What are the three issues stalling coalition negotiations?

November 20, 2023

Former National and ACT adviser Matthew Hooton has explained what he understands to be the biggest issues between National, ACT and NZ First. (Source: Breakfast)

A former National and ACT adviser and political commentator says there are “serious disagreements” between National, ACT and New Zealand First – as coalition negotiations enter another week.

Over a month after election night, New Zealand is still without a government.

On Saturday, National leader and Prime Minister-elect Christopher Luxon said the three parties were making some “really good progress” and “are down to our final issues”.

He told media there were “less than three” issues to be worked through.

Speaking to Breakfast this morning, Matthew Hooton said there were some “serious disagreements” around those three issues, which he understands to be the role of Attorney-General, the treaty and the foreign buyer's tax.

Christopher Luxon, Winston Peters and David Seymour will likely be looking to form a coalition deal after November 3

He said NZ First is “very determined” for Winston Peters to be Attorney-General – which would mean he’s in charge of appointing judges and controlling the Serious Fraud Office.

One of ACT’s central policies during the campaign was to hold a referendum on the principles of the Treaty of Waitangi – an idea which National called “divisive and unhelpful”.

“When Christopher Luxon says there are one or two issues – when those issues concern fiscal policy, the constitution, the appointment of judges, it’s quite a lot,” Hooton said.

He said NZ First's traditional stance on foreign buyers is likely what’s causing problems.

The foreign buyer's tax was a central policy for National during the election. The party hopes that allowing overseas buyers back into the market will help it deliver tax relief.

National leader Christopher Luxon says parties have achieved a "significant milestone" in coalition talks. (Source: 1News)

“I just can’t see how New Zealand First could ever agree,” Hooton said.

“Winston Peters began his career, the New Zealand First Party was launched on the proposition that Chinese buyers should not be allowed to buy houses in Howick.

“If National expects New Zealand First to support allowing Chinese buyers to buy $2 million homes and apartments in New Zealand… Well, that’s just never gonna happen.”

He said the negotiations are likely in a “stalemate” on the major issues.

However, Hooton said an agreement is likely to come before the end of the week.

“Let's wish him well (Luxon) and hope that he does that over the next few days.”

SHARE ME

More Stories