Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Investment on infrastructure asked of Budget


Investment on infrastructure asked of Budget

Australia's Budget got a round of applause from New Zealand business today. The Employers & Manufacturers Association (Northern) said business people on this side of the Tasman can't help admire the relentless, Australia-centric approach taken by Treasurer Peter Costello to growing the Australian economy.

"We have to envy the boldness of Australia's Budget," said Alasdair Thompson, EMA's chief executive.

"It's a Budget pitched for growth. We fervently hope ours is.

"Though New Zealand is enjoying surpluses far higher than Australia on a pre capita basis, Finance Minister Cullen has indicated nothing will be returned to tax payers.

"Like Walter Nash he feels safer salting the surplus away.

"Dr Cullen risks losing taxpayers money by putting money into the super fund rather than investing at home in rundown infrastructure offering extraordinarily high rates of return.

"New Zealanders' complacency over this suggests we are happy for our economic performance to remain subservient to Australia's.

"We would heartily welcome any evidence in the Budget to the contrary.

"For example, some of the surplus should be invested in improved roads, especially around Auckland. Over the past 14 years the benefit to cost ratio required before new roads were constructed meant they had to show a return on investment (ROI) of over 50 per cent.

"Upgrades of our roading infrastructure frequently show a return of 50 per cent a year, and in Auckland the completion of the motorway network would also save business $1 billion a year in the costs of congestion.

"Most of us would mortgage our homes to get such a deal.

"With such an investment on his doorstep, Dr Cullen's preference for sending part of the surplus overseas makes no sense."


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

ScoopPro: Helping PR Professionals Get More Out Of Scoop

Scoop.co.nz has been a fixture of New Zealand’s news and Public Relations infrastructure for over 18 years. However, without the financial assistance of those using Scoop in a professional context in key sectors such as Public Relations and media, Scoop will not be able to continue this service... More>>

Insurance: 2017 Worst Year On Record For Weather-Related Losses

The Insurance Council of New Zealand (ICNZ) announced today that 2017 has been the most expensive year on record for weather-related losses, with a total insured-losses value of more than $242 million. More>>

ALSO:

Crown Accounts: Govt Books In Line With Forecasts

The Government’s financial statements for the four months to 31 October indicate the books are tracking along with Treasury’s Budget forecasts, Finance Minister Grant Robertson says. More>>

ALSO:

Expert Reaction: Ross Sea Region Marine Protected Area In Force

Sweeping new protections for Antarctica's Ross Sea will come into effect on Friday 1 December. After five years of debate, the marine protected area (MPA) was agreed in 2016 after a joint proposal by New Zealand and the United States... More>>

ALSO: