New Zealand's political system has been described by a top spy as "compromised" and that its Five Eyes membership is "on the edge of viability" because of Chinese influence.

The senior intelligence official, who has not been named, told the Financial Times New Zealand has a "supine" attitude to China and suggested it could cost New Zealand its place in the Five Eyes intelligence network.

Jamil Anderlini, the Financial Times' Asia Editor, said while New Zealand may seem like an unlikely target for the Chinese Communist Party (CCP) to infiltrate, it is "attractive to Beijing as the soft underbelly" of the Five Eyes.