Hosting the 2027 Pacific Islands Forum — Cabinet approval and cost
Treasury papers released in September 2026 show Foreign Minister Winston Peters offered to have New Zealand host the 2027 Pacific Islands Forum before Cabinet had signed the commitment off. Peters made the offer to Pacific counterparts at a Forum foreign ministers' meeting in August 2025; the formal announcement followed in September 2025, and Budget 2026 set aside $20 million for the summit.
What Treasury said
In March 2026 advice to Finance Minister Nicola Willis, Treasury recommended against the full $30 million sought, writing that "Cabinet approval was not sought before announcement of the hosting arrangement" and that this made it difficult to assess how the bid lined up with the Government's wider goals. Treasury also said the "value for money of the bid is not clear", and proposed $10 million — roughly the inflation-adjusted cost of the last time New Zealand hosted, in 2011. Ministers settled on $20 million by May 2026.
Peters' response
Peters told RNZ Pacific he was under no obligation to consult Cabinet before making an offer, since there was no way to know whether Forum members would accept it: "You don't know whether or not [PIF] are going to be taking up your offer. So, what would you discuss with Cabinet, unless the Forum first agrees?" He said he gave Prime Minister Christopher Luxon a mid-year heads-up, and dismissed the advice with "Treasury can write what it likes." His office said the Forum has expanded significantly in scope over the past 15 years, which bears on the cost comparison with 2011.
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Key milestones
Treasury: Cabinet was not asked before the offer was made
Treasury advice to Finance Minister Nicola Willis, released this month, recorded that Cabinet approval was not sought before the hosting arrangement was announced. Treasury said that made it hard to judge how the bid fitted the Government's wider objectives, and that the value for money of the bid was not clear. It recommended $10 million rather than the $30 million proposed; ministers landed on $20 million in Budget 2026.
Peters: "Treasury can write what it likes"
Winston Peters rejected the criticism, telling RNZ Pacific he had no obligation to consult Cabinet before offering, because there was no way to know whether Forum members would accept. He said he had given Christopher Luxon a mid-year heads-up in 2025 and that every Cabinet minister should have understood the position even if they were not told. His office said the Forum has grown substantially in scope over the past 15 years, which affects any comparison with the cost of New Zealand's 2011 hosting.
Sources
- Peters committed to host PIF without Cabinet approval – Treasury (1News) ↗
- 'Treasury can write what it likes': Winston Peters defends Pacific Islands Forum hosting decision (RNZ) ↗