to be much more stable than last winter. You’ll recall last year we had two really big peaks of COVID-19. We’re in a much more stable situation, reflecting the broad immunity that our population now has.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Look, I acknowledge the concern that there will exist within the community around that. We have been transitioning slowly and carefully to managing COVID-19 as a business-as-usual health system response, and we’re confident that we can now do that without significantly increasing the risk. Again, I’ll invite Dr Verrall to provide a comment on that too.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

I think a learning we can all take away from the pandemic is to reflect on the fact we’ve learnt that people have different levels of vulnerability. I understand why people with disabilities or other medical conditions would feel like that. So it is on all of us to think, well, if we’re visiting an aged residential care home, for example, we do follow the recommended procedures there. Te Whatu Ora will continue to encourage people to wear masks when they go to hospital. They won’t be mandated.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Look, there will be plenty of lessons to be learned from the pandemic response. I think one of the challenges of the pandemic response, right the way through, if I reflect on the whole totality of the last 2½, three years—more than three years—is that we were making information at the time based on the best information that we could assemble at the time, but the facts kept changing on us. You know, our understanding of the virus in those early periods changed a lot. What we were dealing with changed a lot, and it continued to change, and the challenge continued evolve. If we could go back and make different decisions based on the same information, there weren’t many that I would make differently. Probably the one, which I’ve already previously indicated, was to acknowledge that that lockdown—that last lockdown—in Auckland went on for a long time and there were probably more things we could have done at the end of that period, in the last month or so of that, to ease some of the pressure on Aucklanders.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

I’m very proud of the very high levels of vaccination that we got in New Zealand. I acknowledge that the requirement for people to be vaccinated to do some jobs was very difficult for some families. And it did create more of a wedge in the community than I think any of us would have liked to have seen. I absolutely acknowledge that. But the high level of vaccination that we were able to achieve was one of the main reasons that we didn’t see that high mortality rate that they saw in other countries.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

We changed the system for allocating space in managed isolation multiple times, bearing in mind that when we set that up, we did not expect that we would be running MIQ for nearly—well, for more than—overall, it was about two years. We didn’t expect that we would be running MIQ for that period of time. We changed the booking and allocation system multiple times during that to try and get something that was better; that was fairer. I do note that the last booking system that we had before the system was wound down, there was a court ruling saying you could have had a fairer system, but I note the court didn’t identify what they thought a fairer system was. I can tell you, I looked at multiple different variations. The fundamental there was that we had, potentially, a million people trying to get into the country and we were only ever going to be able to accommodate 4,000 or 5,000 at a time. It was always going to be a collision course that was going to be really challenging, and I do want to acknowledge that for families that were separated from that and for people who were finding themselves out of the country, unable to get back into the country, that was a huge and a life-changing experience.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

I think the requirement that we have under the Act is to balance those human rights considerations by having legal—that are inherent in having legal restrictions with the impact on the health system, and I don’t think a situation where there is no disruption is really the appropriate standard there. However, this winter has been considerably better than last winter in terms of staffing and in terms of disruption. We’ve been able to complete 16,000 more operations than we did last year, so that is a very good indication that our health system is on a much more even keel than it was.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

Indeed, but when you—with respect to your question about disruption in the health system, it is not the main factor driving disruption. It is less than 2 percent of presentations to emergency departments—much less than, say, influenza. So, really, there’s no justification for a legal mandate for COVID on that basis.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

As I said to you, I think there were moments, particularly during the peak of the response when we had MIQ operating and everything was still operating, that I sort of longed for this moment, because it’s been a phenomenal thing. It’s probably been the biggest thing that any New Zealand Government has grappled with of this nature and of this scale for a generation or more, and it’s quite a significant moment. I certainly hope it is the last press conference.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

It’s gradually being built out to other conditions where waste-water testing has a role. And I think that is one of the legacies we have from the pandemic that is really beneficial. A number of our public health systems have been strengthened. We are slowly building out the vaccination register so that it’s as strong for other diseases as it is for COVID. Our contact-tracing system remains backed up by really strong technology, and, indeed, the whole genome testing has been strengthened. I now visit hospitals and see emergency departments have multiple negative pressure rooms where they can treat COVID and other infectious diseases.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

We haven’t had new advice since we last spoke about that, but, as we’ve said repeatedly, we are aware that long COVID is a real condition. It does, for some people, have long-term impacts and will impact, for some, their ability to work. The most appropriate way for people to get support for that is through their general practitioner, and Te Whatu Ora has developed guidance and pathways around that.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

So, throughout the country—well, actually, I visited Tairāwhiti last week and met with both hospital staff there and emergency department staff there. There is still a tail of catch-up from the impact of the cyclone there. I think the message I’d have to people in Tairāwhiti is the same. The Ministry of Health is still recommending but not mandating that people stay home for five days when they are sick. They are still able to notify if they have COVID and a positive RAT test. They can notify that to get support to access anti-virals, and rapid antigen tests are still freely available.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

I am aware of that situation. Te Whatu Ora has been supporting that hospital, which is run by a community trust, and already increased its funding in order to make sure it was on par with the providers around the rest of the country. There are challenges from time to time in parts of our country for getting sustainable doctor staffing, and Te Whatu Ora is working with that provider in order to help them meet that in the longer term.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

We are working very hard to make sure that they have the resources, which we have already provided, and to make sure that they are moving to a way in which there can be staffing sustainably. So, for example, in other areas where these sorts of issues come up—for example, on the West Coast, where it has been hard to staff doctors— they have moved to a model of care where it is more sustainable, where, for example, rural doctors practise in a more generalist way, and that has been able to address some of the staffing challenges on the West Coast. We need to make that shift in order to enable sustainable staffing there as well.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

I do recall that. And Te Whatu Ora has kept me advised on the situation with radiology in Hawke’s Bay for several months. They have, throughout that time, sought to a) conduct a review into the safety concerns that have been raised; that review has been completed. A number of measures have been implemented, and I am advised that the situation in Hawke’s Bay is considerably—the immediate safety risks have been addressed in Hawke’s Bay.

Ayesha Verrall

Minister, Health

Minister, Research, Science and Innovation

Permanent link

Yeah, I think if you look at our excess mortality compared to other countries—Germany, the UK, Japan—you’ll see that we’ve had a very stable picture, even in the last 12 months, where we’ve had fewer restrictions than we had previously. So from the perspective of whether or not our actions are causing unnecessary harm, I think to say that we’re having a similar mortality experience to pre-pandemic years is actually a very relevant comparison.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

I’d like to see the facts and the detail of the National Party’s tax plans, which they still continue to refuse to release. Yes, there was a typo on one of the fact sheets that was sent out yesterday. I acknowledge that, and it probably could have been picked up and fixed more quickly. The correct numbers were used during the announcement, including—the Labour Party finance spokesperson, Grant Robertson, actually quoted the appropriate numbers in the stand-up when asked about the cost of the policy. But I acknowledge that there was a fact sheet error.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Because it’s a processed food. So, ultimately, the distinction that we’ve made there is between food that’s not processed and food that is processed. Of course, I acknowledge, there are always going to be questions about something that sits at the margin. We will go through an exhaustive process to make sure that everybody’s clear about what GST applies to and what it doesn’t. And we also have to acknowledge that there may be some changes in packaging in order to accommodate that. So, for example, if you currently buy your bagged salad greens and they have a mayonnaise or a dressing included in the package, the people who do that may choose to start selling the mayonnaise or the dressing separately so that the bagged salad can be GST-free. There may be some supplier changes, in terms of their behaviour, in order to fit within the definitions.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Look, the mistake was in some material that was sent out under embargo to the media. I acknowledge that we should have made sure that that was corrected very quickly once it was identified. It was identified before the announcement was even made, and the correct numbers were used during the announcement.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

No, it was just a mistake. We did, of course, cost a number of variations of the policy. The wrong data set was used in the first fact sheet that was sent out; that was picked up, and it was corrected. So I acknowledge there was a mistake made. I absolutely acknowledge that. But I can tell you that Grant Robertson and I had a conversation about when the policy should kick in. He was actually the one who suggested 1 April. Nicola Willis’s mischief-making would be a little more credible if she could actually come up with her own numbers, which is something that the National Party consistently fail to do.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Yeah, like I said, we did look at a number of different scenarios, calculated out the costs of a number of different scenarios, and clearly the wrong one was used in that first fact sheet. That was picked up relatively quickly, but it had already been sent under embargo to the media at the time.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Look, as I said, there are always going to be definitional issues. Every other country grapples with this when they have exemptions from GST or from value-added taxes, as it’s called in some other countries. There are processes for determining that. We will go through a process for determining that. Everyone will be very clear about what it is.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

I haven’t been looking for one. Ultimately, economists will always find reasons to not do things. This policy is very clearly targeted at the people who are struggling to pay their grocery bills at the checkout. I’m yet to meet an economist that fits in that category.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

That was a temporary measure that was introduced during the COVID-19 period.

Depreciation on commercial buildings was first removed by Bill English in about 2010; it was reintroduced as a temporary COVID-19 economic stimulus measure. We were pretty clear over the last 18 months or so that we were winding back all of the last of the COVID-19 economic stimulus, and this was one of the last pieces of that stimulus to have been removed.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

We didn’t give BlackRock anything; we worked with them to encourage them to open an equity fund. They’re out there looking for New Zealand - based equity investors at the moment; that’s their primary market for the fund that they are establishing, and they have a range of renewable energy investments that they’re keen to invest in.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

I guess we helped to facilitate them establishing the fund, but was there a financial incentive involved? No, there wasn’t. I met with them. Dr Woods met with them. My predecessor met with them. We’ve been working with them to encourage them to establish this fund. It is one of the things that we’ve heard from institutional investors in New Zealand— that there have not been any renewable energy funds of scale for them to invest in.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Um, look, can I be clear. I could probably save you some time. We’ve been clear the distinction is whether something’s processed or unprocessed. There are always going to be products that sit at the margin of that, and we will make sure that there is a very clear list, effectively, of products that sit at the margins so that everybody knows whether they’re going to be charged GST or not. The same thing applies in every other country that has a differentiated form of valued-added tax. They can navigate their way through that; I’m comfortable that we can navigate our way through that. Other question—yes?

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Yeah, look, to be honest, I wasn’t actually aware of it at the time. I only became aware of it subsequent to that, otherwise I probably could have corrected it in my own speaking notes at the press conference that we did afterwards. So we will make sure that that doesn’t happen again.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

What I said at the beginning of the year when I took on this job was that I was going to be focused on practical cost of living measures. You’ll see a range of them were announced in the Budget. That includes the free prescriptions, it includes cheaper early childhood care, cheaper or free public transport, and I indicated at the time that we would continue to look at options to ease cost of living pressure for New Zealand households. That is what the Labour Party made its decision based on.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

It’s a difficult thing to characterise. What I’ve indicated is that when I became Prime Minister, there were a number of work programmes under way that I’ve continued on, as any Prime Minister would do when they’re changing roles half way or part way through a parliamentary term. That doesn’t mean that I would have done things slightly differently had I been in charge right from the beginning of the term. Undoubtedly, I would’ve; I might have had a slightly different set of priorities. I think what New Zealanders will see during the campaign is what a Chris Hipkins Government in the next term will look like.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Those things that we are announcing are all things that reflect what I would like to do in the next three years and beyond. The tunnels across the Waitematā, for example, are a critical part of unlocking extra public transport routes. It allows us to put buses on the Auckland Harbour Bridge and create Auckland cycling routes across the Waitematā, which we currently can’t do. So all of these things are connected. I’m proud of that policy. I think it’s a good one.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

No, there’s two things you do in a campaign. One is you do set out a vision. You do set out what sort of country you want to create, and we will do that, and I will do that. But then what I will also be doing is making sure that the specific commitments I make, in terms of steps towards realising that vision, are properly costed, are affordable, and are deliverable.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

I don’t know the answer to the second question—that last question, rather—as to whether there were any Ministers present at that. I’ll certainly endeavour to find out for you, and we can get that answer to you. I don’t think it was acceptable. It was far too large an expenditure for the occasion. Yes, it’s appropriate to mark an occasion such as that, when somebody from one of those senior roles is leaving, but certainly not with the level of expense that we’ve seen. I understand that some of that money has been paid back, and I just want to underscore the point that I don’t think that that was an acceptable use of public taxpayer money.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

Look, I’ve said right from the beginning of our COVID-19 response that there is a difference between requirements that Government puts in place and people being good people and doing the right thing. It shouldn’t require a Government rule or requirement for people to do the right thing. It’s always been the case. If you’re sick, try not to infect other people, stay home, get better, wear a mask potentially, and stay away from other people.

These are just things that you do because you’re a good human, rather than because the Government requires you to do them.

Chris Hipkins

Minister, Ministerial Services

Minister, National Security and Intelligence

Prime Minister

Permanent link

No, I think the people that commit crime a responsible for crime, and I think anyone who wants to be Minister of Police would be well advised to start from that premise. Having said that, I think I did, in a short period of time as Minister of Police, quite a lot in the youth-crime space. One of the first things that I did when I became Minister of Police was work with the agencies to identify who the kids were at the core of the ram-raid offending that we were seeing and identify what we could do to get them out of trouble. The fast-track initiatives that we put in place very quickly have actually turned the lives around of about three-quarters of those kids. There are still a quarter of those kids that are proving to be problematic, and so we’ve done more in recent months in order to target those. I don’t think personalising them in that way is the sort of response that you could expect from someone who wants to be Minister of Police.