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Home / New Zealand / Politics

Prime Minister Christopher Luxon says Government must ‘double down’ on economic plan

Julia Gabel
Julia Gabel
Political Journalist·NZ Herald·
28 Jul, 2025 03:44 AM3 mins to read
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Christopher Luxon holds post-Cabinet press conference

Prime Minister Christopher Luxon said the Government needs to “double down on our economic plan” in order to make people feel better off.

Luxon was joined by Finance Minister Nicola Willis at his post-Cabinet press conference to mark one year since the Government’s 2024 tax cut package took effect.

Speaking for more than ten minutes at the start of the press conference, Luxon and Willis talked about the measures the government had rolled out since taking office to ease cost of living concerns for households.

The press conference came after a week in which the Government came under pressure on cost of living issues, particularly relating to the high cost of butter and Stats NZ figures showing the annual inflation rate ticking up.

“Spending more taxing more and borrowing more as Labour and other parties advocate for didn’t work in the past and it wont work in the future,” Luxon said.

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“The most important thing we can do to make you better off is to double down on our economic plan,” he said.

Luxon noted the Government on Monday moved to get rid of checkout surcharges. Over the weekend, the Government made building act changes to reduce the cost of building supplies - a change the Government hopes will put downward pressure on the cost of housing.

Tax relief was a major part of National’s 2023 election campaign amid flaring inflation and a cost-of-living crisis.

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The party campaigned on a series of policies aimed at helping the “squeezed middle”, including adjusting tax rates, increasing tax credits and FamilyBoost. These policies came into effect in July last year.

Meanwhile, Workplace Relations and Safety Minister Brooke van Velden announced today she would review safety rules for scaffolding, saying she had received many complaints from the construction industry that current regulations were too complex and expensive.

Workplace Relations Minister Brooke van Velden. Photo / Mark Mitchell
Workplace Relations Minister Brooke van Velden. Photo / Mark Mitchell

Van Velden was light on the details of what specifically would be reviewed, but said officials would consult on proposed new rules that would give people a selection of safety options depending on how dangerous the job was.

“If it’s not very risky, they will not need to use expensive scaffolding.

“For example, they will be considering whether a ladder could be used instead of scaffolding for a simple roof gutter repair or minor electrical maintenance when working at height.”

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Van Velden is also reviewing prequalification requirements – a way for businesses to check if a contractor is appropriate for a job.

Julia Gabel is a Wellington-based political reporter. She joined the Herald in 2020 and has most recently focused on data journalism.

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