Incoming Prime Minister Christopher Luxon and his coalition partners, ACT's David Seymour and NZ First's Winston Peters, have unveiled the details of their coalition agreement for the new Government.
They have agreed to major policies including National's tax cuts plan - minus the foreign buyers' tax.
"The tax package will continue to be funded through a combination of spending reprioritisation and additional revenue measures. However, as part of National's agreement with New Zealand First, the proposed foreign buyer tax will no longer go ahead," Luxon said in a statement.
"Policy changes will help offset the loss of revenue from that change. National's fiscal plan also had buffers which give confidence that tax reduction can still be funded responsibly."
Meanwhile, ACT's policy to hold a Treaty of Waitangi principles referendum will not go ahead. However, a Treaty Principles Bill will be introduced and supported to a Select Committee "as soon as practicable".
Other key policies in the agreements include:
- A new agency, accountable to the Minister for Regulation, will assess the quality of new and existing regulation. This agency, proposed by ACT, will be funded by disestablishing the Productivity Commission
- A Regional Infrastructure Fund, proposed by New Zealand First, that will have $1.2 billion in capital funding.
Peters and Seymour will also split the role of Deputy Prime Minister, with the former stepping into the role for the first half of the three-year term and the latter for the second half from May 31, 2025.
Luxon, Seymour and Peters signed the agreement at Parliament on Friday morning.
"Despite the challenging economic environment, New Zealanders can look forward to a better future because of the changes the new Government will make," Luxon said.
"I said on election night that we would be a Government that would deliver for every New Zealander, regardless of who we are, where we are and whatever our life circumstances. How the coalition parties do that has been at the core of our negotiations.
"New Zealanders have put their trust in us. In return, we trust New Zealanders. We believe in this country."
National and ACT's coalition agreement
National and NZ First's coalition agreement
