Prime Minister Christopher Luxon reveals Cabinet reshuffle from Wellington.
Video / NZ Herald
Prime Minister Christopher Luxon insists he still has confidence in Shane Reti - despite demoting him from the health portfolio in the latest shake-up of his National Party ministers.
Luxon defended Reti’s work in health amid persistent pressures in the sector but is giving the portfolio to Simeon Brown in light of his achievements in local government and transport, two portfolios he is forced to relinquish to focus on health.
LISTEN LIVE: Simeon Brown talks to Newstalk ZB’s Ryan Bridge at 7.35am
It’s one of several changes Luxon has made in a Cabinet reshuffle, which also featured stripping Melissa Lee of her ministerial duties and promoting first-term MP James Meager by giving him three portfolios, including the new role of Minister for the South Island.
Reti, who had faced ongoing scrutiny over Health New Zealand’s deficits and governance changes, refused to be interviewed but said in a statement he respected Luxon’s decision and would work to facilitate a “constructive transition” as he passed health to Brown.
Prime Minister Christopher Luxon (left) and Finance Minister Nicola Willis (right) at today's Cabinet reshuffle announcement. Photo / Mark Mitchell
Speaking to reporters at Premier House in Wellington, Luxon claimed he had not lost confidence in Reti but had heard from New Zealanders that more progress on improving the health system was expected.
“What we need is the skills that Simeon Brown brings, which is delivery and execution, and I want him to now bring that into our healthcare system,” Luxon said.
Reti would become the new Universities Minister, while also picking up statistics and science, innovation and technology. He retained his Pacific peoples portfolio.
In taking on health, Brown passed his local government and energy portfolios to Climate Change Minister Simon Watts. Transport would be picked up by Chris Bishop, also the Infrastructure Minister.
Brown thanked Reti for his “tireless work” in the health portfolio while also highlighting the skills he would bring to the role.
“I’m not from the sector and I’m not a union organiser, I’m here as an advocate for everyday Kiwis who simply want timely, quality healthcare when they need it,” Brown said.
He cited timely access to GPs and surgical procedures as two of his priority issues.
Labour’s health spokeswoman Dr Ayesha Verrall described Reti as a “decent man” but one who was unable to ease pressures within the health sector with the budget he was given.
“Recruitment freezes, cuts to frontline services and other budget cuts have left New Zealanders with little trust that they will get the care they need.”
She predicted it was “only going to get worse” with Brown as the minister, saying he would have to show he cared about “people and not just roads”.
Shane Reti has lost the role of Health Minister. Photo / Mark Mitchell
Melissa Lee demoted
In other changes, Luxon has demoted Melissa Lee from his ministerial team, taking her economic development and ethnic communities portfolios off her, with the latter being given to Mark Mitchell, who also picks up sport and recreation.
Last year, Lee was demoted from Cabinet and stripped of her media portfolio after struggling in her response to financial pressures within the sector.
Lee’s economic development portfolio had morphed into economic growth, which has been given to Finance Minister Nicola Willis.
“[Willis’] focus will be on leading the Government’s growth agenda to unleash the potential of our businesses to grow, develop talent and attract investment,” Luxon said.
“That will mean co-ordinating and strengthening efforts that are already under way to deliver economic growth - and taking responsibility for new initiatives designed to promote growth and productivity in the New Zealand economy.”
The public service portfolio shifted from Willis to Judith Collins.
Social Development Minister Louise Upston also gained new roles, taking on tourism and hospitality from Matt Doocey, who also lost ACC to Andrew Bayly. Upston would also become Deputy Leader of the House under Bishop.
In changes to ministers outside of Cabinet, Chris Penk would become Small Business and Manufacturing Minister, taking over from Andrew Bayly.
Luxon had also promoted justice select committee chairman James Meager, giving the Rangitata MP the new title of Minister for the South Island alongside the youth and hunting and fishing portfolios, as well as an associate transport role.
Meager admitted he was “a bit gobsmacked” to hear of his promotion, receiving a call from Luxon while attending Saturday’s Black Clash cricket event in Christchurch.
“I had to find a corner for a while and actually download and take on board what the Prime Minister had asked me to take on, but I was incredibly proud and incredibly privileged to be able to join the PM’s team.”
He said he would be discussing with Luxon the priorities of the South Island portfolio in the coming weeks but said he was hoping to boost his travel to speak with more South Island residents.
Labour leader Chris Hipkins claimed Luxon’s decision to make the “most junior minister” responsible for the South Island showed the Government’s “utter contempt” for the mainland.
He also derided Willis’ new economic portfolio: “Giving Nicola Willis a new portfolio of ‘economic growth’ begs the question of why she hasn’t been focused on that all along. What Minister of Finance doesn’t focus on economic growth?”
Bishop told the Herald he was “really delighted” to take on transport as it integrated well with his work in the infrastructure space.
Now with seven portfolios to his name, Bishop said he wasn’t concerned about his workload.
“My approach is just head down, bum up ... it’s a privilege to serve.”
As a keen sports enthusiast, Bishop admitted he was a “little bit disappointed” to lose the Sport and Recreation portfolio, but accepted that “you can’t do everything”.
Asked about Reti’s demotion, Bishop acknowledged it was “tough” but maintained Reti had done a “very good job” setting the foundations for the Government’s work in health.
Bishop, National’s campaign chairman in 2023, wouldn’t offer a view on what difference the new South Island portfolio might have on the party’s chances in the 2026 election, referring the matter to Luxon.
Adam Pearse is a political reporter in the NZ Herald Press Gallery team, based at Parliament. He has worked for NZME since 2018, covering sport and health for the Northern Advocate in Whangārei before moving to the NZ Herald in Auckland, covering Covid-19 and crime.
