“I think the reality is we’ve made some really tough decisions. And New Zealand is a really tough place at the moment.”
One recent poll put National at 37%, ahead of Labour on 32%.
‘Talk to the customer ...’
Luxon was pressed on his own personal approval ratings, which sit at around 25%, and asked to respond to another recent poll that found 51% of people thought he was “out of touch” with most New Zealanders.
“Well, I’d just say to you, I think I am, because I’m out and about talking to New Zealanders. I’ve done that right from when I’ve come to politics, it’s been a belief system of mine ... talk to the customer, to the public, to the people, the voters, and actually find out what their concerns are, and their concerns are being really played back, and we’re delivering against those.”
Espiner queried Luxon’s apparent reference to the voting public as “customers”, asking if it was time to ditch the corporate speak.
But Luxon said he was referring to his background in business, suggesting the term was “transferable”.
“It means that I’ve come from a different background, right?
“I had to learn Parliament very quickly. I’m the fastest person to get from entering politics to being Prime Minister.
“But it means that I come with a different set of skills, and it means that I’m also not going to be perfect in my answers.
“I need to work harder on this corporate speak, but that’s who I have been naturally.”
The former chief executive of Air New Zealand became Prime Minister after serving just three years in Parliament.
Luxon says he’s a PM from ‘outside the system’
Luxon has an extensive housing portfolio, recently putting one of his properties up for auction – his third listing in as many months.
He paid back a $52,000 allowance to live in his own mortgage-free apartment in Wellington when the public backlash proved to be, in his words, “a distraction”.
Asked if there was anything he would do differently a year into his first term as PM, Luxon said he wanted to avoid getting to the end of his time in office and regret that “we didn’t go fast enough and we weren’t bold enough”.
“We are asking more from the public services in terms of accountability.
“I’m sure, you know, like, I’ve made mistakes. I could have expressed myself better, I’m sure.
“It is about the economy. It is about law and order ... but again, I think it’s great that we’ve got someone who’s come from outside the system, along with lots of people from lots of different backgrounds, and that someone like me can be in political life in New Zealand and hopefully bring some skills to the job that are necessary.”
No CGT as long as Luxon is PM
Luxon also said he would rule out any form of capital gains tax (CGT) while he is Prime Minister, despite polling showing broad support for some form of CGT.
“Yes, [I am ruling out a CGT], because I don’t believe that’s the right answer for New Zealand.”
In a recent episode of 30 with Guyon Espiner, Labour’s finance spokesperson Barbara Edmonds challenged National for being “afraid” of a CGT, after ANZ chief executive Antonia Watson came out in support of some form of CGT on another previous episode of the programme.
“I appreciate that people in tough times want to grasp around for a solution,” Luxon said.
A tax on capital gains would affect the profits of everyone from small enterprise owners selling on their businesses, through to those earning interest on KiwiSaver accounts.
New Zealand is currently 38th out of 38 countries in the Organisation for Economic Co-operation and Development (OECD) for attracting capital investment, and bringing in a CGT “doesn’t make sense” with regard to improving on that, he said.
New Zealand is one of only three countries in the OECD that does not have some form of tax on capital gains, and both they and the International Monetary Fund have recommended a CGT as a way of addressing economic and housing inequality in New Zealand.
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