Government inquiry into killer Phillip Smith's escape

Prime Minister John Key says a government inquiry will be held into events around convicted paedophile and murderer Phillip Smith's escape to Brazil.

Mr Key told reporters this afternoon that the matter had been discussed by Cabinet today and it had been decided to go ahead with a wide-ranging inquiry under the Inquiries Act to cover matters not dealt with by inquiries already announced by individual departments including Corrections.

Mr Key said there were many unanswered questions around the incident including "quite delicate issues around data-sharing".

Mr Key said the inquiry would cover whether someone who was incarcerated for a serious crime, like Smith, should be able to be on short-term release without electronic tracking.

It would also deal with issues around data-sharing between border control agencies, Corrections and Internal Affairs.

He expected the inquiry would come up with recommendations around data-sharing that could potentially be "contentious" in nature.

The inquiry, to be led by a highly respected New Zealander such as a QC or judge, will be the responsibility of State Services Minister Paula Bennett.

Further details, including terms of reference would be discussed at next week's Cabinet meeting, Mr Key said.