Labour "recognises NZ’s infrastructure crisis. But has no idea how to fix it."

There was never a chance that politicians could look at the growing "Cullen Fund" and not think to themselves "if only we had that to spend!"

So in the same week that Treasury confirms that paying for old-age pensions are about to get unaffordable on our present trajectory, the Labour Party has decided it would be a good time to use the government's superannuation fund as a slush fund for them to "pick winners"—on which all governments everywhere have a dismal track record. 

Labour’s first policy announcement ahead of the 2026 election reveals the party recognises New Zealand’s infrastructure crisis. But it also shows it has no idea how to fix it. ...

The fact New Zealand has an infrastructure crisis (roads, pipes, umpty-tum waters) is a testament to how short-term political thinking has encouraged short-term spending decisions. Labour's "plan" (if a glossy pamphlet without detail can even be called that) simply doubles down on that ongoing disaster. As Roger Partridge notes:

Rather than seek the best global returns, it would invest in New Zealand companies selected for political purposes. The fund’s goal is not profit maximisation but job creation through government-directed investment. This is corporate welfare dressed in the ... garb of sovereign wealth management.