PHOTO: Willie Jackson (left). List MP Minister for Broadcasting and Media, and Māori Development
In the past week, the Post newspaper exposed a noteworthy revelation. While the majority of New Zealanders grapple with the challenges of a rising cost of living and a housing crisis, a significant “minority” of Members of Parliament (MPs) have been investing in real estate in Wellington at the taxpayers’ expense. According to the Post, at least 20 MPs have been claiming up to $45,000 annually from public funds to stay in Wellington residences they themselves own.
Among those benefiting from this arrangement is National Leader Christopher Luxon, who, since the beginning of 2021, has claimed approximately $90,000 to reside in his own Wellington property. Furthermore, Christopher Luxon acquired a house in Botany and converted it into an electorate office for which he receives rent from Parliament.
It’s worth noting that all allowances for owning and renting electorate offices are well within the bounds of parliamentary rules. However, it’s important to highlight that while roughly 20 MPs are currently making use of these rules to invest in Wellington real estate, the vast majority do not.
MPs from the Green Party and Te Pāti Māori do not currently utilize parliamentary allowances to acquire property in Wellington. Only one MP, Simon Court from ACT, takes advantage of this system.
Many financially comfortable Labour and National MPs who possess multiple properties in other locations choose not to make use of this system.
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MPs who reside in the Wellington region, such as Prime Minister Chris Hipkins, Finance Minister Grant Robertson, and Police Minister Ginny Andersen, are ineligible to use this system.
Even long-serving Ministers like Damien O’Connor, David Parker, Nanaia Mahuta, and Megan Woods, who have the means to benefit from this system (Cabinet ministers earn $296,007), have not done so, at least thus far.
However, as reported by the Post, four ministers (Duncan Webb, Jan Tinetti, Deborah Russell, and Willie Jackson) have claimed the capped allowance of up to $45,000 annually to cover their living expenses in the city and have then used it to pay rent on property they already own.
It is important to emphasize that none of the MPs who take advantage of this system are in violation of any rules. The rules governing the use of this system are, however, quite open and transparent, enabling the public to monitor the behavior of the MPs they elect within these rules. For the sake of transparency, and in anticipation of Election 23, here is a list of MPs who claim the accommodation allowance and own property in Wellington:
National Party MPs: Christopher Luxon, Andrew Bayly, Gerry Brownlee, Judith Collins, Jacqui Dean, Barbara Kuriger, Melissa Lee, Ian McKelvie, Mark Mitchell, Simon O’Connor, Stuart Smith, Louise Upston, and Michael Woodhouse.
Labour Party MPs: Willie Jackson, Sarah Pallet, Deborah Russell, Jenny Salesa, Jamie Strange, Jan Tinetti, Duncan Webb, Arena Williams.
ACT Party: Simon Court.
No Te Pāti Māori or Green Party MPs are using this arrangement.