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Labour rules out ‘ute tax’

Leader dismisses suggestions it will reintroduce policy that hits high-emissions vehicles with fees.
Posted on 18 August, 2026
Labour rules out ‘ute tax’

Labour leader Chris Hipkins has ruled out bringing back the clean car discount (CCD) if his party is in power after the general election in November.

He clarified the party’s stance after senior National Party figures suggested Labour will revive the so-called ute tax and introduce a new tax on streaming companies such as Netflix.

Hipkins, pictured, answered “no” when asked by media on August 17 if Labour was planning to bring in those policies.

He accused National of “desperation” in its election campaign but said, “that doesn’t mean [they] can make up policy on behalf of the Labour Party”.

The CCD, which ended on December 31, 2023, applied to light vehicles and was colloquially known as the ute tax because it placed fees on high-emissions vehicles when first registered in New Zealand. It also provided rebates on low and zero-emissions cars. 

Labour has previously said the only tax it will implement if successful in forming a Government is its proposed Capital Gains Tax, reports the Herald.

Nicola Willis, National finance spokeswoman, issued a press release on August 16 claiming Michael Wood, a Labour candidate and former Minister of Transport, “wants to bring back his unpopular ute tax”.

Her comments were followed the next day by a statement from National’s Simeon Brown, who also previously held the transport portfolio. 

He said if Hipkins didn’t rule out the prospect of ute and streaming taxes then “New Zealanders can only assume Labour will be campaigning on them”, reports the Herald.