Government opts for new Supreme Court to replace Privy Council

By FRANCESCA MOLD political reporter

The Government will reveal the details of a new Supreme Court on Monday, ending New Zealand's 160-year link to the Privy Council in London.

The Herald understands that Attorney-General Margaret Wilson will announce the establishment of a new top tier on the country's judicial system at a press conference, after Cabinet approves recommendations made by an advisory group.

The Supreme Court will sit above the Court of Appeal - which, in turn is above the High Court and District Courts - and will be headed by five judges. They are not expected to be named in the announcement.

It is understood that the idea of having judges from overseas sit on cases has been rejected.

The advisory group report was commissioned after three other options contained in an earlier discussion document were rejected.

It is understood legislation to set up the new court will be introduced before this year's election, but it is not expected to be passed until next year. The court is not expected to be active before 2004.

The Government has stated its intention to abolish links to the London Law Lords for several years.



It is not yet known how much extra the new court will add to the cost of running the Judiciary, or what its judges will be paid. Chief Justice Dame Sian Elias makes about $305,200 a year and Court of Appeal president Sir Ivor Richardson $295,600.

The Business Roundtable has said that it would be damaging to New Zealand business if access to the Privy Council was cut without an internationally acceptable replacement court system being in place.

It claimed that without the "international benchmark" provided by the London-based court, many foreign businesses might refuse to deal with the New Zealand legal system.

Roundtable executive director Roger Kerr said yesterday that he did not believe it was possible to come up with a New Zealand arrangement better than the Privy Council system.

Maori have also expressed concern about the loss of the Privy Council, saying it provided direct access to the Sovereign, as guaranteed under the Treaty of Waitangi.

The Government worked hard to reassure Maori during the consultation process that the change would not be negative for them.

It also argued that ending appeals to the Privy Council would mean New Zealand's constitutional status as an independent nation would be recognised and this would ensure that decisions were made by judges who lived in New Zealand and were familiar with its society.

A paper put out by Ms Wilson in December 2000 said that in 1999 the Court of Appeal heard and decided approximately 508 appeals. In the same year only 10 appeals went to the Privy Council, eight of which were dismissed.

Australia removed the Privy Council from its judicial appeals system in 1977.