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Budget 2010: Combating Government Waste

Budget 2010: Combating Government Waste

ACT New Zealand Finance Spokesman Sir Roger Douglas today released a discussion document - ‘Budget 2010: Combating Government Waste’ – which highlights the level of wasteful Government expenditure, and advocates for tax cuts to alter the incentives people face to work hard and get ahead.

"Budget 2010 offers a real opportunity to reverse the wasteful expenditure that ballooned out under Labour. I have identified $3.1 billion of Government waste. If we cut that waste, the Government will have a lot of room to move when it comes to taxes. Low taxes provide the kind of dynamic incentives that will lead to rapid economic growth," Sir Roger said.

"By cutting waste we win twice. We win when we stop wasting money on things like the Families Commission or the New Zealand Screen incentive fund, and then we win again when we cut taxes and allow individuals to use those resources.

"National opposed the worst aspects of Labour’s massive expansion in Government expenditure. It is now time for them to start getting stuck in, returning the money that is being funnelled to special interest groups back to the taxpayers who earned it.

"Trying to grow an economy through Government spending is like trying to lift a bucket while you’re standing in it. If people keep more of what they earn, then they are encouraged to gain skills and experience, and they are incentivised to work hard," Sir Roger said.

To download a copy of Budget 2010: Combating Government Waste go to:

http://www.act.org.nz/news/budget-2010-combating-government-waste

ENDS

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