National faces criticism over possible Chorus sell-down after promising no asset sales

Auckland, October 10, 2025
The Government’s plan to sell its shares in telecommunications company Chorus has triggered strong political debate. Labour says this decision breaks promises made by Prime Minister Christopher Luxon and Finance Minister Nicola Willis.

What the Government is planning
Officials are studying a proposal to sell the Crown’s debt and non-voting equity in Chorus. The move would be handled through the National Infrastructure Funding and Financing Company, known as NIFFCo. Any money raised could support new public projects and reduce financial pressure.

Labour calls it a broken promise
Labour Leader Chris Hipkins says National is breaking trust with New Zealanders. He argues that the party promised not to sell public assets, yet is now preparing to do exactly that.

“They promise not to sell assets when it suits them. Then, when they cannot manage the economy, they look to sell the family silverware,” Hipkins said.

He added that the latest accounts show the Government is borrowing more and investing less. In his view, selling Chorus is a short-term fix that harms long-term interests.

National’s earlier statements
During the 2023 campaign, Luxon said there would be no asset sales under his leadership. He repeated that message in Parliament in October 2024. Nicola Willis also told Q&A that she ruled out asset sales during the campaign.

Government response
Finance Minister Nicola Willis now says the Chorus move is about improving financial balance, not privatisation. Supporters argue that this decision helps the Government free up capital for other needs without adding new debt.

Why Chorus is significant
Chorus operates most of New Zealand’s fixed broadband network. It played a key role in rolling out the Ultra-Fast Broadband programme. Selling shares would not change how Chorus is regulated. However, it would reduce Crown ownership of a vital national asset.

How it affects New Zealanders
For taxpayers, the sale might raise short-term funds but reduce future public gains. For broadband users, services will remain steady for now. Yet ownership changes could shape future investment decisions. Politically, National insists this is not an asset sale. Labour says it clearly is.

References
Labour Party Press Release, National Breaks Asset Sales Promise, Scoop Media, 10 October 2025
RNZ: Government mulls possible sale of Chorus
Hansard, 22 October 2024: Prime Minister’s comments on asset sales
NZ Herald: Government considering sell-down of Chorus investment

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