Entrepreneurs Key To Growth

Press Release by Hon Sir Roger Douglas, ACT New Zealand
Wednesday, November 25 2009

ACT New Zealand Finance Spokesman Sir Roger Douglas today urged the Tax Working Group to adopt his recently released blueprint for economic success in order to reverse our nation’s poor economic growth and see New Zealand prosper.

"The Tax Working Group is concerned that increasingly mobile capital and labour are leaving our shores. My proposal oversees a massive reduction in personal income tax and a complete abolition of corporate income tax. This would attract a huge number of businesses to New Zealand and would mean more jobs, opportunity and wealth for New Zealanders," Sir Roger said.

Northland Businessman Steve Shepherd - who has previously seen the advantages of low taxes and better business opportunities in Hong Kong - sees the blueprint as the key to attracting and retaining skilled workers and businesses.

"By creating the right conditions more corporations would move to New Zealand, resulting in an increase in job numbers and an increase in the number of businesses to support these corporations. This would result in more revenue and assets that would be taxable.

"Demand for staff would help push up salaries and create incentives for individuals to gain higher levels of education. Statistically, education results in higher incomes, resulting in more money to be spent on health, education and in business. It would create an upward spiral," Mr Shepherd said.

"We are not going to get ahead by simply mimicking Australia. The comprehensive reforms that I have outlined in 'Catching Australia By 2025: An Alternative Approach' will see us adopt superior policies to beat them," Sir Roger said.

ENDS