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‘Family’ Budget cruel hoax says John Key

‘Family’ Budget cruel hoax says John Key

National Party Finance spokesman John Key is releasing figures today which he says shows another aspect of Labour’s so-called ‘families’ Budget has proven to be a cruel hoax.

“Michael Cullen’s financial wizardry now appears to be more about smoke and mirrors than actual magic,” says Mr Key.

He is referring to answers to written Parliamentary questions that show half of the people receiving the accommodation supplement are single people with no children.

“So much for the ‘working for families’ slogan. I was so stunned by the figures I asked Dr Cullen’s office to double check the numbers.

“The answers show that 150 single people with no children who earn more than $40,000 a year will get the accommodation supplement.

“The figures also reveal that two single people and three couples earning as much as $80,000 a year are now eligible to receive the accommodation supplement.

“Hard-working middle and low income families will be asking why people with no children and earning up to $80,000 a year are eligible for this Government top-up.

“Michael Cullen claimed Budget 2004’s main target was working families with kids earning between $25,000 and $45,000. However, Treasury now predicts only 12% of Kiwi families in this category will receive the accommodation supplement.

“The figures haven’t changed that much since 2003, but the balance appears to be getting worse, not better.

“The statistics show 95% of all people receiving the accommodation supplement earn $25,000 a year or less. That indicates to me they are likely to be beneficiaries. And according to my answers 83% of recipients earn less than the minimum wage.

“This illustrates yet again, that Budget ’04 was more about growing the number of those dependent on state hand-outs, rather than growing the economy,” says Mr Key.

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