The Political Editor of Independent Radio News, Barry Soper, is reporting that Jenny Shipley said she made up on the spot her, since withdrawn, claim that former Television newsreader John Hawkesby was given an exit payment of a million dollars.

Mrs Shipley apologised to Mr Hawkesby telling Parliament that she was led to believe the payment had been made. However IRN are reporting that when Mrs Shipley emerged from the television studio after making the initial comments, she said in the presence of several people that she'd "made it up" to put the interviewers on the backfoot.

The Prime Minister has just evaded a question on the matter from the Alliance's John Wright.