National's wasteful spending on private prisons

The Government is wasting valuable taxpayer dollars on funding more private prisons based on outdated numbers and forecasts, says Labour’s Justice Spokesperson Charles Chauvel.

“National is ploughing ahead with an ideologically-driven belief that somehow private prisons are better than facilities run by the State. This attitude will cost New Zealanders dearly.

“Using the Official Information Act, I’ve obtained documents showing that the business case for the Wiri prison is based on outdated prison population forecasts.  It calls for 2,065 new prison beds by 2020 for an assumed prison population of 10,306.  The problem is that the latest 2020 prison population forecast is only 8165 - 2141 fewer beds than the business case assumes.  Yet the Government plans to lock New Zealand into a $900 million, 30-year contract for the private sector to build and operate 900 new prison beds.

“More prison capacity may well be needed in the Auckland area.  But prioritising the refurbishment of Auckland Prison at Paremoremo, which has run-down units lying empty at the moment, would be a better use of scarce public funds.  Ultimately, so would adding more general capacity at the site of the two custodial facilities that already exist at Wiri.

“There is simply no reason that any such additional capacity should not be publicly-owned and operated.  By insisting on Wiri being built and operated privately, the Government is ignoring the fact that there is no evidence that private prisons are operated more effectively and efficiently than public prisons.

“In fact, Serco has failed to meet 40% of its existing targets at the Mt Eden Corrections Facility and its fines for breaches of existing contractural obligations will also soon reach $400,000.

“This shows that National’s obsession with privatisation simply doesn’t stack up,” says Charles Chauvel.