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


Concern doubles over ballooning Govt. spending

Thursday, February 17th, 2005

Concern doubles over ballooning Govt. spending

Finance Minister Dr Cullen's acknowledged concern over Government's ballooning $3 billion more in spending each year should be matched by concern over the rapid expansion of his Government's administration, says the Employers & Manufacturers Association (Northern).

"Government administration has been growing nearly twice as fast the economy overall," said Alasdair Thompson, EMA's chief executive.

"For the quarter ended September 2004 Government administration expanded 8.7% compared to the same quarter the year before, though the economy overall expanded by just 4.6%.

"Dr Cullen has noted this rate of acceleration is not sustainable, particularly as the Budget Policy Statement projects our rate of economic growth to contract this year back to a range of 2.4-3.1%.

"The rapid Government expansion is diverting resources into regulation and compliance rather than into areas that can improve our quality of life. As well, many more skilled people are being drafted into the Public Service to administer the new laws and regulations.

"From 2000 to 2004 the Government added $620 million to its wage bill for administration. The Public Service pay bill last year was a whopping 32% higher than in 2000.

"No Government in decades has enjoyed better economic fortune.
Surely its time for Government to get serious about delivering a business environment that will attract greater investment in order to sustain the nation's prosperity."


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Decision Day: Peters Chooses Labour

Winston Peters says he will form a Government in coalition with Labour and the Greens giving confidence and supply.

Peters said he had been offered the position of Deputy Prime Minister and a number of other ministerial posts would go to his colleagues

He said economic and monetary policy changes were needed to face a coming economic downturn.>>>More


Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome


Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election