Parliament

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

 

KiwiSaver breaks through half-million mark

25 March 2008 Media Statement

KiwiSaver breaks through half-million mark



Click for big version

Scoop Image

*****


500,000 New Zealanders are planning for their future and are now enrolled in the Labour-led Government’s KiwiSaver scheme, Prime Minister Helen Clark, Finance Minister Michael Cullen, and Revenue Minister Peter Dunne announced today.

The half-million milestone was reached late last week, less than eight months after the scheme’s launch last year. Initial projections were for KiwiSavers to number just over a quarter million within 12 months.

“KiwiSaver is a huge success. There are already $600 million invested in KiwiSaver accounts. When the Labour-led Government first signed off on this plan for the future in 2005, we were confident it would build a new culture of savings over time.

“But it is fair to say that no one thought New Zealanders would respond to the scheme with such incredible enthusiasm. KiwiSaver makes it easier than ever before to save for retirement and will help many families buy their first homes,” Helen Clark said.

Helen Clark said that KiwiSaver takes another major step forward next week with the introduction of employer contributions and tax credits.

“Employers with staff enrolled in KiwiSaver will be required to contribute one per cent of their employees’ salary to their KiwiSaver accounts from 1 April. This will rise by an additional one per cent until 2011 when four per cent contributions will be required,” Helen Clark said.

“One of the most gratifying elements of the scheme’s success to date has been the large number of young people who are starting a savings habit. Over 100,000 KiwiSavers are under 25, the majority of whom would be new savers,” Michael Cullen said.

“These young people are in a position to build up a very substantial savings base over time and will see their standard of living in retirement improve significantly as a result.”

Peter Dunne said that the substantial pool of capital being built through the scheme will be a major asset to the New Zealand economy in years to come.

“Not only will individual savings rates improve, but our very low national savings rate and worryingly high current account deficit will be given significant boosts from KiwiSaver,” Peter Dunne said.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On DHB Deficits And Free Trade

Currently the world is looking on aghast at the Trump administration’s plans to slash Obamacare, mainly in order to finance massive tax changes that will deliver most of their gains to the wealthy. Lives will be lost in the trade-off. Millions of Americans stand to lose access to the healthcare they need.

Spot the difference with New Zealand, where DHBs are under intense pressure to reduce deficits within a climate of chronic underfunding. More>>

 
 

Greens' Response: Slum-Like Rentals Exposed In Renting Review

“...The grim findings of the review are a wakeup call about the true state of rentals in this country. Too many renters are festering in slum-like conditions under the thumb of landlords who have largely unchecked powers and ignore tenants’ complaints when it suits them.” More>>

ALSO:

Gordon Campbell: On The Life And Times Of Peter Dunne

The unkind might talk of sinking ships, others could be more reminded of a loaded revolver left on the desk by his Cabinet colleagues as they closed the door behind them, now that the polls in Ohariu had confirmed he was no longer of much use to National. More>>

ALSO:

Gordon Campbell: On Labour’s Campaign Launch

One of the key motifs of Ardern’s speech was her repeated use of the phrase – “Now, what?” Cleverly, that looks like being Labour’s response to National’s ‘steady as it goes’ warning against not putting the economic ‘gains’ at risk. More>>

ALSO:

Lyndon Hood: Social Welfare, Explained

Speaking as someone who has seen better times and nowadays mostly operates by being really annoying and humiliating to deal with, I have some fellow feeling with the current system, so I’ll take this chance to set a few things straight.. More>>

ALSO:

Deregistered: Independent Board Decision On Family First

The Board considers that Family First has a purpose to promote its own particular views about marriage and the traditional family that cannot be determined to be for the public benefit in a way previously accepted as charitable... More>>

ALSO:

Transport Policies: Nats' New $10.5bn Roads Of National Significance

National is committing to the next generation of Roads of National Significance, National Party Transport Spokesperson Simon Bridges says. More>>

ALSO:

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election