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KiwiRail Subsidies Not 'Sustainable'

KiwiRail Subsidies Not 'Sustainable'

24 June 2014

Responding to media reports that the Labour Party will prop up the unprofitable Capital Connection railway, Jordan Williams, Executive Director of the Taxpayers’ Union says:

“Labour wants to spend the equivalent of paying $3,040 per year to each commuter using this service.”

“The cost of rail to the taxpayer since being renationalised in 2008 is a whopping $12.2 billion dollars and it’s likely to need more. $12.2 billion is equivalent to over $2,700 per taxpayer – nearly enough buy every Kiwi a return flight to London. Per household, the amount is $6,900 – enough to buy a good, reliable second hand car.”

“Phil Twyford has said that Labour are interested in ensuring that there are sustainable transport options. He should explain to the public how throwing yet more taxpayers’ money at a failing enterprise is ‘sustainable’.”

“Taxpayers should not be burdened with political promises of bringing dead rats to life. Hard-earned taxpayer money shouldn’t continue to be wasted on rail.”

The New Zealand Taxpayers’ Union is a non-partisan activist group, dedicated to being the voice for Kiwi taxpayers in the corridors of power. It’s here to fight government waste and make sure New Zealanders get value for money from their tax dollar.

ENDS

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