Anthony Albanese’s NZ visit a welcome respite for PM Chris Hipkins

New Zealand's Prime Minister Chris Hipkins is suffering the worst week of his leadership. Picture; AFP.

Over the next two days, as Anthony Albanese makes his first visit to New Zealand as Prime Minister, Australia and NZ will celebrate not just 80 years of diplomatic relations, but the warmest relationship the two countries have enjoyed in years.

The leadership meeting, and the potential of some positive headlines, will come as a welcome respite for NZ Prime Minister Chris Hipkins, who is suffering one of the worst weeks of his six month old leadership. Not only has he lost his Justice Minister in scandalous circumstances – the fifth minister to stand down this year, including former PM Jacinda Ardern – but his Revenue Minister has also dropped that portfolio over his opposition to Mr Hipkins’ decision to rule out a wealth tax.

The downfall of Justice Minister Kiri Allan, who was arrested on Sunday night after crashing her car in Wellington while over the legal drink drive limit, is the latest and worst crisis Mr Hipkins has faced so far. Ms Allan, who was charged with careless use of a motor vehicle and failure to accompany a police officer, will stand down as an MP at the next election but the reverberations from her personal crisis are such that there is speculation her accident might crash the Labour party.

Kiri Allan resigned as Justice Minister after being arrested and charged over a Sunday night car crash. Pictyre: AAP.

It was well known that Ms Allan, seen as recently as January as a strong leadership contender, was suffering mental health issues, and Mr Hipkins has been blamed – possibly unfairly – for allowing her to return to work too soon after she took mental health leave. Ms Allan had also recently been accused of bullying a staffer and faced a number of hurdles, including revelations the then race relations commissioner donated thousands of dollars to her campaign in the run up to the 2020 General Election. Her demise follows that of Transport Minister Michael Wood, another potential leader, over shareholdings that clashed with his portfolios and long serving cabinet minister Stuart Nash over divulging confidential cabinet discussions. Piling up Labour’s woes was the shock defection in May of former minister Meka Whaitiri to the radical Maori Party (Te Pati Maori).

But while the loss of Wood, Nash and Whaitiri bruised Labour, Allan’s charges for a criminal offence is on another level. Coming 11 weeks out from a general election, it is also, once more, forcing Mr Hipkins to turn his gaze inward on his ill-behaved team rather than outward, on the ‘bread and butter’ issues he promised voters would be his focus.

Mr Parker, one of the strongest members of Mr Hipkins’ team, created a further headache on Tuesday by announcing publicly it was “untenable” to continue with the Revenue portfolio given his opposition to Mr Hipkins’ decision to rule out a wealth tax or capital gains tax if Labour is re-elected in October. Both Mr Parker and Treasurer Grant Robertson supported a wealth tax and Mr Parker’s decision to go public about why he dropped Revenue (although he retains the transport portfolio) suggests there may be further splits coming in cabinet over the issue.

A police officer takes out a gun from her car at site of a shooting in central Auckland. Picture: AFP.

The NZ public don’t want to hear any of this; they are tired of ministerial scandals and resignations. With prices and interest rates rocketing, a health care system in crisis and a rising crime wave – as grimly illustrated by last week’s Auckland shootings – they want to know that their lives will become more affordable, easier, safer.

And they’re losing faith in Labour’s ability to achieve these goals. Mr Hipkins remains ahead of rival Christopher Luxon as preferred prime minister but Labour is plummeting in the polls. Moreover, nearly two in three Kiwis believe the country is going in the wrong direction, usually a strong indicator that an incumbent government is set for electoral death.

So when Mr Hipkins shakes Mr Albanese’s hand and welcomes his ‘dear friend,’ he might well reflect that not only is Mr Albanese his good mate – but he’s one of the few he has left.