Cheaper repairs. Fairer fuel prices. More choice. Owning and running a car is more expensive than it should be - Labour will take action.
- Weekly fuel price reporting. The Commerce Commission will report every week on what fuel companies charge and what drivers pay
- Fuel price gouging banned. Fuel companies keeping prices unfairly high can be investigated and made to repay drivers
- Right to repair law for cars. Car makers must give local mechanics access to the information, software and tools they need
- Fairer deal for independent petrol stations, including spare NZTA land considered for new stations and EV chargers
- Secret car finance commissions banned, and 14 days to cancel add-on insurance without penalty
For most New Zealanders, a car is essential. You need it to get to work, do the shopping and get the kids to school. But too many people are paying more than they should to get where they need to go.
When fuel costs fall, the savings don't always reach the pump quickly enough. And car companies can limit your choice of mechanic by withholding the information needed to repair your car.
Kiwis hate being ripped off. Labour has already committed to banning price gouging and cracking down on hidden fees. We'll also tackle unfair fuel prices and give drivers more choice over repairs.
At the pump
Everyone knows what it's like. The price of petrol shoots up, but takes ages to come back down.
International fuel costs go up and down. But we don't see the savings at the pump as quickly as we see the increases - and it happens all the time. A Commerce Commission report found that around 70 to 80% of cost increases are passed on in the first week, but only around 30% of decreases are. Labour will make that harder to get away with.
We'll require the Commerce Commission to report every week on what fuel companies are charging and what we're paying at the pump. When fuel costs fall, we should be able to see whether we're getting the savings.
And because Labour will make price gouging illegal, fuel companies that keep prices unfairly high can be investigated and made to pay the money back.
More competition
Smaller independent petrol stations can help bring prices down. We'll give them a fairer chance to compete by:
- Strengthening rules so smaller retailers get fairer supply contracts
- Cracking down on terms that make it harder for them to switch suppliers or compete on price
- Requiring NZTA to consider whether spare land could be used for independent unmanned petrol stations or EV chargers
The Commerce Commission has found local fuel prices can fall by around 3 cents a litre when an unmanned independent station opens nearby.
At the mechanic
When your car needs fixing, you want to take it to someone you trust and get it sorted without a huge bill.
But even a mechanic you've used for years can be unable to help if the car company won't share the software or repair information they need. You can end up having to go back to the dealer and paying more than you should. You should be able to choose who fixes your car.
Labour will introduce a right to repair law, starting with cars. Car makers will have to give local mechanics access to the information, software and tools they need to do the job. That gives you more places to go for repairs, helps keep costs down and means more work for local mechanics.
The Commerce Commission will be required to make sure car makers follow the rules, so they can't shut local mechanics out or charge them unfair fees for access.
At the car yard
Buying a car is expensive enough without hidden catches. Labour will:
- Ban secret finance commissions that can push up the interest rate you pay
- Give you 14 days to cancel add-on insurance without penalty
- Make sure costs are clearer from the start
The price you pay should be clear from the start.
These protections sit alongside the car-buying rules in Labour's wider Fair Go Law.
Labour will get on with it
These are practical changes to help make everyday life a bit cheaper and easier. They're steps in Labour's wider cost of living plan, which includes cracking down on price gouging and hidden fees, freezing fuel tax, taking on the supermarket giants and cutting household bills.
National promised to fix the cost of living. They made it worse. They've spent too long asking people to wait for things to get better. Labour will get on with it.
Why do fuel prices go up faster than they come down?
A Commerce Commission report found that around 70 to 80% of international fuel cost increases are passed on to drivers within the first week, but only around 30% of cost decreases are passed on in the same timeframe.
How will Labour make fuel pricing fairer?
Labour will require the Commerce Commission to report every week on what fuel companies are charging and what drivers are paying at the pump, so it's clear whether savings from falling international costs are being passed on. Fuel companies that keep prices unfairly high can also be investigated and made to repay customers under Labour's separate Banning Price Gouging policy.
What is Labour's 'Right to Repair' law?
Labour will introduce a right to repair law, starting with cars. Car makers will have to give local mechanics access to the information, software and tools they need to repair vehicles, rather than forcing owners back to the dealer. The Commerce Commission will be required to enforce the rules, so car makers can't shut local mechanics out or charge them unfair fees for access.
How will Labour support independent petrol stations?
Labour will strengthen rules so smaller fuel retailers get fairer supply contracts, crack down on terms that make it harder for them to switch suppliers or compete on price, and require NZTA to consider whether spare land could be used for independent unmanned petrol stations or EV chargers. The Commerce Commission has found local fuel prices can fall by around 3 cents a litre when an unmanned independent station opens nearby.
What changes when I buy a car?
Labour will ban secret finance commissions that can push up the interest rate a buyer pays, give buyers 14 days to cancel add-on insurance without penalty, and make sure costs are clearer from the start.
What other cost of living policies has Labour announced?
A Fair Go For Drivers sits alongside Labour's wider cost of living plan:
- Fairer grocery prices
- Banning price gouging
- The Fair Go Law covering hidden fees and junk insurance (including similar car finance and insurance protections)
- Freezing the fuel tax for three years
- $20 Fare Cap in the major cities, and $10 for the rest of the country
- 3 free GP visits per year for every New Zealander
- Free prescriptions at every pharmacy
- Solar power with no upfront cost
- Cutting 10% off student debt
A fair go for Kiwi drivers.
Better starts now.
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