The economic development policy announcement today will be a real disappointment to provincial and rural New Zealand. We don’t know any more than we knew five months ago,” Opposition Economic Development spokesperson Max Bradford said today.

“All the Government is doing is tinkering with the bureaucracy. The policy of how the $100million fund will be distributed is still months away.

“The main point is simply this. The Government might be planning to put $100 million into local communities, but that is more than cancelled out by the estimated $250 million it is taking away with the ACC renationalisation and the $400 million in tax increases,” Mr Bradford said.

“Small businesses, local authorities community groups and other individuals have been waiting to find out the impact on their region from the Government’s economic development plans.

“They are none the wiser. They have to make do with the big news that a small part of the Ministry of Commerce is getting a new name.

“Behind the re-jigged bureaucracy, there’s a huge question to be asked about the credibility of the package.

“Alliance Leader Jim Anderton reckons 1000 new jobs from 100 new projects could be created by investing $100million. What credibility does this have? What projects? Where is the new private investment coming from? What sort of jobs?.

“Growth in jobs doesn’t come from big projects, it comes from the small businesses that employ fewer than 10 people. 240,000 out of the country’s 260,000 enterprises employ fewer than 10 people.

“And in reality the Government is giving business and industry with one hand and taking away on the other.”

Ends

© Scoop Media