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


A welfare system for the truly needy

24 June 2005

Vote ACT for lower taxes and a welfare system for the truly needy

Dr Muriel Newman Friday, Speeches - Social Welfare

Extract from speech to Helensville public meeting, Thursday 23 June 2005

Tax is shaping up to be the big political issue of this election and the only party to have consistently called for tax cuts is ACT.

ACT would reduce taxes in New Zealand to 15 cents in the dollar for income up to $38,000 and 25 cents for income over that for individuals and companies.

According to Treasury, these tax cuts would increase our growth rate by 1.5 per cent, putting New Zealand on a path to a first world standard of living. By starting to close the 30 percent standard of living gap with Australia, the 600 Kiwis who are crossing the Tasman each week would be stopped.

We have a record $7.4 billion surplus to pay for tax cuts this year, with a low tax rate contributing to increased taxes in the long run, it is also imperative that we tackle the problems in the welfare system to make lower taxes sustainable in the long term.

The welfare system used to be a safety net providing security for those who are unable to support themselves and a hand-up to work for the able bodied. Poor management of the welfare system has meant that there are now thousands of people receiving welfare who could and should be working. These able bodied people who are on benefits, in spite of the abundance of jobs available, are essentially abusing the welfare system. Cutting out the fraud and abuse that is endemic in welfare will enable taxes to stay low in the long term.

ACT’s five step plan to reform welfare has as a first priority the introduction of an annual reapplication process. Many of the people who are ripping off the system will fail to show for their interview and benefit numbers will plunge.

By requiring all the people who are capable of working to engage in a full time forty-hour week of work experience, beneficiaries who are already working will sign off the system.

These initiatives would significantly reduce welfare costs up to one third in the first two years. If 100,000 people get off welfare that would save around $2 billion a year.

For those of you who want lower taxes and a welfare system for the truly needy, your party vote for ACT will help achieve that goal.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines


Wellington: Predator Free Capital Plan

Wellington City Council (WCC), the Greater Wellington Regional Council (GWRC) and NEXT Foundation, today announced a joint collaboration to make Wellington the first Predator Free capital city in the world. More>>


Gordon Campbell: On Judith Collins’ Efforts At Self Correction

Thousands of prisoners currently in prison may be entitled to an earlier release than expected – and compensation – because Corrections has incorrectly calculated their term of imprisonment. Unless of course, the government buries its mistakes by changing the law and retro-actively getting itself off the hook… More>>


More Justice & Corrections

Sector Opposes Bill: Local Government Bill Timeframe Extended

The Minister of Local Government Peseta Sam Lotu-Iiga has asked the Select Committee to extend the report back date for the Local Government Act 2002 Amendment Bill (No 2). More>>


Breed Laws Don’t Work: Vets On New National Dog Control Plan

It is pleasing therefore to see Louise Upston Associate Minister for Local Government calling for a comprehensive solution... However, relying on breed specific laws to manage dog aggression will not work. More>>


Not Waiting On Select Committee: Green Party Releases Medically-Assisted Dying Policy

“Adults with a terminal illness should have the right to choose a medically assisted death,” Green Party health spokesperson Kevin Hague said. “The Green Party does not support extending assisted dying to people who aren't terminally ill because we can’t be confident that this won't further marginalise the lives of people with disabilities." More>>


General Election Review: Changes To Electoral Act Introduced

More effective systems in polling places and earlier counting of advanced votes are on their way through proposed changes to our electoral laws, Justice Minister Amy Adams says. More>>

Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news