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


Solid progress in 2014 Budget

Solid progress in 2014 Budget

The Government’s measured approach to economic management is achieving solid progress, says BusinessNZ.

BusinessNZ Chief Executive Phil O’Reilly says the Budget’s accounts and forecasts show key objectives for the economy are being delivered.

“Returning to surplus this year only a short time after the global financial crisis and Christchurch earthquakes is a sound achievement.

“The Government has avoided an election year spend-up, focusing instead on the long game of returning the country to economic health.

“Business wants an environment where government spending is both restrained and appropriately targeted and where policies support competitive New Zealand enterprises. This Budget helps towards delivering those outcomes.

“The reduction in core government spending from 35 percent of GDP in 2010 to 31 percent this year is welcome and will help pave the way for possible future tax cuts.

“The forecast of an average GDP growth rate of 2.8 percent and a 12 percent increase in average wages over the next four years also represents good progress.

“Policies helping people move from welfare to work are bearing fruit and have the support of the business community.”

Mr O’Reilly said despite the improving financial situation, there were still issues remaining in the too hard basket, including costs associated with interest-free student loans, Working for Families, NZ Superannuation and the expanding health budget.

“While the Government’s steady, gradualist approach is delivering good economic outcomes, there is still a risk of being left behind other countries pursuing more ambitious reform.

“Business would like to see signposts towards a reform programme including spending and tax reduction and further policies for productivity and competitiveness, to ensure our current growth story can be maintained long into the future.”


© Scoop Media

Business Headlines | Sci-Tech Headlines


Oceans: NOAA Declares Third Ever Global Coral Bleaching Event

As record ocean temperatures cause widespread coral bleaching across Hawaii, NOAA scientists confirm the same stressful conditions are expanding to the Caribbean and may last into the new year, prompting the declaration of the third global coral bleaching event ever on record. More>>

Scoop Business: A Decade Of Government Pre-Seed Investment

More publicly-funded science is being commercialised after a decade of government ‘pre-see’d investment, according to an independent review. More>>


Solid Energy: Plan To Shut Unprofitable Huntly East Mine

Solid Energy, the state-owned coal miner in voluntary administration, plans to shut down its unprofitable Huntly East mine and lay off 65 staff after deciding the site stands "no chance whatsoever" of finding a buyer. More>>


E Tū: Merger Creates NZ's Biggest Private Sector Union

E tū has been created by the merger of the Engineering, Printing and Manufacturing Union and Service and Food Workers’ Union. It represents more than 50,000 working New Zealanders in industries as diverse as aviation, construction, journalism, food manufacturing, mining and cleaning. More>>


Internet: NZ Govt Lifts Target Speeds For Rural Broadband

The government has lifted its expectations on faster broadband speeds for rural New Zealand as it targets increased spending on research and development in the country's information and communications technology sector, which it sees as a key driver for export growth. More>>


Banks: Westpac Keeps Core Government Transactions Contract

The local arm of Westpac Banking Corp has kept its contract with the New Zealand government to provide core transactions, but will have to share peripheral services with its rivals. More>>


Science Investment Plan: Universities Welcome Statement

Universities New Zealand has welcomed the National Statement of Science Investment released by the Government today... this is a critical document as it sets out the Government’s ten-year strategic direction that will guide future investment in New Zealand’s science system. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news