Owning the right stuff

ACT Finance spokesperson Todd Stephenson is welcoming the Government’s move to explore selling down its stake in Chorus, calling it a long-overdue step toward smarter management of Crown assets.

“David Seymour said at the start of the year the Government needs to take a hard look at what it owns and why. Today’s announcement shows that message is finally sinking in,” says Mr Stephenson.

“The Crown is sitting on over $500 billion in assets, yet can’t afford the hospitals, roads, and infrastructure Kiwis actually need. That makes no sense.

“If it makes sense to free up capital from Chorus, then it makes sense to apply the same logic to $14 billion in energy company shares, a $2 billion farming portfolio, NZ Post, and Quotable Value.

“New Zealand faces tens of billions in unfunded infrastructure projects, and there are only three ways to pay for them – new taxes, more debt, or smarter asset management.

“New taxes are off the table. More debt isn’t sustainable after Labour maxed out the credit card and left taxpayers with an $8.8 billion-a-year interest bill. That leaves one credible option: recycle capital from non-core assets into the infrastructure New Zealand desperately needs.

“States like New South Wales and Victoria have shown how it’s done – selling assets that don’t serve the public, and reinvesting the proceeds in productive, high-value infrastructure that passes strict value-for-money tests.

“When it’s done properly, asset recycling delivers better roads, schools, and hospitals – faster, without piling on more debt. It’s a chance to build the future New Zealanders have been promised for decades.

“Today’s announcement is progress. But it should be just the start. ACT will keep making the case for freeing up capital locked in assets the Crown doesn’t need to own – and investing it in the things Kiwis actually use.”