Wikipedia

David Caygill

David Francis Caygill CNZM (born 15 November 1948) is a former New Zealand politician. He was born and raised in Christchurch. He entered politics in 1971 as Christchurch's youngest city councillor at the age of 22.[1] He served as a Member of Parliament (MP) from 1978 to 1996, representing the Labour Party. During the Fourth Labour Government of New Zealand, Caygill was a member of the notorious 'Treasury Troika', championing the widespread deregulation of New Zealand's economy along with Roger Douglas (whom he succeeded as Finance Minister in 1988) and Richard Prebble. Unlike the latter two, who abandoned the Labour Party in order to form ACT New Zealand in 1994, Caygill continued to serve in the shadow cabinets of Helen Clark and Mike Moore, and remains a committed member of the Labour Party to this day.

The Honourable
David Caygill
CNZM
Caygill in 2015
12th Deputy Leader of the Labour Party
In office
1 December 1993 – 11 June 1996
LeaderHelen Clark
Preceded byHelen Clark
Succeeded byMichael Cullen
36th Minister of Finance
In office
14 December 1988 – 2 November 1990
Prime MinisterDavid Lange
Geoffrey Palmer
Mike Moore
Preceded byRoger Douglas
Succeeded byRuth Richardson
28th Minister of Health
In office
24 August 1987 – 30 January 1989
Prime MinisterDavid Lange
Preceded byMichael Bassett
Succeeded byHelen Clark
5th Minister of Trade and Industry
In office
26 July 1984 – 7 September 1988
Prime MinisterDavid Lange
Preceded byHugh Templeton
Succeeded byDavid Butcher
Member of the New Zealand Parliament
for St Albans
In office
25 November 1978 – 12 October 1996
Preceded byRoger Drayton
Succeeded byConstituency abolished
Personal details
BornDavid Francis Caygill
(1948-11-15) 15 November 1948 (age 77)
Christchurch, New Zealand
PartyLabour
Spouse
Eileen Ellen Boyd
​
(after 1974)​
Children4

From 2010 to 2019, he was one of the government-appointed commissioners at Environment Canterbury.

Early life and family

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Caygill was born in Christchurch on 15 November 1948, the son of Gwyneth Mary Caygill (née Harris) and Bruce Allot Caygill.[2][3] He was educated at St Albans Primary School and Christchurch Boys' High School, and then studied at the University of Canterbury, graduating Bachelor of Arts in 1971 and Bachelor of Laws in 1974.[3] In 1971 Caygill was President of the University of Canterbury Students' Association from 1975 to 1978.[4]

In 1974, he married Eileen Ellen Boyd, and the couple went on to have four children.[3] From 1975 to 1978 he practised law with a Christchurch legal firm.[4]

Political career

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Caygill's early political philosophies were aligned with the National Party, which he joined as a schoolboy. He chaired the St Albans branch of the Young Nationals from age 20. His allegiance switched to Labour in part due to its stance against the Vietnam War, which he also opposed.[5][6]

Local-body politics

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Upon the urging of Neville Pickering,[7] Caygill successfully ran for the Christchurch City Council in 1971, and served until 1980.[8] On 29 April 1974, he became the city's youngest ever acting Mayor for a period of five days.[9] He was chair of the council's staff and community services committee.[4]

From 1977 to 1980 he was a member of the Canterbury Regional Planning Authority and was chairman of the Authority's air pollution committee. He was also a council member of Christchurch Polytechnic.[4]

Member of Parliament

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New Zealand Parliament
Years Term Electorate Party
1978–1981 39th St Albans Labour
1981–1984 40th St Albans Labour
1984–1987 41st St Albans Labour
1987–1990 42nd St Albans Labour
1990–1993 43rd St Albans Labour
1993–1996 44th St Albans Labour

Caygill was first elected to Parliament at the 1978 general election as MP for the Christchurch electorate of St Albans. He served for six terms.[10] Caygill was described as one of the most energetic new members elected at the 1978 election. Just under a year later in a reshuffle in October 1979 Caygill was promoted by Labour leader Bill Rowling and given the economic development portfolio.[11]

In March 1981 he had his responsibilities switched and was instead appointed Shadow Minister of Local Government.[12] His duties changed again in February 1982 and he became Shadow Minister of Energy.[13] When David Lange replaced Rowling leader he appointed Caygill as Shadow Minister of Trade and Industry in March 1983.[14]

Lange Ministry (1984–1989)

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When the Fourth Labour Government was formed after the 1984 elections, Caygill aligned himself with Roger Douglas the controversial Minister of Finance. Douglas, Caygill, and Richard Prebble were together dubbed "the Treasury Troika",[15] and were responsible for most of the economic reform undertaken by the Labour government. The "Rogernomics" reforms, which were based on free market economic theory, were unpopular with many traditional Labour supporters. Perceived by most as the most moderate member of the Troika, Caygill managed to avoid the worst of the condemnation directed towards Douglas and Prebble.

He was appointed by the new prime minister, David Lange, as minister of trade and industry, and Minister of National Development, on 26 July 1984.[16]

The government opened up and liberalised the New Zealand economy and Caygill's portfolios were heavily affected. In early 1986 import controls were lifted on 340 products and relaxed on many others, removing the restrictions on the value or quantity of these goods which may be imported.[17] Following the release of a 1987 report from a working group on tariffs, Caygill announced that tariffs on goods not subject to industry plans would be reduced in a five-step programme over four years. New Zealand had been a highly protected economy but transitioned to a lower tariff environment with reduced protectionism.[18] In 1987, after Labour had been re-elected, he was appointed Minister of Health. As health minister he rejected the orthodoxy of the Gibbs report, which sought to create a more competition oriented hospital service.[19] For this, he gained favour among the Labour Party's left-wing[20].

Minister of Finance (1988–1990)

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When Douglas was fired by Prime Minister Lange, Caygill was appointed Minister of Finance in his place. After Lange himself had resigned, Caygill retained his position under both Geoffrey Palmer and Mike Moore, Lange's short-lived successors as prime minister. As finance minister he passed the "inflation busting" Reserve Bank Act.[19] He also became Minister of Revenue, but dropped the health portfolio.[4] His approach to the finance role was less confrontational and radical than his predecessor, with one Labour MP saying "We approve much more of what David Caygill wants than we would have with Roger Douglas, because he doesn’t bully us and tell us the economy's going to fall apart if we don't do it."[21]

Seeking to tackle the sizeable budget deficit while increase spending on social services, Caygill's 1989 budget included various increases to tax rates[22] and reductions in the size of the defence budget. Along with this, it increased spending on various preschool education and social housing programs[23], satiating the Prime Minister's desire to have enacted a "social agenda" as Prime Minister.[24] Spending on health and education was further increased in the 1990 budget, along with a proposed 5-year phase out of tariff protection and a further reduction in defence spending.[25]

When Lange resigned as prime minister in 1989, Caygill ruled out standing for prime minister, saying it was "an appalling job" and that he was enjoying his current role as finance minister.[26]

Caygill was a reluctant supporter of the Government's privatisation programme, particularly selling the Bank of New Zealand. Thinking privatisation a political liability, he remained committed to it believing it necessary to pay back $14 billion of public debt.[21] In his last budget as Minister of Finance in 1990, Caygill lifted the quarantining of rental losses on investment property, allowing an investor to offset losses on their investment property against their other taxable income. Caygill was described as a consummate back-room politician; "Calm, utterly discreet, yet equally forceful, he [Caygill] is said to have people march angrily into his room then leave it an hour later smiling — even if they have lost the argument."[19]

Opposition (1990–1996)

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After the defeat of the Fourth Labour Government in November 1990 Caygill became Shadow Minister of Finance.[27] In December 1991 Caygill was replaced as finance spokesperson by Michael Cullen, who was more progressive in his economic policies. Caygill continued to hold a senior position in the Labour Party and was instead appointed Shadow Minister of Justice and Energy.[28]

After Labour's narrow defeat at the 1993 election, Helen Clark won the leadership of the party. At the same time Caygill replaced her as deputy leader defeating Cullen by the narrow margin of 23 votes to 21.[29] He cited Sir Geoffrey Palmer as a role model for his deputy leadership.[19] Under Clark he was Deputy Leader of the Opposition as well as Shadow Attorney-General.[30]

Following Clark's ascension to the party leadership, Labour felt obligated to clarify its basic position on New Zealands' political spectrum in the post-Rogernomics era. Although the economic reforms of the Fourth Labour government were largely unpopular with the party's membership, many moderates in the Labour caucus felt uneasy about the party completely dissociating itself with Rogernomics. In this context Caygill's appointment as Deputy Leader worked to reassure moderates that a Clark premiership would not entail a radical shift to the left.[31] Nevertheless, almost all members of the party's parliamentary caucus wanted Labour to be a centre-left party, with the exceptions of former leader Mike Moore who openly maintained that the party should be positioned at the centre and not the centre-left[32] and Peter Dunne, who rejected any increases to taxation or social spending and eagerly self-identified as centre-right.[33]

Clark rejected Moore's assertion that Labour should position itself as anything other than a social democratic alternative to the Nationals, on the grounds that a Centre Party would be incapable of holding anything other than the balance of power for one party or another and could not win government as a result. Caygill reiterated this in 1993 stating that "the fruits of a stronger economy cannot be allowed to fall simply where the implacable market determines or New Zealand will become a very unpleasant and un-New Zealand place to be".[34]

In June 1995 after Labour MP Margaret Austin defected from Labour to form a new party, United New Zealand, Caygill replaced her as Shadow Minister of Education.[35] He supported Clark during an attempt to oust her as leader in favour of frontbencher Phil Goff in the lead up to the 1996 election.[36]

Over the course of the parliamentary term Caygill had been privately contemplating retiring from politics. On 7 June he informed Clark that he had decided to stand down at the election. Caygill announced his retirement on 11 June 1996 to a surprised caucus, after which Cullen was elected as his successor as deputy leader unopposed. He said there had been no pressure on him to quit but hoped it would provide the "circuit-breaker" to Labour's troubles.[37][38] At the 1996 election, Caygill retired from Parliament. In an interview that year, Caygill described his own ideology in saying "you don't want a strong economy for the sake of the kudos that the country might get, though there are some benefits in that. You want it because of the advantage that a strong economy can confer in terms of not just higher living standards but more equal living standards. There is, in my view, a distributive responsibility in government."[39]

Life after politics

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Caygill speaking to dignitaries on Waitangi Day 2013 at the Okains Bay Museum

After leaving politics, Caygill returned to his original occupation, law. For some time, he was a partner at Buddle Findlay, a prominent law firm. He also worked for a number of government bodies, and was chair of the Accident Compensation Corporation.[40] He chaired a ministerial inquiry into the New Zealand electricity market in 2000, and was appointed chairman of the Electricity Commission in 2007. He is a board member of the Energy Efficiency and Conservation Authority. He is the chair of the Education New Zealand Trust.[10]

From 2010 to 2019, Caygill was one of the commissioners at Environment Canterbury appointed by the National Government. He held the role of deputy chair.[10] Caygill was appointed, in December 2010, as the Chair of the 2011 NZ ETS Review Panel.[41]

Honours and awards

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In 1990, Caygill was awarded the New Zealand 1990 Commemoration Medal.[3] In the 1997 New Year Honours, he was appointed a Companion of the New Zealand Order of Merit, for public services.[42] He was conferred an honorary Doctor of Commerce degree by Victoria University of Wellington in 2004.[43]

Notes

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  1. ↑ McCrone, John (12 March 2016). "The rational approach: meeting David Caygill". Stuff. Retrieved 14 June 2018.
  2. ↑ Temple, Philip (1994). Temple's Guide to the 44th New Zealand Parliament. Dunedin: McIndoe. p. 58. ISBN 0-86868-159-8.
  3. 1 2 3 4 Taylor, Alister; Coddington, Deborah (1994). Honoured by the Queen – New Zealand. Auckland: New Zealand Who's Who Aotearoa. p. 94. ISBN 0-908578-34-2.
  4. 1 2 3 4 5 Who's Who 1993, p. 23.
  5. ↑ John McCrone (12 March 2016). "The rational approach: meeting David Caygill". The Press. Retrieved 29 January 2017.
  6. ↑ "Caygill once Young National". The Press. 15 December 1988. p. 3. Retrieved 24 September 2025.
  7. ↑ Coates, Ken (3 April 1971). "Young man with ambition". The Press. Papers Past.
  8. ↑ "Councillors of the City of Christchurch". Christchurch: Christchurch City Council. Archived from the original on 20 July 2011. Retrieved 17 August 2010.
  9. ↑ Christchurch Chronology (2nd ed.). Christchurch: Christchurch City Council. 1990. p. 55. Retrieved 15 June 2019.
  10. 1 2 3 "About the Commissioners". Environment Canterbury. Archived from the original on 10 June 2015. Retrieved 17 August 2010.
  11. ↑ "Caygill goes up Labour ladder". Auckland Star. 24 October 1979. p. 10.
  12. ↑ "Labour's shadow line-up". The Evening Post. 13 March 1981. p. 4.
  13. ↑ "How They Line-up". The New Zealand Herald. 20 February 1982. p. 3.
  14. ↑ "Labour leader allocates responsibilities". The Press. 17 March 1983. p. 3.
  15. ↑ Bassett 2008, pp. 108, 279.
  16. ↑ Wilson 1985, p. 97.
  17. ↑ "Import controls to be lifted on 340 products". The Press. 25 January 1986. p. 8.
  18. ↑ "Tariff reduction". The Press. 18 December 1987. p. 3.
  19. 1 2 3 4 Armstrong, John (2 December 1993). "Back-room chameleon". The New Zealand Herald. p. 2.
  20. ↑ Followers and leadership durability: An analysis of leadership support in the New Zealand Labour Party: 1990-1996
  21. 1 2 Smellie, Pattrick (24 June 1989). "Trying to keep the picture hanging straight". The Press. p. 22.
  22. ↑ https://www.rbnz.govt.nz/-/media/8ae7d5450ab74cdf9e0bd1a62d6057c4.ashx
  23. ↑ https://web.archive.org/web/20160310152816/http://www.spear.govt.nz/documents/publications/significant-policy-events-report.pdf
  24. ↑ https://www.youtube.com/watch?v=SoecTV8EUtw
  25. ↑ https://www.rbnz.govt.nz/-/media/b3bd87365f9949b0862f7304a7366cff.ashx
  26. ↑ Smellie, Patrick (8 August 1989). "Caygill not a contender". The Press. p. 1.
  27. ↑ "All Labour's 29 MPs get areas of responsibility". Otago Daily Times. 28 November 1990. p. 4.
  28. ↑ "Labour line-up". The New Zealand Herald. 6 December 1991. p. 5.
  29. ↑ Herbert, Patricia (2 December 1993). "Clark moves to heal battle scars". The New Zealand Herald. p. 1.
  30. ↑ "The Labour Shadow Cabinet". The Dominion. 14 December 1993. p. 2.
  31. ↑ Followers and leadership durability: An analysis of leadership support in the New Zealand Labour Party: 1990-1996
  32. ↑ Followers and leadership durability: An analysis of leadership support in the New Zealand Labour Party: 1990-1996
  33. ↑ Followers and leadership durability: An analysis of leadership support in the New Zealand Labour Party: 1990-1996
  34. ↑ Followers and leadership durability: An analysis of leadership support in the New Zealand Labour Party: 1990-1996
  35. ↑ "Party launch elevates King". The Evening Post. 29 June 1995. p. 1.
  36. ↑ Quin, Phil (2 April 2011). "Phil Quin: The anatomy of a failed Labour coup". The New Zealand Herald. Retrieved 15 May 2016.
  37. ↑ Kirk, Jeremy (12 June 1996). "Clark secure as rebels pledge fealty; Cullen picked as Caygill quits". The Press.
  38. ↑ Boyd, Sarah (12 June 1996). "Late twist leaves Moore out in the cold". The Evening Post. p. 2.
  39. ↑ https://www.ngataonga.org.nz/search-use-collection/search/TZP170943/
  40. ↑ Bassett 2008, p. 540.
  41. ↑ "NZ ETS Review Panel Biographies". New Zealand Government. Archived from the original on 13 January 2015. Retrieved 3 December 2014.
  42. ↑ "New Year honours list 1997". Department of the Prime Minister and Cabinet. 31 December 1996. Retrieved 26 June 2019.
  43. ↑ "Honorary graduates and Hunter fellowships". Victoria University of Wellington. Retrieved 26 June 2019.

References

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  • Who's Who in the New Zealand Parliament 1993. Wellington: Parliamentary Service. 1993.
  • Bassett, Michael (2008). Working with David: Inside the Lange Cabinet. Auckland: Hodder Moa. ISBN 978-1-86971-094-1.
  • Wilson, Jim (1985) [First ed. published 1913]. New Zealand Parliamentary Record, 1840–1984 (4th ed.). Wellington: V.R. Ward, Govt. Printer. OCLC 154283103.
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