Prime Minister Chris Hipkins says former Justice Minister Kiri Allan was facing "extreme emotional distress" when she crashed her car and was arrested last night.
Allan has this morning resigned her two ministerial portfolios and is due to appear in court in relation to the incident.
It follows a series of questions raised over Allan, regarding comments she made at a farewell for her former partner at RNZ, allegations of "working relationships" in her office and donations she received from former Race Relations Commissioner Meng Foon.
She had also gone on mental health leave in June following a break up.
Hipkins made the comments at a hastily-called press conference in the Beehive theatrette just after 10 this morning.
He confirmed Allan had been in a car crash on Evans Bay Parade around 9pm yesterday, and had been taken into custody and held at the Wellington Central Police Station.
She was released around 1am today.
She had been charged with careless use of a motor vehicle and refusing to accompany a police officer, and summonsed to appear in court "at a later date".
Those charges differed from what had been in an earlier statement from the prime minister, and Hipkins explained this was due to incorrect information provided from Allan herself.
The updated charges had been confirmed by the police.
She had also been issued an infringement notice for excess breath alcohol between 250 and 400mg, he said.
Hipkins said the Police Commissioner Andrew Coster had advised Police Minister Ginny Andersen of Allan's arrest around 10pm and he was notified shortly after.
"While her actions are inexcusable, I was given information that she was experiencing extreme emotional distress at the time of the incident.
"My initial concerns last night were for her immediate safety and wellbeing.
"It appears that some of her personal struggles came to a head yesterday and were contributing factors in this incident."
He said shortly after 7am today he had spoken with Allan and told her he did not believe she was of a fit state to hold a ministerial warrant.
Allan was the Justice Minister and Regional Development Minister. She picked up the latter from disgraced minister Stuart Nash in February.
"She expressed remorse and had already sent me a message just before that indicating that she intended to resign.
"It would be fair to say it was a difficult conversation, she's clearly not in a good space. It was not a long conversation. We have people with her and around her at the moment, supporting her."
He said she was headed home and would consider her future in politics.
"I recently provided Kiri with the opportunity to address her mental health issues. After taking some time out she told me she was ready to return to work.
"Those who saw her last week in the House and here in the theatrette - launching the ram raid policy - would have observed her at the top of her game.
"Last night's incident, however, is evidence that there are not always quick fixes when it comes to mental health and things can flip very quickly and without warning."
He said the best thing for her was to be with her support network and away from Parliament.
Asked how damaging he considered the incident to be for Labour, he said it had not been part of his consideration in the preceding hours.
He said while he had required Allan to take some time off, which she had been "resistant" to.
"She came back to work after receiving counselling, with very strong indications to me that she was ready to take on the job and ... I had no evidence to question that.
"We provided additional coaching and counselling and support to her to make sure that she was ready to come back to work."
He ruled out a snap election, saying the public had elected the party to government.
Hipkins said Allan's portfolios would be reallocated among current ministers, noting there were only five parliamentary sitting weeks before the election and his belief ministers would be able to withstand the additional workload in that time.
"I'm very sad for Kiri. Kiri is an incredibly talented person who clearly has been battling some demons and has not won that battle. I'm gutted for Kiri."
In a statement, National Party leader Christopher Luxon said it was the "right thing" for Allan to resign.
"It was quite untenable for her to continue as Justice Minister.
“Clearly this situation raises questions about the judgement of Prime Minister Chris Hipkins.
“We wish Ms Allan well and hope she is getting the support and help she needs.”
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