Kerre Woodham Mornings Podcast

You do not have to go back very far to find a news story about a New Zealand Prime Minister having his or her trip disrupted by a shonky 757. The Prime Minister's trip to Japan, with an accompanying trade delegation, was disrupted over the weekend after the Air Force 757 broke down, again. And it was this time last year, to within a week, that the plane ferrying Chris Hipkins to China set off on its flight with a backup plane flying in reserve, in case the first one broke down. Remember that? ACT leader David Seymour said, at the time, the extra emissions were the equivalent of driving a Ford Ranger the distance of a trip to the moon three times. I don't know if that's accurate, might have been hyperbole, but knowing David Seymour, he would have crunched the numbers and done the sums. But it was literally this time last year that Chris Hipkins set off to China with a backup plane. Which was needed. Former prime ministers Dame Jacinda Ardern, Sir John Key - they've also become stuck when they were flying around the world after 757’s and the Hercules aircraft broke down. In 2022, Ardern was left stranded in Antarctica overnight after the Herc broke down and she managed to hitchhike home on an Italian plane from McMurdo Sound travelling to Christchurch. A 757 broke down on Ardern’s official visit to the US in June 2023, while she also took a commercial flight home from Melbourne in 2019 after another engineering issue. The then Defence Minister Peeni Henare and a 30 strong delegation were stuck in the Solomons in August 2022. In 2019, former Deputy Prime Minister Winston Peters needed that second RNZAF plane to pick him up after breaking down in Vanuatu. And a trade mission to India, headed by Key in 2016, was cut short after a 757 was grounded in Townsville, forcing the Prime Minister and his entourage to stay the night in far North Queensland while they waited for the AA or the aviation equivalent of the AA. “We've broken down. We're stuck on the side of the road. Can you come and get us? Sure. Give us 24. We'll be there.” I mean, seriously. The miracle is that anybody gets into the bloody things. Would you? I mean, bless the RNZAF engineers for getting the dear old girls up off the ground and into the air again. But holy heck, it's all bound together with gaffer tape and rubber bands and #8 wire and the like. When Chris Luxon was opposition leader, he criticised Chris Hipkins' use of a backup plane on environmental grounds - and also said it speaks to concerns about the reliability of those aircraft breaking down as we've seen in past times.  Well he might be singing another song entirely after this. And this was after saying to Mike only last Tuesday: ‘ Oh, no, I've got every confidence, every confidence.’ Wrong. So back in 2023, when we were talking about Hipkins' trip to China and taking two planes just in case, Chris Hipkins office came back to us last year and said using RNZAF aircraft is cheaper than a commercial charter and has other benefits such as security assurance, and the ability to travel point to point to reduce time away from home and additional costs such as hotels which would be required if there were stopovers. Well, I think we can pretty much rule out the cost factor, can't we? Using an RNZAF charter does not appear to be cheaper - and there have been numerous instances where it hasn't been cheaper, where they've needed either two planes to fly or they've needed to get in commercial charters or you've had to say to your Italian mates - 'can I please get a lift back to New Zealand?' I mean, how embarrassing. So I think we can rule out the cost factor. Let's just take a chartered aircraft that can get from point A to point B. I'm just stunned anyone gets on them. The other point they made was that the 757s are around 30 years old and nearing the end of their economic lives and due for replacement between 2028 and 2030. Bring it forward. They've got to be replaced anyway. I get that no Government wants to be the one that signs the cheque for a new aircraft, but if it's an Air Force aircraft that's going to be used for humanitarian work, if it's going to be used to police our economic zone, if it's going to be ferrying trade delegations, do you really have a problem with us moving forward the purchase date of an aircraft that we're going to have to buy anyway? It's not like it's going to be Air Force One kitted out only for the President with whale scrotum skin bar stools and like Aristotle Onassis had on his yacht. We're not talking plush Penthouse for Daddy kind of fit out, are we? We're talking about a utilitarian aircraft that comes under the auspices of the RNZAF, that the Prime Minister can then get into with a trade delegation and safely go from point A to B point B. I don't think that's unreasonable. Yeah, they're due to be replaced between ‘28 and ‘30. It's 2024. Bring it forward a bit, because it is not cost effective flying in a lemon. It's unsafe flying in a lemon. You don't want to be budging on your mates when you're stuck in Antarctica or Australia. These trips are important. God, no wonder Nanaia Mahuta stayed home. Looking at this aircraft - would you really want to park your buns on that and buckle-up? Not really, no. Just bite the bullet. We're just going to have to do it. It's a necessary expense. LISTEN ABOVESee omnystudio.com/listener for privacy information.

A report by the Ministerial Advisory Group reviewing English and maths learning, has recommended annual checkpoint tests for students. It recommends children in Years 4-6 learn handwriting, including cursive handwriting, and study the "conventions of text structure and style". Children would also be encouraged to write by hand as much as possible in their first three years at school. The Write Lesson managing director Belinda Blick-Duggan says more schools have turned their back on teaching handwriting than ever. "Something like handwriting can be so settling and consistent - and actually a really good routine for a lot of those children." LISTEN ABOVESee omnystudio.com/listener for privacy information.

General consensus our Defence Force plane is embarrassing New Zealand. The Prime Minister and his delegation were stranded in Papua New Guinea - en route to Japan - after two fuses blew while the 757 was refuelling. Chris Luxon took a commercial flight to Japan - and Air New Zealand's diverting a flight to collect his 52-strong delegation, which has taken a slow trip to Brisbane in the 757. ZB political correspondent Barry Soper says flying on the Air Force plane gives an important signal on trade visits. LISTEN ABOVESee omnystudio.com/listener for privacy information.

So it turns out we suck at saving for retirement.    We’re really good at ticking the box and signing up for KiwiSaver, go us! The Retirement Commission said yesterday that 90% of people getting paid a wage or salary have signed up to KiwiSaver, and around 80% of self-employed people have. However, when it comes to self-employed people – I wonder how many are just putting in the minimal amount of $521.33 to get the government’s contribution, and that’s it.  So, we’re pretty good at deciding to jump on board, but we’re not very good at saving what we will need for retirement.  A recent study called ‘Money and You: The Perception Gap’ found that 56% of New Zealanders, an estimated 2.8 million, aged 18 or over aren’t financially prepared for retirement, increasing to 67% among women. The study also discovered that our understanding of financial concepts isn't as good as we think it is, and we don’t know how much we would need to retire. In other words, I think they are gently telling us that just ticking that box and feeling like we’re being proactive isn’t enough to make sure we can live the retirement we want.    Yesterday, the Retirement Commission released a comprehensive analysis on how KiwiSaver is working and have made 15 recommendations to improve this scheme. They too acknowledge we all need to be saving more for our retirement but know it is challenging against the current backdrop of high inflation and cost of living crisis.    There is talk of making the scheme compulsory – but the numbers signed up to the scheme would indicate we’re pretty keen to be involved already.    However, one of the main changes the Retirement Commission would like to see put in place is a higher default contribution rate of at least 4%, with employers required to match that level or higher. The current default rate is 3% but you can choose to contribute 3, 4, 6, 8, or 10%. Apparently 42% of New Zealanders contribute only the minimum of 3%.    The default rate hasn’t changed in 17 years since KiwSaver began, and we’re a long way behind Australia and other developed countries when it comes to being prepared for retirement.    I like it being voluntary – I like that you can make your own decisions depending on what is going on in your life. Are you using extra savings to pay off a mortgage, meet a new higher interest rate, or making investments on your own which you can access when you like? Maybe you just can’t manage any more than 3% at present.    But for as much as a I like the freedom this system gives us, we’re not likely to pay more unless we have to, so legislating to raise the default setting for both employees and employers isn’t a bad idea, as long as it’s done sensibly.    Sam Stubbs, founder of KiwiSaver Scheme Simplicity spoke to Mike Hosking about the Retirement Commissioner wanting to increase contribution rates by individuals and employers.  “Well she wants the contributions to rise 1%, but if you look at Aussie, you know, they’re paying 12%. So the Aussies have got five times our population, but they’ve got 35 times our savings. So we are saving, but we’re not saving nearly enough. But she has to introduce this idea gradually because, you know, everyone’s going through a cost of living crisis right now, right. You know, if she was to say that KiwiSaver contributions were going to go from 3 to 12%, everybody would laugh. But that, that’s possible, it just takes a long time. I think we should do it about half a percent a year and take an awful long time to get there, but we have to go there.”  So keen to hear your thoughts and as Sam Stubbs said, we have to go there, and I think we have to do it in a really common sense way for both employers and employees. Half a percent. Maybe you do that year on year until it rises, 2, 4, or six? Sounds like the way to go.  We’re not saving enough. I’m not so sure we need to make it compulsory. I feel like an increase in a default rate is a good approach, as long as it's done sensibly. I like the idea of a half a percent increase, but as an employee, is that doable for you at the moment with what may be going on in your life, because we’re all dealing with different things aren’t we? Do you kind of admit to yourself that actually, unless somebody raises that right, you’re probably not going to think about it. You’re probably just thinking right, I’ve got my 3% contribution going and I’m doing the right thing. Yeah, tick the box, I’m not going to think about it again. So actually, is it what you need to motivate you to increase.  If you are an employer, is doable? Could you manage half a percent increase a year? I’m sure there are probably some small or medium sized businesses out there who are just wincing at the idea right now as we deal with these difficult economic times. So, keen to hear from you.  We’ve got to save more, we’re way behind everybody else. I don’t necessarily think making it compulsory is going to make a huge difference, but I do think raising that default rate at a sensible common sense amount each year for the next few years might just do the trick. See omnystudio.com/listener for privacy information.

This week Tony Astle ate at Advieh, a restaurant in the new InterContinental Hotel in Auckland.   With ‘Advieh’ being Persian for spice, the menu boasts a fusion of Middle Eastern, Mediterranean, and the finest local produce.  Tony sampled the Marlborough oysters, the natural and grilled kingfish crudo, the lamb, the grilled oyster mushrooms, and said the hand cut chips are to “die for”.  LISTEN ABOVE   Recipe of the Week: Antoine’s bread pudding with crème Anglaise This is a sublime Bread and Butter Pudding made in individual ramekins and served with Crème Anglaise. Antoine's Designer Bread and Butter Pudding goes to show how skill and imagination can turn an unassuming dish, whose origins lie in thrift and necessity, into a work of culinary art.      Ingredients  BREAD PUDDING  18 slices white bread crusts removed  ½ cup unsalted butter  ⅓ cup Grand Marnier  1 ½ tbsp raisins  1 ½ tbsp mixed citrus peel  1 ½ tbsp apricot conserve  6 whole eggs  4 egg yolks  100 g sugar  2 cups milk  2 cups cream  Brown sugar for dusting        CRÈME ANGLAISE  2 cups milk  1 vanilla pod  6 egg yolks  75 g caster sugar        Instructions  FOR THE PUDDING  Cut the bread to fit the bottom and sides of six individual ramekins and cut six rounds to act as tops. Butter all bread on one side and line the ramekins, butter side out.  Sprinkle the bread lining the ramekins with Grand Marnier. Place a portion of raisins, mixed peel, and apricot conserve in each ramekin.  Beat the eggs, sugar, milk and cream with a whisk until thoroughly combined, then ladle the custard mixture evenly into each ramekin.  Allow the ramekins to rest for five minutes, allowing the bread to soak up the custard.  Preheat the oven to 160° C. Top up each ramekin and place a bread lid on each, butter side up. Dust with brown sugar and place in a roasting dish. Pour hot water into the dish until it is halfway up the outside of the ramekins. Bake until custard is set.     FOR THE CRÈME ANGLAISE  Heat the milk and infuse with the vanilla pod for about ten minutes.  In a separate bowl, whisk together the egg yolks and sugar. Bring the heated milk to a boil and then allow to cool for a couple of minutes. Pour the warm milk onto the egg yolk mixture. Mix thoroughly.  Place the combined egg yolk and milk mixture into a clean pan. Over a low heat, stir gently with a wooden spoon until the sauce thickens and coats the back of the spoon. Make sure you do not let the sauce boil or it will curdle. Leave to cool, then pass through a sieve into a pouring jug.     TO SERVE  Run a knife around the inside of the ramekins, carefully remove the bread puddings and place each pudding on an individual serving dish. Serve with Crème Anglaise and a quenelle of whipped cream. Garnish with a few strawberries or other seasonal fruit. See omnystudio.com/listener for privacy information.

Fieldays is in full flow at Mystery Creek in Hamilton and there’s a bit for farmers to celebrate this week. Or at least sigh with relief over.    On Tuesday, the Government announced agriculture would not be included in the Emissions Trading Scheme, and the climate change initiative He Waka Eke Noa would be disestablished and replaced with a new initiative, the Pastoral Sector Group.    And yesterday the Finance Minister Nicola Willis announced an inquiry into banking competition with a focus on rural banking.    There are three terms of reference for the inquiry which will be undertaken by the Finance and Expenditure and Primary Production Committees and they are to examine:   1. The state of competition in the banking sector, including business and rural lending   2. Barriers preventing further competition in the sector, and    3. Any possible impact of the regulatory environment on competition and efficient access to lending.   Nicola Willis believes this will benefit us all and assured us on the Mike Hosking Breakfast this will bring about change.  “Change needs to happen, and change will happen in the banking sector in New Zealand so that New Zealanders are better served. And I know that the banks are powerful but democracy is more powerful, and this inquiry is going to get to the bottom of these issues.”  But back to the farmers.    Also on the Mike Hosking Breakfast this morning was ACT MP and former President of Federated Farmers Andrew Hoggard, who explained why farmers are dissatisfied with banks at the moment.  “There is definitely a mood of dissatisfaction amongst farmers around how the banks are working with them, and I guess the margins in particular have really... The additional margins over house lending has really hit a lot of farmers, particularly with where interest rates are at the moment. So from a lot of people, the main concern they’re telling us is, you know, interest rates are the key thing that’s creating the hurt right now.”  So we’ve got this massive increase in the cost of interest charges. Last year an on-farm inflation survey by Beef + Lamb New Zealand found interest costs for sheep and beef farmers increased 86.5% in the year to March. According to the survey, this has been driven by floating interest rates which doubled over that time while fixed, and overdraft interest rates increased by about 50%.   I think we can all understand how stressful and challenging that would be and the flow on effects to towns and communities that rely on the primary sector to keep them afloat.    There’s also been a change in behaviour from banks. It’s become harder for farmers to access lending as banks are reportedly more risk adverse and restricted under new regulatory rules from the Reserve Bank, and these are issues that hopefully the inquiry will define and present solutions to.    One of the other issues is around customer service. There is no doubt that being able to have a conversation with a bank representative who understands your business is a must. Having that one-on-one relationship with one person who understands your needs, your community, and where you’re going is vital. But I would argue, you don’t need a branch to have that relationship.   It might just be a representative in your area, it might be a relationship over Zoom —companies like One New Zealand are working hard to make sure we have 100% coverage around the country— so maybe farmers, like the rest of us, have to move with the times and understand that relationship with your banker might look a bit different.    So, if you are a farmer, how important is this inquiry and the issues you’re facing regarding banking? Is it an issue across the board? What impact is banking having on your confidence?    I am crossing my fingers we will see some action out of this inquiry —call me an optimist or naïve— but I think we’d all like to see more competition in banking. See omnystudio.com/listener for privacy information.

This week is Men’s Health Week, aiming to cull the number of Kiwi men dying from preventable illnesses.  They encourage men to start with the small steps that can enable them to turn their health issues around.  On their website they say that ‘living longer, more enjoyable lives takes a little work, but we’re all up for it’.  Scotty ‘Sumo’ Stevenson is an Ambassador for Men’s Health Week and told Francesca Rudkin that after his wife died of cancer a few years ago, he’s very aware of how important it is for his children to make sure he’s around for as long as he can be.  He’s also coming from a background in sports broadcasting, and thinks that while we look at athletes as role models, but don’t tend to take the same consideration for our health as they do.  “We forget that while we might not be competing for Olympic gold medals, we can still do our best every day to get our exercise in and to make sure that if we’re not feeling 100%, then we go and do something about that.”  LISTEN ABOVE See omnystudio.com/listener for privacy information.

As emails keep hitting the inbox—or the letters hitting the letterbox if you’re still supporting the postal system—telling us of price increases for all sorts of things. From the cost of our energy, to insurance premiums, to our favourite streaming service, we're all still keeping a close on our household budgets and doing what we can to try and keep them under control.    So, how far do you go to make sure you are paying the best price for petrol?  For those of us who do not live somewhere with accessible or reliable public transport, or don’t have the guts to put our lives at risk and get on a bike, or can afford an EV, we are at the beck and call of petrol companies and what they can charge us to fill our vehicles.    Now the Commerce Commission is getting in on the act.    Their latest analysis of fuel monitoring data shows retailers are quick to put fuel prices up in response to increased costs, but slower to bring prices down when global oil prices fall or exchange rate changes reduce costs.   It’s known as the rocket and feather approach: prices rocket up with increased costs but float down slowly when those costs decrease.    They have estimated that if fuel companies drop prices as quickly as they increase them when costs change, motorists would benefit by around $15 million a year.      Now that is quite considerable and worth keeping an eye on. But what can the Commerce Commission really do about it? There have been some changes already...   BC: What’s actually changed is that companies like Waitomo and Gull can now more readily get fuel at more reasonable prices. And we’ve seen that, they’ve been much more able to open stations than was the case in the past, and that is driving down prices for Kiwi motorists. So we’ve got evidence that it is working.  MH: How much does the punter play a part in this? In other words, if I wanted to put a bit of energy into it, get a Gaspy app, shop around, there’s, there’s plenty of competition and there’s plenty of price variability?  BC: Yep, especially in a place like Auckland. Look, Terry Collins from the AA has been talking about that in the last day or so, he’s absolutely right. If everyone shops at the lowest priced station, the others are going to have to match.  Now it’s important to note that there is no suggestion of collusion here – or illegal practices, these are large corporates operating in a supply and demand market. There is competition between them – but often the consumer determines as to whether they need to act on that competition. So do you?    Do you use your GASPY app? Do you make an effort to go to the cheapest local station around? Are you doing your bit to inform the petrol companies that you understand the choice you have?  I don’t think the Commerce Commission will be able to do much about this—much like the supermarket situation—except say they will be keeping an eye on things. Terry Collins, the AA Principal Policy Advisor, spoke to Heather du Plessis-Allan last night saying it is a warning to the fuel companies.  TC: I mean, this is a classic shot across the bow by the Commerce Commission, but I’ve been talking to contacts within the industry and they’re very keen because of the optics on it, not least by the media and by the Commerce Commission to ensure that the Auckland Motorists get their full 11.5 cents discount or rebate, the decrease in price, come 1 July. I know one of the large major’s got a big team working on it, trying to get it done by midnight. On that day, it comes into effect across all these stations.  Of course, the big test of the ComCom warning, and consumers power will be in Auckland when the fuel tax is removed from the 1st of July. Aucklanders will expect their gas to be 11.5 cents cheaper immediately, wouldn’t you?  The attention from the Commerce Commission is good. It's a reminder to us all to use whatever power we have, but it’s up to us to make an impact that will help us out at the pumps.   See omnystudio.com/listener for privacy information.

New Zealand’s largest Build to Rent complex opened this morning.  Prime Minister Christopher Luxon and Housing Minister Chris Bishop cut the ribbon of Resido, a new development in Auckland’s Mount Wellington.  Bishop said that there is no silver bullet to solving New Zealand’s housing crisis, and so they need to take every option available to them, Build to Rent being one such option.  The new units are located next to Sylvia Park, with rents starting at $845 a week for a two bed, two bath.  Kiwi Property CEO Clive MacKenzie told Kerre Woodham that they want people to settle down roots and call the units home, offering long-term leases and the ability to customise their space and bring their pets.  He said that the prices are slightly higher, but the services, amenities, and security included in for tenants matches up.  LISTEN ABOVE See omnystudio.com/listener for privacy information.

Ram raids are down more than 80% for the month of April, compared to last year. Police have identified 12 ram raids in April 2024, compared to 64 in April 2023. Sixty-four! That wasn't even the highest. There was a peak in August 2022 when there were 86 ram raids. There was a total of 433 ram raids in 2022, 288 in 2023, and 67 in the first four months of this year.   To what can we attribute the drop in ram raids? It would be nice to think that the tougher measures, The Ram Raid Offending and Related Measures Amendment Bill passing its first reading would have contributed. This bill will add smash and grabs to the Crimes Act and give police the power to prosecute ram raiders as young as 12 years old. And who do you think proposed that? It was Labour. They had seen the writing on the wall by that stage. You know the number of ram raids were just beyond the pale and people were absolutely fed up with what looked like inaction on the part of the Labour government, so they were the ones who introduced The Ram Raid Offending and Related Measures Amendment Bill and it passed its first reading with support from National and ACT, the Greens and Te Pati Māori opposed it (In a stunning narrative twist you probably picked that up?).   Or it could be the Kotahi te Whakaaro Programme. You might remember that when we interviewed the police officer involved with that, John Campbell also highlighted that it was a multi-agency approach, a wraparound approach to dealing with young ram raiders. Because these kids are young, and as soon as they got the first report, then they would get the schools involved, the families involved. It was so multi agency and seemed to be working and we had high hopes. I'm pretty sure it got continued funding because it was showing positive results in terms of young people not reoffending after completing the programme. So it could be that.   Or it could just be that ram raids have gone out of fashion. You know, there have been enough of them on TikTok, enough of them on social media, and now they're just not cool. Word on the street, they're not cool anymore. I don't know.   Presumably, there was an end purpose to the ram raids, with the jewellery being targeted. There was conjecture that perhaps the gangs were looking for gold as a way of buy, sell, and exchange - that they would take the jewellery, melt it down, and use it as currency. That was just conjecture. I don't know, but I am just jolly glad that the number of ram raids have gone down because the reduction in ram raids is a reduction in trauma. It's a reduction in upset. It's a reduction in financial loss and the expense of policing these wee oiks. Kotahi te Whakaaro was not cheap, but if it was working, all well and good.   I don't know about you, I have noticed fewer gang patches on the street, less obvious swaggering, but that is only anecdotal. I would love to hear from you as to what your anecdotal experience is. Is the message that's been sent, and you would have to say it started with Labour when it went to The Ram Raid Offending and Related Measures Amendment Bill, they were the ones that introduced it because they knew the public had had enough. Is the general message of ‘up with this we will not put’, made so loud and so clear that the gangs have had to pull back a bit from the obvious swaggering, from the we own the streets, we own the stores, we'll do what we like. Or is it just a change in business in inverted commas, direction from them? Or is it simply that ram raids have gone out of fashion? If only murdering babies would go out of fashion.   See omnystudio.com/listener for privacy information.