New Zealand’s general election is scheduled for November 7, with cost of living and housing top of mind

New Zealand's general election is scheduled for November 7, with cost of living and housing top of mind

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New Zealand will hold a national election on November 7, Prime Minister Christopher Luxon announced Wednesday.

Center-right government leader Luxson will seek re-election in an election that is likely to decide whether his pledge to improve the economy in the wake of the COVID-19 pandemic has enough support to convince voters still struggling with living and housing costs. main center-left opposition Labor Party,Depend on Chris HipkinsThe party has regained support since its poor performance in the last 2023 election, with analysts predicting a tight race.

New Zealand elections are held every three years, on a date chosen by the government. Voters choose the party they want to see in government and choose a local candidate to represent their constituency in parliament.

The country of 5 million people has a unicameral parliament, which means the government has strong decision-making power over the country’s operations. National and Labor typically have to form coalitions with smaller parties to gain a majority in parliament, giving smaller parties unusual influence when the larger parties are ahead.

Economy and cost of living are core

Announcing the election date at a party MPs retreat in Christchurch on Wednesday, Luxon highlighted what he said was his party’s record in trying to rebuild the post-pandemic economy. Days earlier, he acknowledged in a speech to a business audience in Auckland on Monday that turning around the country’s fortunes would not be easy and that many New Zealanders had endured “two years of hard work”.

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The economy shrank a further 0.5 percentage points in the most recently measured 12 months, while migration to neighboring, wealthier Australia hit record highs at times during Luxon’s tenure. Luxon on Monday blamed the country’s woes on the previous Labor-led government, saying he “inherited a mess”.

Analysts say Luxon hopes there is still enough time until this year’s election to give New Zealanders confidence that the economic turnaround he promised in 2023 is taking hold, as inflation trends down and business confidence begins to strengthen.

Hipkins, his main challenger to lead the country, dismissed Luxon’s comments on Monday as “a load of management mumbo jumbo”. The opposition leader added that Luxon had failed to deliver on political promises he had made, including raising housing prices in one of the world’s hottest markets and ensuring access to public health care for all.

Paying for the country’s ailing infrastructure and how to fund pensions will also be core economic issues. Luxon condemned Labor’s approach as relying on running up the national debt, while Hipkins said on Monday National was wasting money on unaffordable tax cuts.

Two men named Christopher run for prime minister

An unusual aspect of this election is that the position of Prime Minister will once again be contested by two men named Christopher, just like in 2023. Luxon, 55, is still a relative newcomer to politics, having risen quickly to become National Party leader in 2021 after entering parliament as a constituency MP at the 2020 election.

The millionaire former business executive headed New Zealand’s national airline before turning to politics and was an executive at Unilever while living in the United States. Luxon promises to bring management experience, but his critics highlight his lack of political experience and say his wealth means he is out of touch with ordinary New Zealanders.

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Opposition leader Hipkins entered parliament in 2008 and held key positions in the previous Labor government, including as health and education minister. The 47-year-old prime minister, who describes himself as a humble man of modest origins, briefly served as prime minister in 2023 when current leader Jacinda Ardern abruptly resigned, citing burnout.

Labor was already performing poorly in the opinion polls and Hipkins was unable to reverse the party’s fortunes, ushering in a dismal result for Luxon’s centre-right government. Hipkins has been criticized by the left for being too timid, while those on the right have frequently sought to remind voters of his role in Ardern’s government as strict COVID-19 lockdowns have eroded public confidence in parts of the country.

Minor parties may have major influence

Under New Zealand’s proportional voting system, parties generally must form coalitions to govern. This makes the votes won by smaller parties crucial to the outcome. After an election, whichever major party has the most votes begins negotiations with its traditional governing party, with leaders of smaller parties sometimes making significant policy concessions to secure their support.

Luxon’s government consists of the liberal ACT Party and the populist New Zealand First party. Winston PetersThe New Zealand First leader and current foreign affairs minister is New Zealand’s longest-serving sitting MP, having been in previous National and Labor governments but was hostile to Labor and Hipkins after they last governed together.

On the left, Hipkins will seek support from the left-leaning Greens and the smaller Maori Party, which is running for seats reserved for Aboriginal MPs. The Māori Party has previously supported National and Labor governments, but has recently backed Labour.

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It is rare for a New Zealand government to serve only one term. The last time a government was voted out after a three-year cycle was in 1975.

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McGuirk reported from Melbourne, Australia.