New Zealand First Associate Health Minister Casey Costello has been found in breach of the Public Records Act after providing a “pro-tobacco document” to health officials without knowing its origin. According to Radio New Zealand (RNZ), “Costello cut the tax on heated tobacco products (HTPs) despite health officials saying there was no strong evidence either that they worked as a smoking cessation tool or that they were significantly safer than cigarettes.” The Treasury estimated the HTP tax cut would cost up to NZ$293 million ($175.8 million) if continued until 2029, a forecast that included the impact of the Government collecting less in excise if smokers were encouraged to switch to HTPs.
An inquiry by Chief Archivist Anahera Morehu concluded that neither Costello nor her office maintained accurate records about the “mystery document,” which argued nicotine was no more harmful than caffeine and pushed for tax breaks on heated tobacco products (HTPs). Morehu said the failure undermined government accountability and recommended that the minister’s office improve its record-keeping practices.
Costello repeatedly insisted the notes were a collation of previous NZ First policy positions, handed to her in hard copy shortly after she assumed responsibility for tobacco and vaping policy in December 2023. The document criticized Labour’s smokefree agenda as “ideological nonsense” and urged that smokeless tobacco products be taxed like vapes rather than cigarettes. Costello said she did not know who wrote or delivered the paper, dismissing claims that her approach favored the industry. “It’s ridiculous, and wrong, to continue to try and link this approach to being pro-tobacco,” she said. According to RNZ, the Treasury said the moves benefited Philip Morris, which has a monopoly in New Zealand’s HTP market.


