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New Ministry faces uncertain future after Labour casts doubt on the Government’s merger plans

Public Policy / news
New Ministry faces uncertain future after Labour casts doubt on the Government’s merger plans
Labour leader Chris Hipkins speaks to reporters. Image source: Mandy Te
Labour leader Chris Hipkins speaks to reporters. Image source: Mandy Te

Questions have been raised about the future of a ministry that hasn’t even been created yet after Labour leader Chris Hipkins wouldn’t commit to seeing out the Government’s plans to merge three ministries, should Labour be elected in November. 

Plans to pull together the Ministry for the Environment, Ministry of Housing and Urban Development and Ministry of Transport into the new Ministry for Cities, the Environment, Regions and Transport (MCERT) are already well underway. 

A boss to oversee the merger and run the Ministry is likely to be appointed by April and the Government wants MCERT up and running by July, with the intention it will roll out Resource Management Act and local government reform. 

Asked if he would disband MCERT if Labour were to take power after the election, Hipkins told media the party would set out a plan closer to the time, “but I don't want to do structural reform for the sake of structural reform”. 

“It's hugely disruptive and we've had so much of that over the last couple of decades."

He accused RMA Reform Minister Chris Bishop of repeating “all of the problems that [the Ministry of Business, Innovation and Employment] has faced... [becoming] a very big, very complex government department that isn't necessarily delivering the outcomes we need from the public service."

“Accountability is going to be blurred, and ultimately the outcomes that we achieve for New Zealanders as a result won't be as good as they should be.”

Bishop pushed back - “This is not MBIE, as we’ve made repeatedly clear.”

“As a comparison, it will be 22% of the size of MBIE, with far fewer portfolios,” he said. 

“The case for change is compelling, and I note it has been welcomed by many.”

Hipkins’ comments followed ACT leader David Seymour outlining his plan for smaller government, with a proposal of no more than 20 ministers who all sit in Cabinet and no more than 30 departments.

Currently, there are 28 ministers, two under-secretaries, 81 portfolios (77 ministerial portfolios and four other ministerial entities like Child Poverty Reduction, Auckland, Ministerial Services and South Island) and over 40 departments.

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1 Comments

It must be election year...barking at every passing car

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