Chris Hipkins’ 2026 State of the Nation: No new promises as Labour focuses on delivery and discipline
Monday, 23 February 2026
The key message Chris Hipkins wanted his business audience to hear in his State of the Nation speech was a reassurance: a government he leads would not lurch from one big reform to the next.
The Labour leader sought to present a party that had learned from its last time in office and would not make promises it could not deliver.
“We won’t try to do everything in our first term. We’ll focus on what matters most — and we will deliver.”
Hipkins gave his speech to the same audience as Prime Minister Christopher Luxon — the Auckland Business Chamber — but the tone was markedly different.
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Luxon said the government was fixing the basics to build a better future. Hipkins, whose task is to highlight dissatisfaction, instead offered a far bleaker assessment.
“New Zealanders were promised the cost of living would be fixed. Two years later, it’s worse.”
He said the country was failing its young people, who were increasingly weighing whether to stay or move overseas for a better life — a reality he said kept him awake at night thinking about his own children’s futures.
If Labour were elected, Hipkins said the focus would be on three core priorities: jobs, health and homes.
Jobs and wages would be lifted by “backing the businesses that make this economy work — from innovative companies creating the jobs of the future, to the local café, the tradie, the family dairy”.
“The problem in New Zealand isn’t effort. It’s opportunity.”
Hipkins said affordability would sit at the centre of decision-making.
“It means we won’t add new charges onto people — like increasing every household’s power bill to pay for a gas import terminal, or tolling the Auckland Harbour Bridge to pay for a new crossing.”
The Government is considering a toll to help fund a second harbour crossing, with the Infrastructure Commission suggesting a charge of about $9 each way.
“Labour supports a second harbour crossing. But we won’t penalise people for using the one that already exists,” Hipkins said.
Asked by The Post whether his promise to not add new charges ruled out congestion charging, Hipkins clarified the commitment was not absolute.
“I didn’t say no new charges. I said we’ll be running an affordability lens over every decision that we take … and certainly no avoidable new charges.”
What was absent from the scene-setter speech was any new policy — prompting Finance Minister Nicola Willis to accuse Labour of being “devoid of ideas”.
Instead, Hipkins signalled Labour would hold off major announcements until after the Budget at the end of May, when the state of the Government’s books is clearer — a move aimed at projecting fiscal restraint.
“I want to know that I can deliver on any promises that I make.”
That would be the standard he would hold himself and any future Labour government to, he said, because “Kiwis have had enough of promises that aren’t kept”.
Without new initiatives to announce, Hipkins pointed back to policies Labour has already released, including three free GP visits a year, a targeted capital gains tax on investment and commercial property (excluding the family home), and a proposed New Zealand Future Fund to invest in infrastructure and growing Kiwi businesses.
He said Labour had learned from its previous term in office, when it “tried to do too much, too fast” and lost focus.
Auckland mayor Wayne Brown said that message resonated.
“I think they possibly have. I don’t think National’s made the mistakes of last year — they all make mistakes.”
After the speech, Hipkins took part in a question-and-answer session with Auckland Business Chamber chief executive Simon Bridges, a former National Party leader who introduced himself as a “one-time adversary”.
Hipkins said Labour would support the Government’s proposed Auckland city deal if it proved sensible, and suggested more decision-making power should sit locally.
“I think there is more opportunity for us to devolve more of the responsibility around what’s happening in Auckland to Aucklanders, and it’s time to just get on and do it.”
Brown welcomed that approach.
“I’m fed up with Wellington telling us what to do. They might be a bit easier on us than the Nats — that’d be good,” he told The Post.
He pointed to the current tensions over housing intensification as an example.
Last week Housing Minister Chris Bishop softened the target for Auckland’s long-term capacity from enabling 2 million homes to 1.6 million. ACT leader David Seymour has also said he wants to review Auckland Council’s intensification plans before giving his support.
“We will decide where we’re going to intensify and I don’t want anyone in Cabinet checking to see whether they’ve got it right. It’s none of their business,” Brown said.
Hipkins also said he was open to being a minority government - where the major party negotiates policies with minor parties - pointing to Helen Clark, who was in the audience, as an example that they could work.
“There is no absolute requirement for majority coalition governments. We have one at the moment, and that's not exactly delivering stable government.”