First term: 2008–2011 Key became prime minister following the
general election on 8 November 2008, which signalled an end to the
Labour-led government of nine years under Clark. The National Party won 45% of the party vote and 58 of the 122 seats in Parliament, overtaking the incumbent majority Labour Party. National negotiated with smaller parties to form a
minority government with
confidence and supply from the classical-liberal
ACT Party, the centrist
United Future and the indigenous-rights-based
Māori Party. Key was sworn in as Prime Minister and
Minister of Tourism and also appointed as a member of the
Executive Council on 19 November 2008, along with his nominated cabinet. He chose
Bill English as his
Deputy Prime Minister and
Minister of Finance. During his first term in office National remained high in the polls and one commentator described support for Key as "stratospheric". In 2011 he was nicknamed "
Teflon John" in the popular media, as nothing damaging to his reputation seemed to "stick" to him. Key's government introduced several bold economic policies in response to the
global economic downturn that began shortly after he took office. The government introduced a plan of personal tax cuts, reducing taxes on all income; the top personal tax rate was lowered from 39% to 38% and then 33%. In its
first budget the government raised the rate of
Goods and Services Tax (GST) from 12.5% to 15%, despite Key previously stating that an increase would not happen under a National government. Key's government also enacted several
austerity measures. Later that year, when arriving at the
Ngāpuhi Te Tii Waitangi Marae the day before
Waitangi Day, Key was briefly shoved and grabbed by two protesters before diplomatic protection officers pulled them off. He told reporters he was "quite shocked" but continued onto the
marae and spoke, while police took the two men away and charged them with assault. Key was tied with the
National Cycleway Project since its conception at the national Job Summit in early 2009. He proposed it, and as Minister for Tourism, was instrumental in getting NZ$50 million approved for initial construction work. in New York, 23 September 2009. Key launched New Zealand's campaign for a
Security Council seat at the
UN General Assembly meeting in September 2009. He met briefly with US President
Barack Obama and former US President
Bill Clinton. While in
New York City, Key appeared on the
Late Show with David Letterman. He read out the Top Ten list, 'Top Ten Reasons You Should Visit New Zealand'. In foreign policy, Key supported closer relations with the United States, an
ANZUS defence partner. On 4 November 2010,
US Secretary of State Hillary Clinton and
New Zealand Foreign Minister Murray McCully signed the
Wellington Declaration. The agreement signalled an increase in the strategic partnership between the two nations and covered areas of co-operation including
nuclear proliferation, climate change and terrorism. This was followed in June 2012 by a companion document, the Washington Declaration. Since 2008 Key has also engaged in
Trans-Pacific Partnership negotiations with the United States and other
Asia-Pacific economies. On 22 February 2011 a 6.3 magnitude
earthquake struck Christchurch, causing widespread damage to the city region and significantly affecting the national economy. It was New Zealand's
third deadliest natural disaster, killing 185 people. Addressing the nation, Key said that the disaster "...may well be New Zealand's darkest day". On 29 March 2011, Key created the
Canterbury Earthquake Recovery Authority (CERA) to manage the earthquake recovery, co-operating with the government, local councils and residents. On 8 March 2011, John Key advised
Queen Elizabeth II,
Queen of New Zealand to appoint
Jerry Mateparae as the next
Governor-General of New Zealand. The Queen made the appointment later that day. In October 2011, Key was caught up in a controversy over the replacement of 34 three-year-old
Government BMW limousines with new ones at a time of economic restraint. Initially, Key denied any knowledge of the plan, although reports later surfaced showing that his office was aware of the deal. Political opponents accused Key and his government of hypocrisy; he later apologised, calling it a "sloppy" deal, effectively placing most of the blame on his chief of staff. Shortly before the general election in November 2011, a recording was made of a conversation between Key and
ACT Party candidate John Banks that they considered private – though the conversation took place in a public cafe. Key made a complaint to the police and compared the incident to illegal
phone hacking in the
News of the World scandal in Britain. The recording allegedly concerned the leadership of ACT and disparaging remarks about elderly
New Zealand First supporters. Journalists and opposition parties demanded the release of the tapes National won the election, but New Zealand's credit rating was subsequently downgraded anyway – by two different agencies – Standard and Poor's and
Fitch Group.
Second term: 2011–2014 , the Governor-General, arrives at Parliament to be met by Key, July 2011. The
general election on 26 November 2011 saw National increase its share of the vote and gain a seat, while Labour suffered further losses. Key called the election a "very happy night" and a "strong and solid win" for his party. The Prime Minister re-negotiated confidence and supply agreements with United Future, the ACT Party to secure a second term of government. In 2012, Key was implicated in the arrest of
Kim Dotcom and the subsequent revelations that the
Government Communications Security Bureau (GCSB) had illegally spied on Dotcom. As prime minister, Key was directly responsible for the GCSB, which is not allowed to spy on New Zealand citizens – and Dotcom had been granted permanent residency. Three days later, Key apologised for the illegal spying. "I apologize to Mr Dotcom. I apologize to New Zealanders because every New Zealander…is entitled to be protected from the law when it comes to the GCSB, and we failed to provide that appropriate protection for him." It subsequently came to light that Deputy Prime Minister Bill English had been asked by the GCSB to sign a "ministerial certificate" suppressing details of the bureau's involvement in the case while Key was overseas – the only time this had been done in the last ten years. The fallout from Dotcom's arrest continued in December when the High Court ordered the GCSB to "confirm all entities" to which it gave information, opening the door for Dotcom to sue for damages – against the spy agency and the police. Later that month, Key's rating as preferred PM dropped to 39% – the first time in his four years as prime minister that his rating had slipped below 40%. It emerged that Key had known
Ian Fletcher, head of the GCSB, since they were at school, but Key denied he had 'shoulder-tapped' Fletcher for the role. Key said he hadn't originally mentioned the phone call because he "forgot". Political commentator
Bryce Edwards called it the "most appalling political management since he became Prime Minister back in 2008". Key continued New Zealand's push for a spot on the UN Security Council while in New York in 2013. There he accused rival candidates Spain and Turkey of using aid money to buy votes from small African countries, and said New Zealand would not be spending its way onto the Council. While in New York, Key suddenly fell ill, but recovered in time for meetings with representatives from other countries ahead of the General Assembly. In April 2013, whilst visiting Chinese president
Xi Jinping in Beijing, Key made headlines by suggesting New Zealand would back any
United States or
Australian military action against
North Korea. The following day he backtracked, saying the chance of New Zealand troops entering North Korea was "so far off the planet".
Third term: 2014–2016 , 31 March 2016. The
general election on 20 September 2014 saw the National Government returned again. National won a plurality with 47.0% of the party vote and 60 of the 121 seats. On election night counts the party appeared to hold the first majority since 1994 with 61 seats, but lost a list seat (for
Maureen Pugh) to the
Green Party on the official count (including special votes) of the party vote. National re-entered a confidence and supply arrangement with United Future, the ACT Party and the Māori Party. In October, Key created a new ministerial portfolio called the
Minister of National Security and Intelligence to serve the newly established
Cabinet National Security Committee. The Prime Minister assumed the new portfolio while the
Attorney General Christopher Finlayson became Minister Responsible for the GCSB and Minister in Charge of the
New Zealand Security Intelligence Service (NZSIS), portfolios which have traditionally been held by a prime minister. Key was elected Chairman of the
International Democrat Union (IDU), an international alliance of
centre-right political parties. The National Party was a founding member party in 1983. In April 2015, Key acknowledged that he had pulled a waitress' ponytail multiple times over several months; when Key learnt she had taken offence, he apologised. International media reported the incident as "ponytail-gate". Key had long supported
changing the flag of New Zealand, and during the
2014 general election campaign promised a referendum on the issue. Following the election win,
two New Zealand flag referendums were held in November/December 2015 and March 2016. The second resulted in the retention of the current flag. Critics (both national and international) charged that the referendums were unnecessary, expensive and a "wasteful vanity project". Key repeatedly refused to call the property bubble a crisis, claiming it instead was a "challenge". The prime minister was challenged over his criticism of Helen Clark's government's response to the housing crisis during the 2008 campaign, but reluctance to take a stand now it had worsened considerably. meets Key at
Premier House, 13 November 2016.
International trade and the negotiation of
free-trade agreements were a priority in Key's third term. He was a leading advocate of the
Trans-Pacific Partnership (TPP), also supporting the
Trans-Pacific Strategic Economic Partnership (TPSEP). Both agreements provide for a multilateral
free-trade area in the Asia–Pacific region. In a September 2016 speech to the
Council of Foreign Relations, Key said "[TPP] will boost our economy by at least $2.7 billion a year by 2030. It will help diversify our economy and create more jobs and higher incomes for New Zealanders". Key was particularly intent on securing the participation of the United States in the agreement; to this end, he discussed TPP with President Barack Obama in April 2016, and hosted Secretary of State
John Kerry in Wellington, 9–13 November 2016. The finalised TPP proposal was signed on 4 February 2016 in
Auckland, concluding seven years of negotiations. In January 2017, US President
Donald Trump signed a
presidential memorandum to withdrawing the United States' signature from the agreement, making its ratification virtually impossible. In February 2016, Key reached an agreement with Australian
Prime Minister Malcolm Turnbull to grant New Zealanders living in Australia a pathway to citizenship if they were earning five times over the average wage. As a result of this agreement, the Australian Government introduced the "Skilled Independent visa (subclass 189)" in July 2017 to fast-track the
Australian citizenship naturalisation process for New Zealanders living in Australia. New Zealanders living in Australia for at least five years and earning an annual income over A$53,900 were eligible for the visa. By late February 2018, 1,512 Subclass 189 visas had been issued. However, this visa scheme was criticised by the "Ozkiwi lobby" since two-thirds of New Zealanders living in Australia did not meet the qualifying wage. In March 2016,
Queen Elizabeth II,
Queen of New Zealand, approved the appointment of Dame
Patsy Reddy as the next
Governor-General of New Zealand, for a five-year term starting in September 2016, on the
advice of John Key. Key resigned as prime minister and leader of the National Party effective from 12 December 2016, and instructed the party to put into motion the processes to elect a new leader. He expressed interest in spending more time with his family, stating that he had "never seen [himself] as a
career politician" and that "this feels the right time to go". Media reports described the decision as unexpected, and noted the popularity of Key and his party.
Bill English won the
2016 New Zealand National Party leadership election to succeed Key. ==Post-prime ministerial career==