KEY POINTS:
The drawn-out row over former Cabinet minister David Benson-Pope appears to have hit the Labour Party's popularity, with a snap poll of Aucklanders showing National nearly 12 points ahead.
A Herald-DigiPoll survey of 400 people in Auckland City has National on 50.2 per cent support and Labour on 38.6 per cent. A wider survey two weeks ago put Labour 6.5 points behind National.
The poll had a margin of error of 4.9 per cent.
Despite the small sample, the results show Labour could have taken a public hit from the saga over Mr Benson-Pope, who resigned from Cabinet on Friday after Prime Minister Helen Clark said he had misled the media and public.
The polling period included the fourth interest rate rise since March after Reserve Bank Governor Alan Bollard increased the official cash rate to 8.25 per cent on Thursday.
Helen Clark remains preferred Prime Minister on 45.9 per cent to National leader John Key's 44.3 per cent.
A spokeswoman for Helen Clark said the only comment on the poll was that it was "not of a nationally representative constituency".
But Mr Key said the results were consistent with the continuing trend putting National in front, and showed Labour had taken a hit in credibility in the main metropolitan centre.
"I'm not surprised an increasing number of New Zealanders want to see a change of Government, when they see a Government behaving the way this one did last week."
The Benson-Pope fall-out will continue this week with attention turning to Environment Ministry chief executive Hugh Logan. His position, following his handling of the Madeleine Setchell employment dispute, is widely believed to be on the line.
Ms Setchell was appointed as communications manager at the ministry but dismissed after three days because of her relationship with National's chief press secretary Kevin Taylor.
Mr Benson-Pope resigned after admitting he told Mr Logan that he was "likely to be less full and frank" with Ms Setchell.
Mr Key said the State Services Commission's inquiry into the matter must address the question of whether Mr Logan was under pressure from Mr Benson-Pope.
"That doesn't mean we condone his actions, but you have to look at them in the wider context."
Acting commissioner Iain Rennie has said he would not discuss Mr Logan's employment until he had seen the report.