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The Government looks set to devolve large parts of the delivery of public housing to community housing and other social providers after a\xa0damning report into Ka\u0304inga Ora raised questions about its financial competence, showing it was staring down the barrel of a $700 million annual deficit.\xa0

Prime Minister Christopher Luxon told Mike Hosking that the results of the review were worse than they thought.\xa0

\u201cWe had known from opposition that it was being abysmally managed,\u201d he said.\xa0

\u201cIt is the biggest landlord in the country, a $45 billion enterprise and has a huge responsibility to Kiwis to deliver state housing and it has done a terrible job.\u201d\xa0

Luxon said the responsibility sits with the board and the previous administration, which allowed it to run up $10 billion in debt.\xa0

\u201cIt had no plan to stop it getting to $29 billion in 10 years' time.\u201d\xa0

He said the government is moving quickly to implement some of the report\u2019s recommendations such as refreshing the board and getting a turnaround in place.\xa0

Luxon said he was shocked when the board did not have a statement of financial position.\xa0

\u201cWhen the board doesn\u2019t know to ask for that, that\u2019s a big problem. Clearly, the financial literacy was poor.\u201d\xa0

When asked if the government would use community providers to build state housing, Luxon said organisations like the Salvation Army, Habitat for Humanity, and M\u0101ori and iwi providers can do it at a lower cost.\xa0

\u201cThey also provide better pastoral care in those communities as well,\u201d he said.\xa0

\u201cI\u2019m interested in providing more social housing, whether that comes from state houses via KO or community housing providers - the mix will be determined.\xa0

\u201cUltimately, there is a bigger role to play for community housing providers.\u201d\xa0

Luxon said the government is still waiting for France\u2019s go-ahead before sending an NZDF plane into New Caledonia.\xa0

\u201cWe are waiting for the French authorities to deem that it is safe,\u201d he said.\xa0

\u201cThe roading out to the airport in the past 48 hours has had issues in terms of security and unrest. It has to be safe when we move.\xa0

\u201cAll I can reassure you is we are ready to go. We can deploy NZDF assets, we have also explored other options such as commercial charters. We have been working incredibly well with the Australians.\xa0

Luxon said Foreign Minister Winston Peters is doing a brilliant job at pushing the French system in New Caledonia and Paris.\xa0

When asked whether the French are days away from giving the go-ahead, Luxon said it could well be, but the government, alongside the Australians, are pushing them.\xa0

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