New Zealand PM Luxon wins second confidence vote, faces election test

New Zealand Prime Minister Christopher Luxon has survived a vote of confidence from his ruling National Party caucus, just months before the general election scheduled for November. The meeting, held urgently on Wednesday, came amid rising speculation about his leadership and lasted more than three hours.

Speaking to reporters after the meeting, Luxon said he had the "full support" of his caucus. "Our caucus is united, and it is determined to win this election," he asserted, pushing back against growing doubts within political circles.

This was the second leadership challenge Luxon has faced in four months. His support, and that of his party, has remained weak due to sluggish economic growth and a series of perceived missteps by the leader.

Last week, Luxon drew criticism after suggesting, on live radio, the possibility of a referendum on the country's electoral system without prior consultation with his party colleagues. Earlier this month, he angered New Zealand's business community during a speech in which he called on small business owners to "be adult," stating that businesses had a "parent-child mentality" with the government and relied too often on handouts. He later apologised and acknowledged that many were going through difficult times.

Luxon, a former Air New Zealand chief executive, led his centre-right party to victory in the 2023 elections on a promise to lower the cost of living and reduce taxes. "My pledge to you is that our government will deliver for every New Zealander," he said at the time.

However, his party has suffered in opinion polls in recent months as the economy continues to stall. Unemployment has risen to an 11-year high of 5.6%. A 1News Verian poll published on Wednesday morning showed Luxon's preferred prime minister rating sliding to 17% – a new low during his tenure – though he remains ahead of all other candidates listed in the survey.

New Zealand will hold its next general election on 7 November. The leadership vote is seen as a crucial test for Luxon, who now must rally his party and voters as he heads into a challenging election campaign.