Minister for Disability Issues Penny Simmonds should be cut from Cabinet, Labour leader Chris Hipkins said this morning, slamming Prime Minister Christopher Luxon's handling of a row around recent changes made to disability funding.
Last week, it was revealed the Ministry of Disabled People (Whaikaha) would place new rules on funding for equipment, modification support and services due to financial pressure. But the enforced budget caps and reductions in orders were "not cuts", the Government said, adding that funding for the ministry would be topped up in this year's Budget.
Simmonds stirred controversy when she claimed carers had been taking advantage of a "broad" funding criteria to use public money "for massages, overseas travel, pedicures, haircuts" for themselves. Hipkins called for an apology over the comment.
The Minister later acknowledged that the funding changes weren't adequately communicated, before Finance Minister Nicola Willis yesterday said future decisions by the ministry about funding would go to Cabinet to be signed off.
In a fiery statement this morning, Hipkins called for the Prime Minister to sack Simmonds.
"It's time Christopher Luxon took his own advice from Opposition and showed some leadership," he said.
In June last year, Luxon hit out at then-PM Hipkins' handling of successive ministerial scandals: "That's not leadership."
"Christopher Luxon doesn't have faith in his Minister's decision making, so he can't have faith in her continuing to hold the portfolio or continue as a Minister," Hipkins continued.
"It is an extraordinary step and a massive vote of no confidence for Cabinet to intervene because a Minister is failing to make decisions in her own portfolio.
"Christopher Luxon should remove her as a Minister altogether."
Labour disabilities spokesperson Priyanca Radhakrishnan also weighed in.
"This has been an absolute debacle," she said.
"She has failed to stand up for communities that needed her. She has blamed everyone but herself... I think that is disgraceful."
Speaking to Breakfast this morning, Hipkins said: "It is very very clear that the people who are in the disability community don't have confidence in her, so her position is untenable.
"When you get to the stage where a minister is a minister in name alone, she has no ability to make any decisions because the Cabinet has taken that away from her, you've got to ask the question: Why is she still there claiming a salary if she's not actually allowed to do anything?
"The decision that Penny Simmonds has made is causing real hardship to some of the most vulnerable people out there."
'The government's coffers are not an open pit'
Simmonds claimed carers had been taking advantage of a "broad" funding criteria to use public money "for massages, overseas travel, pedicures, haircuts" for themselves.
She said last week the enforced budget caps and reductions in orders were "not cuts" and, in fact, 10% more funding was being put into the fund for equipment.
Asked why the Government didn't first consult with the community over the policy change, Simmonds said she understood "carers who have been using the funding for their personal care" were "upset about losing that".
"The government's coffers are not an open pit. There has to be discipline around spending of government funding. The funding comes from taxpayers.
"Some of the funding has been going to the carers, that does need to be pulled back and prioritised to the disabled person."
She later said: "To be clear, this is not a reduction in funding – it simply changes how the current funding can be used to ensure maximum benefit for the disabled person.
"I appreciate that the consultation was not as wide as it should have been before implementing the changes. We are improving processes around communication."
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