Seymour pushes smaller government agenda in State of the Nation address

ACT leader and Deputy Prime Minister David Seymour has used his State of the Nation speech to outline a renewed push for a significantly smaller government, while sharply criticising opposition parties and defending his party’s record in coalition.

Speaking to about 200 supporters in Christchurch on Sunday, Seymour described current economic and social pressures as warning signs for the country, particularly for younger New Zealanders. Around 30 pro-Palestine protesters gathered outside the venue, with some chants audible during the event.

Seymour said rising emigration numbers were a “flashing light on the dashboard” for New Zealand and framed his speech around what he called five warning signals facing the country.

Five warning lights

The first, he said, was the cost of living, which he characterised as a productivity slump. He argued wages had failed to keep pace with inflation, leaving many workers feeling worse off despite working harder.

Closely linked was what he described as the government’s failure to balance the books. Seymour warned that without changes to spending habits, New Zealand risked long-term fiscal strain, particularly as an ageing population increases pressure on public finances. While a small surplus is projected by 2030, he said deficits could return in later years.

He also raised concerns about public frustration with democratic systems globally. Although he did not believe democracy was under serious threat in New Zealand, he said people were increasingly losing faith in institutions they viewed as bureaucratic and unresponsive.

Seymour criticised what he called a lack of shared national identity, rejecting the idea of New Zealand as divided into a treaty partnership between Tangata Whenua and Tangata Tiriti. He argued instead for a unified national identity.

Finally, he said younger generations felt locked out of opportunity, citing student debt, taxation and housing affordability. He said many young people felt “the deal” that rewarded hard work had broken down.

Attacks on opposition parties

Seymour drew a sharp contrast between the current coalition and a potential Labour, Green and Te Pāti Māori government. He criticised Labour leader Chris Hipkins, compared the Greens’ messaging to channeling frustration into division, and described Te Pāti Māori’s vision as incompatible with ACT’s position.

He said ACT’s priority would be to prevent those parties from forming the next government. Seymour also made a fundraising appeal during the speech.

ACT’s record in government

Despite polling behind its coalition partners, Seymour defended ACT’s influence within government. He said the party had played an “outsized role” in cost savings and policy reform.

He pointed to changes to school lunches, pay equity reforms, reinstating mortgage interest deductibility and reducing the projected cost of the proposed Waikato Medical School. Seymour claimed ACT voters had delivered substantial savings to taxpayers.

He also highlighted work by ACT ministers, including reforms to the Holidays Act and health and safety laws.

On the defeated Treaty Principles Bill, Seymour said while the legislation failed at its second reading, ACT had succeeded in driving debate on the issue.

Smaller government campaign

Looking ahead, Seymour announced ACT would campaign on restructuring government itself. He proposed:

• No more than 20 ministers, all sitting in Cabinet
• No more than 30 government departments
• Each department answering to only one minister
• Removal of ministerial portfolios in favour of departments managing defined budgets

He said the aim was to create a smaller, more efficient government capable of delivering services at a cost taxpayers could afford.

Seymour framed ACT’s broader approach around three principles: equal rights for all citizens, rejecting scapegoating of particular groups, and pursuing economic growth rather than redistribution.

He concluded by arguing that restoring fiscal discipline, lifting wages and rebuilding trust in democratic institutions were central to reversing what he described as the country’s current slump.

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