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

 


Provinces being hit hard by government policies

Provinces being hit hard by government policies

The overheated Auckland housing market and the Reserve Bank’s response to lift interest rates are causing massive damage to our provinces, Labour’s Finance spokesperson David Parker says.

“Leading economist Shamubeel Eaqub has called the latest rise in the official cash rate a ‘huge mistake’ that is punishing small town New Zealand.

“Auckland house prices have risen 20 per cent in real terms since 2007, with Canterbury prices up 13 per cent and Wellington up 7 per cent. Yet house prices in the rest of the country have fallen 21 per cent in real terms over the same period.

“Shamubeel Eaqub says it ‘scares the hell out of him’ that each OCR rise risks tipping the regions into recession.

“He also points out that ‘the gaps opening up in New Zealand are really big across geographical, race and education lines’.

“This is exactly what Labour has been saying.

“National’s policies have failed to rebalance the economy towards the productive economy and jobs.

“This failure is evident in figures out today that show despite being buoyed by our terms of trade being at a 40 year high, New Zealand still has a significant current account deficit of $6.3 billion (2.8 percent of GDP). And it is only forecast to get worse from here on.

“A Labour government will rebalance the economy towards the productive sector and breathe life back into our provinces.

“Labour will take the heat out of the Auckland housing market by taxing capital gains, clamping down on overseas speculators and building 100,000 affordable houses. We will also exempt first-time home buyers and the provinces from mortgage restrictions.

“Labour’s Economic Upgrade will create sustainable and well-paid jobs. We will foster conditions for industries to grow in through research and development tax credits.

“A Labour government will stop the growing inequality between Auckland and our provinces,” David Parker says.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Mana-Maori Party Deal

If the self-interest involved wasn’t so blatant, the electorate deal between the Maori Party and Hone Harawira would be kind of poignant. It’s a bit like seeing the remaining members of Guns’n’Roses or the Eagles back on the road touring the nostalgia circuit… playing all the old hits of Maori unity and kaupapa Maori politics.

Can the two surviving Maori Party MPs (one electorate, one list) credibly work together with the old firebrand who split up the group years ago, and still hope to rekindle some of that same old magic? More>>

 

Private Provision: First Social Bond To Focus On Mental Health

New Zealand’s first social bond will help around 1700 people with mental illness into work, Finance Minister Steven Joyce and Social Investment Minister Amy Adams say. More>>

ALSO:

Megaupload Case: High Court Rules Dotcom, Co-Accused Eligible For Extradion

Internet entrepreneur Kim Dotcom and his three co-accused are eligible for extradition to the United States, New Zealand's High Court ruled... Justice Murray Gilbert upheld a decision by the District Court that there were grounds for Dotcom, Mathias Ortmann, Bram van der Kolk and Finn Batato to be extradited. More>>

ALSO:

PREVIOUSLY:

Immigration: Short Reprieve For Nine Indian Students

A temporary hold on deportations of nine Indian students is a step in the right direction but the Government urgently needs to implement safeguards to stop further injustices to more international students, the Green Party says. More>>

EARLIER:

Port Hills Fire: Midday Update, Monday 20 February

• 9 homes destroyed
• 2 homes with partial damage. Damage includes things like cracked windows, heat damage.
• 3 properties with damage to other external structures e.g sheds or outbuildings More>>

ALSO:

Welfare: WINZ Breaching Privacy Laws With WINZ Vetting Rules

E tū, the union for security guards, says WINZ may be breaching privacy laws with its new screening process for people visiting WINZ offices. The vetting requires WINZ security guards to check photo ID and whether visitors to WINZ offices have an appointment.More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news