Simon O’Connor
Husband, step-father, and longtime student of philosophy and history. Also happen to be a former politician, including chairing New Zealand’s Foreign Affairs, Defense, and Trade Committee.
The good
News that the government is going to fund 54 new medicines is great news. That 26 of these are cancer related is also very positive. The reality of cancer is very present to just about every New Zealander – be it something we suffer ourselves, or we know someone who is.
I have spent considerable time in the oncology ward over recent weeks due to an ill family member. Speaking with them of course, but also with other patients and their families, it is abundantly clear that the pharmaceutical options that exist in many other countries are just not available here. New Zealand is miles behind particularly with cancer-related immunotherapies.
So the announcement of substantial more funding for Pharmac is very good. It is something like $600 million over four years. It will make a difference and should be rightly celebrated.
The bad
However, if we take a step back from the announcement itself, the amount of money, and of course the welcome benefit it will give to cancer patients – there are some issues that need highlighting.
The first remains that the original election promise to fund 13 new cancer drugs was ‘missed/forgotten’ in this year’s Budget. It remains a mystery how this case of political mismanagement happened.
The resulting scramble to fix things has seen a fairly predictable political response – find the money and announce more than originally promised. So a win for patients as the funding is no longer for the 13 election-promised drugs, but double that.
However, the problem is that there is no spare or extra money in this year’s Budget. This $600+ million is being taken from next year’s Budget. This is an incredibly early pre-Budget commitment. Not only that, the amount promised is around one fifth of the discretionary extra spending of next year’s budget – what is referred to as an operating allowance. Analogously, it is a bit like you or me making spending commitments today based on what you think your income will be next year.
I need to be clear, funding cancer and other pharmaceuticals is good. But this should have been sorted out via the current Budget. By the oversight that occurred and the subsequent need to politically manage the mistake by being even more ‘generous’, it creates a financial headache even before next year’s Budget process begins.
The ugly
It is not lost on any of us – our country is in a real financial mess. I would argue courtesy of the last government’s actions and decisions. I have confidence that the current government has the right intentions. It is saying the right things. However, many of the actual actions are not encouraging. As I have noted before, we have just had a Budget that sees more money being spent than when Labour was in power. The Crown’s debt is going even higher. And now government has magicked up $600+ million from a future Budget that has not yet being developed.
Alongside this, we are seeing very clearly the consequences of years of infrastructure underspending by successive governments and councils. There is no quick fix or silver bullet. Things are already ugly financially but there is much more down the line to address and fix, and it all takes money. Lots of money!
We see the inter-island ferries failing, with the Awatere recently literally on the rocks! The cost to fix this – even by rightly throwing out Labour’s earlier mad plan – is enormous. There is much talk in the defence space of developing new capabilities – think naval and air assets. Where is the money for these eye-watering amounts going to come from? And doubly so when you consider this government has just cut overall defence funding. Finally, let’s not mention the Royal New Zealand Airforce’s 757 that keeps breaking down and commitments from those on the trade trip to replace it. How? And with what money?
As I say, things are ugly.
But if we return to the beginning, there is also much good. I celebrate with those patients and their families who now have access to often life-saving and life-changing pharmaceuticals. We just might need some Panadol for the many other financial issues coming down the line!
STAY TUNED
Lots more media for me over the last week. I’ve just published this podcast below with cultural commentator, Brendan Malone. We talk about what conservatism is and why it’s a vitally valuable approach to community life.
https://www.youtube-nocookie.com/embed/eAXWUevFoHM?rel=0&autoplay=0&showinfo=0&enablejsapi=0
I have also been busy interviewing guests on my weekly online Radio show at RCR. I am on every Friday morning from 10am to midday, so tune in! You can do so via the website or also listen by using the easy to use phone app.
Last Friday, I sat down with housing commentator Ashley Church. He challenges the prevailing narrative that we need to collapse house prices, that we have a homeless crisis, or that we need further Reserve Bank intervention. Check out my interview with him below:
I also was able to interview Toby Young who is the founder and director of the Free Speech Union in the UK. We talk the challenges to free speech in New Zealand and the UK. He has been here in New Zealand on a speaking tour, so it was very welcome to compare notes as we continue to challenge those wish to undermine this critical aspect of our democracy. You can listen here or via the image below:
And as you may remember, I also do weekly Facebook Lives. It is called Solid Ground and you can watch and bring your questions to me – live on air – from 8am every Tuesday morning. Jump onto my Facebook Page or Family First’s. I cover stories that have caught my eye but, importantly, I take questions so hop online and share your views with me and the audience.
This article was originally published on the author’s Substack.
