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

 


Labour reheating same old spending recipe

Hon Steven Joyce
Minister for Economic Development

27 January 2014

Labour reheating same old spending recipe

The Labour Party is showing that after five years in Opposition and three Opposition Leaders they still haven’t learned any lessons from their last time in Government.

“Once again, the moment we get a lift in the economy, they want to start bribing people with massive extra spending. We haven’t even got to the end of January and Labour and the Greens are already promising to spend the thick end of an extra three quarters of a billion dollars a year,” Economic Development Minister Steven Joyce says.

“It’s like the GFC never happened: Labour’s last big spending splurges between 2005 and 2008 increased the deficit, dramatically increased interest costs, and put the economy into premature recession.

“And today they are back again singing from the same song sheet. Mr Cunliffe has to come clean with New Zealanders on where the money is coming from. Is it even more taxes, more borrowing and much higher interest rates; or is he getting out Russel Norman’s printing presses?

“Mr Cunliffe acts as if he has magically got $1.5 billion a year to spend because he cancelled some already-cancelled Labour Party policies last week that have never been budgeted in the country’s accounts.

“I have news for Mr Cunliffe. There was no GST off fruit and veges in Treasury’s forward projections, and no tax-free threshold to take out, so cancelling them (yet again) doesn’t save anything. For that matter there’s no money in there for their multi-billion dollar government building policy either.

“The real answer to lifting Kiwi incomes is attracting investment that boosts jobs, growth and people’s incomes. You can’t spend your way to prosperity. This Government understands that and is building a stronger economy to provide higher incomes for Kiwi families.

“Labour and the Greens want to spend it before we’ve got it and, at the same time, bring in risky backward-looking economic policies that would cost jobs and squash growth.

“That recipe will bring the same results as their last one: fewer jobs, less growth, higher spending, higher taxes and higher interest rates.

“Labour needs to get real about government spending and get real about the negative effect of its policies on Kiwi families and the New Zealand economy.”

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

False Electoral Return: John Banks Sentenced To Community Work, Curfew

“The conviction of John Banks today is another sad chapter for John Banks and the ACT Party”, says Labour candidate for Epsom Michael Wood.

“Mr Banks was found guilty of electoral fraud in June. Regardless of what sentence is handed down, his reputation is in tatters. Sentencing is a matter for the court, and publicly deriding him further brings little benefit.”

“With the conviction confirmed, it is time for the ACT Party to step up to the mark and apologise to the people of Epsom. Mr Banks has suffered the consequences of his actions, but so far the ACT Party has gotten off scott-free” More>>

 

Parliament Today:

Gordon Campbell: On The Rise Of ISIS And Labour

While global attention got distracted by the fate of MH17 and the atrocities in Gaza, the world’s other mega ‘bad news’ story – the rise of ISIS-led fundamentalism in Iraq – has reached a tipping point. More>>

ALSO:

Rebuild: Christchurch City Council Releases Milestone Report

The Cameron Partners report says the Council may need to find an additional $783 million to $883 million by 2019... Options Cameron Partners proposed include increasing rates, borrowing more, maximising insurance payments, and freeing up capital from its commercial assets. More>>

ALSO:

Parliament Today: Parliament Adjourns

The 50th Parliament has adjourned for the final time. After the completion of the adjournment debate, MPs left for the campaign trail with Parliament to be dissolved on August 14 ahead of the September 20 election. More>>

ALSO:

Novopayout: Government-Owned Company To Take Over School Payroll

After lengthy negotiations, the Ministry of Education and the existing school payroll provider, Talent2, have settled both on the amounts payable by Talent2 towards the costs of remediating the Novopay service and a new operating model for the school payroll system. More>>

ALSO:

Employment: Labour Will Raise Minimum Wage, Restore Work Rights

A Labour government will raise the minimum wage $2 an hour to $16.25 and restore work rights to ensure the benefits of economic growth are shared fairly by all New Zealanders, Labour Leader David Cunliffe says. More>>

ALSO:

Police: Crewe File Review Released

No new evidence has come to light implicating any specific person as being responsible for the murders of Jeannette and Harvey Crewe... The review identifies there is a distinct possibility that Exhibit 350 (the brass .22 cartridge case) may be fabricated evidence, and that if this is the case, that a member of Police would have been responsible. More>>

ALSO:

Werewolf Issue #49: Gordon Campbell Interviews Laila Harre

For 25 years, Labour and National have been in virtual agreement about the basics of economic policy, and differed mainly on how to go about managing its social consequences. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news