John Key has often baffled his opponents, and even commentators, with his style of leadership. Nothing ever seems to faze him. Critics who would like to write him off as a lightweight tried on a dismissive nickname “Smile & Wave.” But if anyone doubted there’s steel at the core, they have only to look at his decision to lower the boom on the proposed Tuhoe deal. He risked alienating not just Tuhoe, but other iwi, and the Maori Party, and may even have damaged the mana of the Crown’s own negotiators. He had to make it clear even though the Govt wants to settle Treaty grievances by 2014, it won’t be at any price. The Govt has to be careful settlements don’t become so generous they risk new demands from iwi who have already reached settlements, for top-ups.

The Govt is prepared to make fair offers, but if iwi demand more than what is seen to be reasonable, then deals won’t be done. Ministers had already had some experience of how demands can escalate in the discussions on the foreshore and seabed, where progress was being made until two iwi leaders made it plain they wanted entitlements to minerals to be included within “customary” rights.

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Key also asserted his leadership in the proposal to resolve the “leaky homes” issue, which the PM equated to a national natural disaster. Even though the best official advice, and even Court judgements, made it plain the Crown does not have liability, Key insisted the Govt has to be “fair,” accepting a moral responsibility. Despairing homeowners may be convinced they deserve to be fully compensated for repairs to their damaged homes, but then why should the great body of taxpayers shell out to make those homes habitable again? Key’s response the issue is so big it demands Govt leadership contrasted with the previous Govt which refused to contribute anything.

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