An unexpected (and overdue) helping hand for the media
And why the Fair Digital News Bargaining Bill has split the coalition.
Mōrena, and welcome to The Bulletin for Wednesday, July 3.
In today’s edition: Do we need regulations for MPs on social media, has inflation been “beaten”, and how would you feel about AI being used for school tutoring or to assess mammogram results? But first, a long-awaited lifeline for the media is on the way.
A surprise announcement
Relief for the media is on the horizon, with news yesterday morning that the government will support the previous administration’s Fair Digital News Bargaining Bill – with some tweaks. It’s a significant U-turn on National’s previous views on the proposed legislation, as The Spinoff’s Duncan Greive explores today, though it does come with some complications for the government.
Act has confirmed it will not be supporting the bill, invoking the “agree to disagree” provision of the coalition agreement – the second time in a week this has been used, though the last was by New Zealand First. It’s also something of a surprise announcement – there was no mention of the media in the government’s quarterly action plan unveiled on Monday evening.
What’s all this?
You wouldn’t be alone if you’re a bit confused about what the bill is given its slightly ambiguous name. Greive's piece this morning explains the lowdown on the bill, but, in short, it would help media companies make money off the fact that online tech giants like Facebook profit from sharing news content. It stems from a landmark 2021 law in Australia, but it took until late last year for our Labour government to introduce its version, with little movement before the October election. At that time, National was staunchly against it. By the time it made it through the select committee earlier this year, it seemed like it could be dead on arrival – National remained ambivalent, Act was against it and the select committee (initially) appeared to have recommended against passing it, as Newsroom’s Tim Murphy reported at the time.
Goldsmith announced that other changes to support media were in the pipeline, too. The Herald’s Shayne Currie reported that Shortland Street could be one major programme to benefit from a proposed tweak to the screen rebate scheme that would allow support for shows with “strong industry and cultural value”. The soap opera has been under review as part of cost cutting measures. Advertising restrictions for Sundays and public holidays will also be ditched. All of these “short-term measures” will be in place by the end of this year, said Goldsmith.
The minister that could
Paul Goldsmith has only been media minister for a couple of months, but in making yesterday’s announcement he has done what his predecessor – Melissa Lee – failed to do. Lee had been National’s media spokesperson for several years but lasted less than six months as a minister, turfed out of the portfolio and cabinet entirely. As media outlets started to crumble, Lee’s public comments made her seem out of touch with the industry she was advocating for.
Nevertheless, it’s not entirely surprising the government has come around to the Fair Digital News Bargaining Bill in some form. Back in February, as Newsroom reported, Lee acknowledged tech companies should pay for news content and blamed the select committee process for a delay in action being taken. “I think there are a lot of things missing from [the bill]. I have always said, if the platforms are actually monetising from the use of news, they should pay for it.” That already marked a significant shift from before the election. In May last year, reported BusinessDesk’s Daniel Dunkley, Lee compared the proposal to a new tax on big businesses. “I don’t believe it is the government’s role to dictate how the media should operate,” she said. A lot happened over the past year that may have prompted this change of heart, most prominent being confirmation that Newshub would be pulled off the air in July. This recap of the 14 months to February in media news makes for sober reading.
The timeliness of the announcement can’t be overstated. Newshub will air its final programme on Friday night, TVNZ continues to face questions about its profitability, and just yesterday, Te Ao Māori News reported Whakaata Māori was facing potential cuts as it undergoes a review of its organisational structure. Whether this bill could have saved the jobs already lost in the media industry is unknown, though Greive argues it could “build a sustainability for local news media” going forward.
Coalition squabbles
National’s endorsement is good news for the bill, but it won’t be enough. Act’s David Seymour, in a statement reported here by RNZ, said the proposed legislation wouldn’t help the media and has confirmed his party won’t support it. It’s less than a week after New Zealand First also raised objections to a government proposal, similarly invoking the “agree to disagree” provision, as we covered in The Bulletin on Thursday. As Newsroom Pro’s Laura Walters looks at today (paywalled), this might not be the last time the coalition partners squabble in public over policy. The bill’s future relies on support from any of the three opposition parties. Even Te Pāti Māori’s six votes would be enough to see it pass, RNZ noted. Labour’s Willie Jackson told reporters he would take time to look at the government’s amendments, but supported the intent of the bill.
The bill has also been well-received within the media industry, noted Currie at the Herald, with the News Publishers’ Association saying it was confident the legislation would lead to additional revenue. Earlier this year, The Spinoff canvassed media bosses on a range of topics, with the likes of TVNZ’s Jodi O’Donnell in favour of the bill. Meta, one of the tech companies in the spotlight, has been less favourable, reported Newshub. The company has a track record of discontent with laws like this – previously shutting news content off Facebook feeds in Canada and Australia just to make a point.
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Business confidence shaky, economists claim inflation has been ‘beaten’
A survey of businesses released yesterday shows strong opinion the Reserve Bank should move to cut interest rates before the end of the year, at least according to some economists, reports Interest’s Dan Brunskill. Business confidence remains fragile and the central bank has signalled it won’t shift the official cash rate down until next year, even warning hikes could still be possible. As Brunskill reported, BNZ’s head of research Stephen Toplis said the business survey showed inflation had been “beaten” and screamed “cut rates sooner rather than later”. Kiwibank agreed, saying cuts should be carried out this year in order to stave off long term economic damage.
The Post’s Luke Malpass reports on the “grim” findings from the survey this morning, noting a net 35% of firms expect a deterioration in general economic conditions, while 28% reported a weakening in their own businesses. As he summarised: “consumers are putting their wallets away, whacking revenues and profitability”. It’s now a game of wait and see, with all eyes on Adrian Orr.
Do we need guidelines for how MPs interact with young people online?
A parent has called for regulations or guidelines for how politicians interact with young people after learning David Seymour once replied to Snapchat messages from her then-teenage daughter, reported Newshub’s Perry Wilton. It’s the second story in recent weeks focusing on historic contact between Seymour and school-age children on social media – though it must be stressed that those speaking out do not claim the messages themselves were inappropriate. Putting to one side the issue of Seymour and Snapchat, I’m more interested in the idea of rules specifying how politicians should communicate with young people. A former student that spoke to Newshub said: “Having an adult have such free access to so many students is… don't like it all. Regardless of what they talked about."
But Seymour told Newshub: “School kids come up to me and ask for selfies, I think it would be a terrible thing if New Zealand got to the stage where I had to say 'no sorry – you don't have permission from your parents'." Do you think he has a point? Let me know in the comments.
‘There’s those of us who come to do a gig, [and] there’s those of us who come to do the work.’
Award-winning director and actor Anapela Polataivao ONZM takes us behind the scenes of the theatrical adaptation of Red White and Brass, in our as-told-to series made in partnership with Creative New Zealand.
Click and Collect
Finance minister Nicola Willis isn’t receptive to calls for the establishment of an independent unit to check Treasury’s forecasts and ensure government spending is sustainable, reports the Herald’s Jenée Tibshraeny (paywalled).
How would you feel about AI being used for school tutoring or to assess mammogram results? RNZ’s Guyon Espiner speaks to digitising government minister Judith Collins (who bravely confesses to using ChatGPT to help write speeches) about her views on the technology.
I enjoyed this NZ Doctor piece looking at Shortland Street’s first “xenotransplantation” – that’s when living cells, tissues or organs are taken from one species and given to another, such as a heart from a pig to a human.
The government’s moved to scrap unlimited free driver license test re-sits in a bid to reduce wait times, but the opposition says it will "put pressure on tight budgets" as around half of drivers typically need to re-sit.
The Spinoff’s Toby Manhire presents a view from the Philippines on heightened disputes in the South China Sea and risks of the country getting caught up in a great powers battle. There’s a bonus Gone by Lunchtime on this, too!
Tara Ward presents the first Traitors NZ power rankings. Gabi Lardies lists some reasons your landlord could evict you if a new bill passes. Alex Casey investigates who told Lorde she walked like a bitch when she was 10. Jennifer Shields argues that rainbow communities need protecting - and police are failing them. For The Cost of Being, a cheese-loving chicken owner in her early 30s breaks down her expenses.
Capital picks, with Joel MacManus
Our Wellington editor shares his reading list for the week.
A Super City-style amalgamation is picking up steam. It's something that has been mulled for years in Wellington and is quite popular with the surrounding district councils, though Wellington mayor Tory Whanau is still a little hesitant.
An alarming regional report shows 4,690 buildings are deemed “at risk” of coastal flooding impacts and coastal storm events — predominantly in Petone.
WCC passed its long term plan in a highly contentious and emotionally charged meeting. The vote locks in the council's plan to sell its airport shares – which one councillor claimed would be the mayor’s "political obituary"
That’s it for The Bulletin today, thanks for reading. I’ll be back tomorrow.
Let me know in the comments, or get in touch with me at thebulletin@thespinoff.co.nz, if you have any feedback on today’s issue or anything in the news.
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Given that political parties on both sides of the house seem to have covered up abuse, it seems to me that there should at least be guidelines on politicians interacting with young people, especially in private.
Seymour is wrong.
Seymour is wrong in every way.
Seymour is wrong to engage in communication with minors.