Peters a kingmaker once again

Winston Peters

New Zealand First leader Winston Peters is considering a proposal sent to him by National, inviting him to help to form a centre-right Government.

And the proposal maintains National would have the support of the Maori Party and United Future, giving it the same number of seats as Labour can now muster.

This creates the firm 57-57 deadlock which has been speculated on for days, forcing Mr Peters from abstaining on a confidence and supply vote and making him kingmaker once again.
Mr Peters sought a written proposal from National and it was couriered to him yesterday.

Earlier in the day, before it was sent, he told Radio Live "it's probably too late" when asked if he would consider a National counter-offer.

But he did not rule it out and also made it clear he had finalised no agreement with Labour.

Labour has become increasingly worried about the situation in recent days and is stepping up the pressure on Mr Peters, who has been offered significant policy wins on top of a ministerial post, which he is understood to be prepared to accept.

Mr Peters is also trying to prevent Helen Clark from offering the Greens ministerial positions.

All this is riling the Green Party.

But they have promised to support a Labour-led Government and lack Mr Peters' leverage.

NZ First sources suggested yesterday this wasn't the point of discussions with National.

As a centre party, it had to take proposals from both National and Labour seriously.

There are nevertheless concerns that NZ First will suffer a backlash if it exploits its position for too long.

National's proposal is not understood to contain policy or ministerial offers, but rather to outline a process which could be followed.

The party appears to be unsure whether Mr Peters is simply maintaining contact in an attempt to gain leverage with Labour.

But some National insiders suggest they could offer Mr Peters a better deal.

Maori Party co-leader Tariana Turia said yesterday that her party had not reached a deal with any party, but together with United Future leader Peter Dunne she met National leader Don Brash and his deputy, Gerry Brownlee, yesterday.

She angrily rejected Helen Clark's suggestions that Maori Party leaders were "resistant" to talking with Labour leaders, saying neither Helen Clark nor her staff had called her.

But Mrs Turia also said Helen Clark's right-hand woman, Heather Simpson, had asked her chief negotiator, Ken Mair, on Thursday if the Maori Party co-leaders could meet Helen Clark yesterday. Mrs Turia was busy with meetings and couldn't attend.

Mrs Turia said Ms Simpson had presented Mr Mair with a "draft agreement" at the meeting but she could not recall exactly what it said.

Mr Dunne said yesterday there had been no progress on deals.

While ostensibly negotiating in "good faith" with Labour, his party is not understood to be keen on a deal with it, believing the "stability dividend" didn't pay off last time.

Mr Peters also spoke of a "57-57 Mexican stand-off" on Radio Live yesterday, when explaining why he could no longer abstain.

He reiterated that NZ First would not be in Cabinet, but refused to answer whether he would accept a ministerial post, saying the prospect was "pure speculation".

Helen Clark also refused to talk about negotiation details. She said her caucus was on stand-by and it was her "aspiration" to inform it before any deal was announced.

Maori Party co-leader Pita Sharples meanwhile said on Mana News yesterday that his party had turned National around on Maori issues and Dr Brash was "seeing it in a new light now".

National is understood to be prepared to change or repeal the Foreshore and Seabed Act to allow courts to hear territorial rights cases.