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Speech From the Throne Foreshadows More Corporate Welfare

Speech From the Throne Foreshadows Even More Corporate Welfare

21 OCTOBER 2014

Responding to the Governor General’s Speech from the Throne, which outlined that the Government’s intentions for the next Parliamentary term would include further Business Growth Agenda initiatives, Taxpayers’ Union Executive Director Jordan Williams says:

“Under the guise of ‘innovation’ Steven Joyce’s programme of corporate welfare looks set to continue, with the Government now trumpeting even more initiatives.”

A recent report by the Taxpayers’ Union, Monopoly Money, found that corporate welfare was costing between $600 and $800 per New Zealander every year. If the programmes identified in the report were cut, enough money would be saved to enable the company tax rate to be reduced from 28 to 22.5 percent.

“Mr Joyce seems to have entrenched expectations in the business world that in order to get ahead they have to get cosy with the government and get their hands on taxpayers’ money.”

“With Treasury expecting economic growth to falter over the coming years, Mr Joyce would be better to cut the company tax rate instead of trying to hand-rear pet businesses with taxpayers’ cash.”

ENDS

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