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


Fiscal Update Shows Winston Effect

ACT Finance spokesman Rodney Hide said today that the Pre-Election Fiscal Update revealed the disastrous effect Winston Peters' spend-up has had on New Zealand.

"The incoming government in 1996 was looking forward to solid growth, falling unemployment and large and sustainable budget surpluses. The rosy forecast was set out in the 1996 Pre-Election Fiscal Update.

"The foolish Coalition spend-up combined with the Asian downturn plunged the economy into recession and cost thousands of New Zealanders their jobs.

"New Zealand has an extra 20,000 unemployed, government is spending an extra $50 a week per household, a $6.4 billion surplus has been entirely evaporated, and New Zealanders have lost out on $3,000 of annual income that should have been theirs. That's what comparing this election's Fiscal Update with that from the last election reveals. Lax fiscal control means taxpayers are having to spend an extra $450 million this year financing government debt.

"This PREFU compared to that of 1996 shows the absolute foolhardiness of Labour and the Alliance's policy of massively higher spending. Winston's spend-up was hard on New Zealanders. Labour and Alliance's even bigger spend-up would be an absolute disaster.

What government needs is a dose of fiscal reality. We need taxpayers keeping more of what they earn and getting real value for money for what government spends.

"ACT is pleased to see that the government has cut back on its "slush fund" for "future initiatives". When ACT first started protesting about government setting aside taxpayers' money for unidentified projects the fund was $800 million cumulative a year. Under pressure from ACT it has been pulled down to $500 million. That's a saving for taxpayers of $1,800 million over three years. That's a good start for once again establishing fiscal discipline," said Rodney Hide.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Zimbabwe: New Democracy, Or A False Dawn?

Gordon Campbell: Robert Mugabe = Hosni Mubarak. The current jubilation on the streets of Harare at the fall of Zimbabwe’s dictator Robert Mugabe is genuine, and one hates to be negative about the country’s future. Yet the situation is eerily similar to the scenes in Cairo in early 2011, when a popular uprising swept Hosni Mubarak from power in Egypt. More>>


Gordon Campbell: On The New Pike River Agency (And The Air Strike Wing)

Much of the sympathy the public still feels for the families of the Pike River miners has been sustained by the sense that the previous government – let alone the mining company and the processes of receivership and litigation – has never dealt honestly, or fairly, with them. More>>


Not Going Swimmingly: Contractor Cut, New Dates For Christchurch Sports Centre

“As an incoming Minister, I have been conducting a thorough review of progress on the Anchor projects and to learn of a $75 million budget blowout on this project was very disappointing..." More>>


Tertiary: Allowances, Loan Living Costs To Get Boost

“From 1 January, student allowance base rates and the maximum amount students can borrow for living costs will rise by a net $50 a week,” says Education Minister Chris Hipkins... further adjusted from 1 April 2018 in line with any increase in the CPI. More>>


Foreign Affairs: Patrick Gower Interviews Jacinda Ardern

Prime Minister Jacinda Ardern says discussions have already begun on how to bring climate change refugees into New Zealand under a Pacific seasonal employment plan... More>>


Gordon Campbell: On The Centre Right’s Love Of ‘Nanny State’

You’d almost think it was 2005 again. That was a time when the rugged individualists of the centre-right were being beset by government regulations on the nature of light-bulbs, the size of shower heads, the junk food available at school tuck shops and other such essentials... More>>

Speaking Of Transport: Public Engagement On Wellington Scenarios

“Our work on possible solutions for Wellington’s transport future is ongoing, but has progressed to the stage where we’re ready to share our ideas with the public and seek their feedback to help guide our next steps...” More>>





Featured InfoPages

Opening the Election