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


Tax cuts irresponsible

2000 web site"A decision to proceed with tax cuts by the National Party conference this weekend would be grossly irresponsible and evidence of political desperation in light of trade data for May showing continuing weakness in New Zealand's external accounts," Labour finance spokesperson Michael Cullen said today.

"The May merchandise trade balance shows a surplus of just $73 million. This is a significant deterioration on last year's figure of $306 million and on the 1990s average of $295 million.

"Even more worrying is that the figures show exports are still declining on a trend basis while import growth is still surging ahead.

"This virtually guarantees a credit downgrade post-election from credit rating agency Standard and Poors which has already placed New Zealand on negative credit watch. But it also carries serious implications for National's tax cutting agenda.

"The big factors behind the deterioration are low commodity prices on the one hand and increased car imports and household spending on the other," Dr Cullen said.

"Car imports are up $55 million against May last year and household spending is up $48 million. To further fuel consumption by throwing tax cuts into the mix will only aggravate the problem.

"National must know this. The issue is whether they will have the courage to act on it or whether they will risk economic sabotage for narrow political advantage."

© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Peters/Ardern Triumph

There are a lot of good reasons to feel joyful about this outcome. It is what so many young voters – the best hope for the country’s future – wanted.

Far more important than the implications for the Economy Gods ( is the dollar up or down? ) last night’s outcome will also mean many, many vulnerable New Zealanders will have a better life over the next three years at least.

Yet the desire for change was in the majority, across the country..>>>More


Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome | Greens on their joining Govt | EDS welcomes new govt | Immigrant groups worry | Feds ready to engage new coalition government | Labour Ministers of the Crown announced


Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election