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Sticking plaster remedy fails to address issue

Sticking plaster remedy fails to address causes of rates increases

“The Rodney Hide rating cap formula is only a sticking plaster remedy for rising rates” claims Heather M. Smith, Seniors Advocate for Democrats for social Credit, commenting on a Bill due for discussion when Parliament resumes this week.

“The Bill fails to tackle the causes of inflation. It also fails to address the flawed infrastructure funding mechanism which is the underlying cause of rates increases. And it certainly does not deserve the support of United Future whose Copeland Bill (2004) to remove GST from rates was not only rejected by ACT but vehemently ridiculed as well – leading to that Bill being defeated before it could go to the Select Committee stage.”

Ms Smith called for informed public debate on local government funding.

“Central government, local government and ratepayers must meet the challenge by thoroughly investigating and discussing all alternative funding options, including the Democrats for social credit plan to issue interest free loans from the Reserve Bank for essential infrastructure work and the removal of GST from rates.”

ENDS

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