The UK and its NATO allies have agreed to increase spending on defence and related areas to 5 percent of GDP by 2035. 

Ambassadors of all 32 alliance member states signed off on the new spending pledge ahead of a major summit of leaders.

UK correspondent Gavin Grey explains further.

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The UK and its NATO allies have agreed to increase spending on defence and related areas to 5 percent of GDP by 2035.&nbsp;
Ambassadors of all 32 alliance member states signed off on the new spending pledge ahead of a major summit of leaders.
UK correspondent Gavin Grey explains further.
LISTEN ABOVE

With a straight down the middle approach, Heather du Plessis-Allan Drive on Newstalk ZB delivers the very latest news and views to New Zealanders as they wrap up their day.

Heather du Plessis-Allan Drive

Gavin Grey: UK correspondent on the UK boosting defence spending

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/c0db2a3d-fb65-47fd-b4fe-b305008b19e2/transcript

The Government is copping heat today for cancelling the EV subsidy a couple of years ago. Critics now say it looks like a mistake, because oil prices are rising and, as a result, petrol prices are rising too.

They argue that, of course, we’d all be better off in electric vehicles - which we supposedly would have been if the Government hadn’t cancelled the subsidy at the end of 2023.

Now let me tell you why it was not a mistake to cancel it, why what’s happening right now actually proves that, and why the lovies saying this are wrong.

What’s important in this argument is being specific about who would have owned those electric vehicles if the Tesla subsidy had continued.

It wouldn’t have been workers living all the way out in Pōkeno, driving into the city, it wouldn’t have been people out in Silverstream commuting into Wellington, it wouldn’t have been solo mums trying to make ends meet - they can’t afford new EVs.

It would have been well-heeled people living in central-city leafy suburbs, getting eight grand knocked off the price of their nice new cars. Those are not the people who need help when fuel prices shoot up.

So if we were going to do something like this - if we were going to repeat some form of Government help - wouldn’t it be far more useful to take the $620 million that helped nice people into their nice cars and instead redirect it toward people who are poorer?

The proof that we didn’t need that subsidy up to this point is in what’s happening right now. I told you earlier: BYD sold 80 cars in New Zealand on Saturday alone. They sold 800 cars in Australia on the same day. That is happening in New Zealand without the subsidy.

Which tells you this - when rich people decide they want themselves a nice EV, they will go and buy it without Government help. They don’t need it.

They just have to want EVs - and they didn’t want them before because it didn’t stack up until fuel prices went up.

Now look, I do think there’s a place for Government help in this crisis if it gets worse. But it’s not to help rich people buy new cars.

It’s for poorer people - the people who will actually be stung by rising petrol prices if they keep going up. So no, it was not a mistake to cut the subsidy.

Eighty BYDs sold in New Zealand on Saturday is your proof.

LISTEN ABOVE

The Government is copping heat today for cancelling the EV subsidy a couple of years ago. Critics now say it looks like a mistake, because oil prices are rising and, as a result, petrol prices are rising too.
They argue that, of course, we’d all be better off in electric vehicles - which we supposedly would have been if the Government hadn’t cancelled the subsidy at the end of 2023.
Now let me tell you why it was not a mistake to cancel it, why what’s happening right now actually proves that, and why the lovies saying this are wrong.
What’s important in this argument is being specific about who would have owned those electric vehicles if the Tesla subsidy had continued.
It wouldn’t have been workers living all the way out in Pōkeno, driving into the city, it wouldn’t have been people out in Silverstream commuting into Wellington, it wouldn’t have been solo mums trying to make ends meet - they can’t afford new EVs.
It would have been well-heeled people living in central-city leafy suburbs, getting eight grand knocked off the price of their nice new cars. Those are not the people who need help when fuel prices shoot up.
So if we were going to do something like this - if we were going to repeat some form of Government help - wouldn’t it be far more useful to take the $620 million that helped nice people into their nice cars and instead redirect it toward people who are poorer?
The proof that we didn’t need that subsidy up to this point is in what’s happening right now.&nbsp;I told you earlier: BYD sold 80 cars in New Zealand on Saturday alone. They sold 800 cars in Australia on the same day. That is happening in New Zealand without the subsidy.
Which tells you this - when rich people decide they want themselves a nice EV, they will go and buy it without Government help. They don’t need it.
They just have to want EVs - and they didn’t want them before because it didn’t stack up until fuel prices went up.
Now look, I do think there’s a place for Government help in this crisis if it gets worse. But it’s not to help rich people buy new cars.
It’s for poorer people - the people who will actually be stung by rising petrol prices if they keep going up.&nbsp;So no, it was not a mistake to cut the subsidy.
Eighty BYDs sold in New Zealand on Saturday is your proof.
LISTEN ABOVE

Perspective with Heather du Plessis-Allan: It wasn't a mistake to cancel the EV subsidy

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/03700b53-98dc-4e01-a028-b40f007a00e0/transcript

Sir Keir Starmer has refused to send warships to help reopen the Strait of Hormuz amid ongoing concerns.

US President Donald Trump has reportedly called for reinforcements to keep an eye on the waterway after the Middle East conflict led to a spike in oil prices. 

UK correspondent Gavin Grey says Starmer isn't offering to help police the area, but Donald Trump has spoken to other world leaders about the matter.

LISTEN ABOVE

Sir Keir Starmer has refused to send warships to help reopen the Strait of Hormuz amid ongoing concerns.
US President Donald Trump has reportedly called for reinforcements to keep an eye on the waterway after the Middle East conflict led to a spike in oil prices.&nbsp;
UK correspondent Gavin Grey says Starmer isn't offering to help police the area, but Donald Trump has spoken to other world leaders about the matter.
LISTEN ABOVE

Gavin Grey: UK correspondent on Starmer refusing to send warships to Strait of Hormuz

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/8a632964-4ec2-4ad4-9121-b40f00772989/transcript

On the Heather du Plessis-Allan Drive Full Show Podcast for Monday, 16 March, 2026, we talk to the Retail NZ chief executive about an increase in card spending - will it last?

The boss of Freightways says people are getting a bit 'hysterical' about petrol price rises.

We talk to an entertainment reporter in the US about this year's big Oscar winners.

And on The Huddle, Josie Pagani and Phil O'Reilly on whether Nicola Willis' 1pm press conference brought back any unfortunate memories. 

Get the Heather du Plessis-Allan Drive Full Show Podcast every weekday evening on iHeartRadio, or wherever you get your podcasts.

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On the Heather du Plessis-Allan Drive Full Show Podcast for Monday, 16 March, 2026, <a href="https://www.newstalkzb.co.nz/on-air/heather-du-plessis-allan-drive/audio/carolyn-young-retail-nz-ceo-on-retail-spending-trending-upward-before-iran-conflict/">we talk to the Retail NZ chief executive about an increase in card spending - will it last?</a>
The boss of Freightways <a href="https://www.newstalkzb.co.nz/on-air/heather-du-plessis-allan-drive/audio/mark-troughear-freightways-ceo-on-the-impacts-of-the-middle-east-crisis-and-fuel-prices/">says people are getting a bit 'hysterical' about petrol price rises.</a>
We talk to an entertainment reporter <a href="https://www.newstalkzb.co.nz/on-air/heather-du-plessis-allan-drive/audio/sean-mandell-people-magazine-senior-reporter-recaps-the-2026-oscars/">in the US about this year's big Oscar winners.</a>
And on The Huddle,<a href="https://www.newstalkzb.co.nz/on-air/heather-du-plessis-allan-drive/audio/the-huddle-is-the-government-doing-the-right-thing/"> Josie Pagani and Phil O'Reilly on whether Nicola Willis' 1pm press conference brought back any unfortunate memories.&nbsp;</a>
Get the Heather du Plessis-Allan Drive Full Show Podcast every weekday evening on iHeartRadio, or wherever you get your podcasts.
LISTEN ABOVE

Full Show Podcast: 16 March 2026 

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/94f09766-755f-49d1-8845-b40f006e6953/transcript

Gavin Grey: UK correspondent on the UK boosting defence spending

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