Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Spend-up puts pressure on mortgage interest rates

John Key - National Party Finance spokesman

19 January 2005

Govt spend-up puts pressure on mortgage interest rates

Dr Cullen's spending binge is raising the temperature on inflationary pressures at a time when the economy is already running hot, and mortgage belt New Zealand will suffer, says National's Finance spokesman John Key.

He is commenting on the release of the December quarter CPI figure.

"Dr Cullen is raising Government demand by $23 billion over successive budgets, oblivious to macro-economic effects in his pursuit of big Government nirvana," Mr Key says.

"An election year spend-up is the last thing the New Zealand economy needs with annual inflation sitting at 2.7%.

"Not only that, but he is continuing to load up business with higher regulatory costs.

"Anybody who bought a meal on a public holiday recently will have felt the inflationary effect of the Holidays Act, with increased costs being passed straight into prices. These will eventually find their way into interest rates.

"This is not a time to be ramping-up Government spending. Dr Cullen's 'pedal to the metal' approach to fiscal policy will only end in tears for mortgage holders."

Mr Key called for Dr Cullen to exercise spending restraint and return hard-earned taxes to ordinary New Zealanders so they can pay off their mortgages.

ENDS


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Also, Loan Interest: Productivity Commission On Tertiary Education

Key recommendations include better quality control; making it easier for students to transfer between courses; abolishing University Entrance; enabling tertiary institutions to own and control their assets; making it easier for new providers to enter the system; and facilitating more and faster innovation by tertiary education providers... More>>

ALSO:

Higher Payments: Wellington Regional Council Becomes A Living Wage Employer

Councillor Sue Kedgley said she was delighted that the Wellington Regional Council unanimously adopted her motion to become a Living Wage employer, making it the first regional council in New Zealand to do so. More>>

ALSO:

Scoop Images:
Dame Patsy Reddy Sworn In As Governor-General

This morning Dame Patsy Reddy was sworn in as the New Zealand Realm’s 21st Governor-General. The ceremony began with a pōwhiri to welcome Dame Patsy and her husband Sir David Gascoigne to Parliament. More>>

ALSO:

Ruataniwha: DOC, Hawke's Bay Council Developer Take Supreme Court Appeal

The Department of Conservation and Hawke's Bay Regional Investment Company (HBRIC) are appealing to the Supreme Court over a conservation land swap which the Court of Appeal halted. More>>

ALSO:

With NZ's Marama Davidson: Women’s Flotilla Leaves Sicily – Heading For Gaza

Women representing 13 countries spanning five continents began their journey yesterday on Zaytouna-Oliva to the shores of Gaza, which has been under blockade since 2007. On board are a Nobel Peace Laureate, three parliamentarians, a decorated US diplomat, journalists, an Olympic athlete, and a physician. A list of the women with their background can be found here. More>>

Gordon Campbell: On The Key Style Of Crisis Management

At Monday’s post Cabinet press conference Key was in his finest wide- eyed “Problem? What problem?” mode. No, there wasn’t really a problem that top MPI officials had been at odds with each other over the meaning of the fisheries policy and how that policy should be pursued... More>>

ALSO:

Mt Roskill: Greens Will Not Stand In Likely Post-Goff By-Election

“The Green Party’s priority is changing the Government in 2017, and as part of that we’ve decided that we won’t stand a candidate in the probable Mt Roskill by-election... This decision shows the Memorandum of Understanding between Labour and the Green Party is working." More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news