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

 


Soaring debt shows National poor economic managers

19 August 2014

Soaring debt shows National poor economic managers

Treasury’s pre-election update today shows net government debt will be substantially higher than forecast just three months ago, the Green Party said today.

“National like to paint themselves as a safe pair of hands on economic management, but Treasury figures show that net debt is projected to be $3 billion higher in 2018 than projected in the May budget,” Green Party Co-leader Russel Norman said.

“That equates at $663 per New Zealander in the last three months alone.

“In six years of National management, net debt per person has risen to $14,368 from $2,994.

Treasury’s Pre-election Fiscal and Economic Update (Prefu) showed that net debt will rise to $67.9 billion in 2018, almost exactly $3 billion more than forecast in the May budget.

“The Prefu showed the Budget surplus for 2014/15 is even more wafer thin than projected in May, while the surpluses for the next three years are substantially lower,” Dr Norman said.

“The lower surpluses result from lower forecast economic growth essentially due to lower dairy prices.

“This exposes National as managers that have no clothes. Only a poor manager would make the economy more reliant on commodities such as milk powder and logs, as National has done, and now our fortunes swing to the vagaries of international commodity prices.

“Treasury identified the main factors supporting economic growth as house building in Christchurch and Auckland and faster population growth based on high immigration. This is an dependent economy, not a rock-star economy.

“One thing that hasn’t changed since May is that National is stripping funding, in real terms, from the health, education and environment sectors to the tune of at least $3.8 billion over the next three years.”

Independent analysis of the Government’s books, by economic consultancy BERL, commissioned by the Green Party, reveal National is planning multi-billion dollar cuts to health, education, and environment spending over the next three years in real terms.

“National is being tricky with the books. This is a deliberate deception so National can claim a budget surplus when the reality is that hospitals will be under even greater pressure to cut services while every child in education will be worse off,” said Dr Norman.

“At the time of the Budget in May, National brushed off criticism of these cuts saying they weren’t true. That was spin. National’s cuts to health, education and environment spending are real.

“We will produce stronger surpluses, pay down debt faster, plug spending holes in the current Government’s budget that will lead to a more prosperous New Zealand.”


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

  • Week in Parliament 22-05-15
  • Saturday Sitting
  • House Rises At Midnight
  • Telco Levy Bill Passes
  • Telco Levy Bill Completes First Reading
  • Social Housing Bill Passes Under Urgency

  • TPPA: University Of Auckland Warns Of Negative TPP Impact

    The University of Auckland May 20, 2015 University of Auckland Warns of Negative TPP Impact With the Trans Pacific Partnership (TPP) negotiation drawing to a close, the University of Auckland has expressed serious concerns about its potential implications. ... More>>

    NZ Flag: Flag Referendum Gets Hit Hard In New Poll

    The latest Campbell Live text poll confirms it is time for the Prime Minister to listen to the public and shelve his flag referendum, says the New Zealand First Leader Rt Hon Winston Peters. More>>

    Gordon Campbell: The Government’s Belated Moves On Property Speculation

    Is it a property tax on capital gains or a capital gains tax on property? The Jesuitical distinctions in the government’s spin about its latest moves on property speculators are all about whether the government can claim that it jumped, or confess that it ... More>>

    Grant Robertson:
    Key Can’t Just Be Prime Minister For Parnell

    John Key must show New Zealanders in next week’s Budget that he is more than the Prime Minister for Parnell, and is also the Prime Minister for Pine Hill, Putararu and Palmerston North, Labour’s Finance spokesperson Grant Robertson says. In a ... More>>

    Labour Party: More Regional Jobs Go In Corrections Reshape

    News that 194 Corrections staff are to lose their jobs will have ramifications not only for them and their families but for the wider community, Labour’s Corrections spokesperson Kelvin Davis says. Prison units at Waikeria, Tongariro and Rimutaka ... More>>

    ALSO:

  • NZ First - Prison Job Losses to Send Money Offshore
  • TPPA: ‘Team Obama’ Regroups On Fast Track, Still Not Deliverable

    ‘After yesterday’s stinging and unexpected defeat for the Obama administration’s attempt to advance Fast Track legislation in the US Senate, Senate leaders have worked up a compromise they think will get them past this blockage’, according to Auckland ... More>>

    NZ Government: 5,500 More Doctors And Nurses In Our Hospitals

    Health Minister Jonathan Coleman says a record number of doctors and nurses are working in District Health Boards across the country. More>>

    Controller and Auditor General: Katherine Rich Conflict of Interest Decision

    We are writing to you about a matter that has been raised with us by members of the public. More>>

    ALSO:


    Budget 2015: Andrew Little On The 2015 Budget

    Speaking to the Chamber of Commerce, the Labour opposition leader attacked the government’s approach to economic issues facing New Zealand. He said they have been “more than reckless in their complacency” and “the next week’s budget will do nothing ... More>>

    Defence Force: NZDF Building Partner Capacity Mission Personnel In Iraq

    NZDF Building Partner Capacity Mission Personnel in Iraq The New Zealand Defence Force Building Partner Capacity training mission contingent is in place at Taji Military Complex in Iraq. The Chief of Defence Force Lieutenant General Tim Keating says the ... More>>

    PM Press Conference: ACC Levy Cuts Announced

    In a press conference this afternoon in Wellington, ACC Minister Nikki Kaye proposed $500 million worth of ACC levy cuts. More>>

    Quakes: New Process For Red Zone Crown Offers

    Canterbury Earthquake Recovery Minister Gerry Brownlee has announced a process to give everyone a say on the Crown offers to owners of vacant, commercial/industrial and uninsured properties in the Residential Red Zone. More>>

    ALSO:

    Gordon Campbell: On The Battle Obama Is Waging Over The TPP

    For the past two and a half years, this column has been arguing that the fate of the Trans Pacific Partnership (TPP) deal will hinge on whether US President Barack Obama can win Trade Promotion Authority (TPA) from Congress... Last week, the White House finally, finally unveiled a draft TPA Bill. More>>

    ALSO:


    Gordon Campbell: On lessons for Labour from the UK election
    If the polls were right – and the pollsters kept telling us how accurate they’d been in 2010, and even Nate Silver was getting the same results – there seemed no way that the British Labour Party could lose last Thursday’s British election. With Labour predicted to win around 270 seats and the Scottish National Party batting around 55-60 seats, Labour seemed to be home free. But…as we now know, things didn’t turn out that way. Labour ended up with 232 seats and the Conservatives swept back to power with an outright majority, after winning only a little more than a third ( 36.9%) of the votes cast.MORE >>
    Also.

  • NZ PM John Key - PM congratulates David Cameron after UK election
  • The Nation IV Transcript - Hack Attack author Nick Davies
  • Get More From Scoop

     

    LATEST HEADLINES

     
     
     
     
     
     
     
     
     
    Parliament
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news