As the furore surrounding Ministers' use of taxpayer money for housing allowances escalates, it has come to light that some Ministers are receiving rent from properties they own from fellow MP's, and that the income is from taxpayer funded living allowances. See this from Patrick Gower at the Herald. Housing Minister Phil Heatley and Defence Minister Wayne Mapp both own apartments in Wellington that they are renting out to fellow National MP's Louise Upston and Kanwaljit Singh Bakshi, respectively. The rent paid by both Upston and Bakshi is coming from their NZ$24,000 annual living allowances. Upston reportedly pays NZ$355 a week, or NZ$18,460 a year to Heatley, while Bakshi reportedly pays Mapp NZ$375 a week, or NZ$19,500 a year. Effectively both Ministers are receiving their rental income from New Zealand taxpayers. Both Heatley and Mapp live in other accommodation and receive taxpayer help to live elsewhere than the properties they own in Wellington. Housing Minister Heatley also faces growing calls for tax reforms that would disadvantage landlords.
As well as Heatley and Mapp, Police Minister Judith Collins is reported to be "most likely" renting out her Wellington apartment to a fellow National MP who would be paying with a taxpayer allowance, while Collins lives in other accommodation costing taxpayers NZ$886 a week, the Herald reported. Education Minister Anne Tolley refused to answer questions on whether the Wellington apartment she owns (which is in the same building as Heatley's and Mapp's) is rented to a National party colleague. Tolley lives in accommodation that costs taxpayers NZ$847 a week. Foreign Affairs Minister Murray McCully is renting out the apartment he owns in Wellington, but not to a party colleague, while living in accommodation that costs the taxpayer NZ$494 a week. Trade Minister Tim Groser also rents out his Wellington property, but not to a National MP, while he lives in accommodation that costs taxpayers NZ$343 a week. What do you think? Government Ministers owning rental properties may not be looked upon that badly (hey, they are Kiwis after all), but some are receiving rent for these indirectly from taxpayers because another MP uses taxpayer money to provide extra income for the Ministerial owners of the properties. Can they also remain unbiased during a debate around the legitimacy of being a landlord who benefit from tax breaks or government paid rents.
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