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New Zealand Prime Minister Chris Hipkins on his way to the Labour Party election rally

Photo: Marty Melville / AFP

New Zealand's Prime Minister Chris Hipkins has conceded defeat to his centre-left coalition in the general election. His Labour Party appears to be "not in a position to form a new government," Hipkins said on Saturday.

Initial projections had already indicated a clear victory for the centre-right alliance of his National Party and its alliance partner ACT, led by Christopher Luxon. For the current ruling Labour Party, the first projections pointed to the worst election defeat ever.

Tax cut promised

In 2020, the Labour Party had won a clear victory under Prime Minister Jacinda Ardern, who took office in 2017. However, Ardern resigned in January and was replaced by her party colleague Chris Hipkins. On the one hand, he does not have Ardern's charisma, on the other hand, he is criticized for the increasingly poor economic development of New Zealand.

During the election campaign, both Hipkins and Luxon had promised to cushion the rise in fuel and food prices and to combat the housing shortage. The conservative opposition leader Luxon wants to cut taxes to this end.

gro / AFP