Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Axing Kiwisaver Kick Start Payment a Terrible Signal

21 May 2015

Axing Kiwisaver Kick Start Payment a Terrible Signal


Financial Services Council (FSC) Reaction to Dropping Kiwisaver $1000 Kick Start Incentive

This is a terrible signal for younger New Zealanders starting out saving for the first home and a comfortable retirement using Kiwisaver against the background of an aging population.

This is how the FSC CEO Peter Neilson reacted to the abolition of the $1000 Kiwisaver kick start payment costing $500m over the next four years to help the Government deliver a wafer thin surplus for 2015/2016.

This is like a parent raiding their own child’s piggy bank to pay for a round of drinks already promised down at the pub.

Raiding the piggy banks of the next generation is not the smartest move when the population is ageing. It is a pity, that the Government’s failure to manage its own finances, will hold back some younger New Zealander’s from better managing their own future finances.

The Government in an earlier budget had already cut back on the Government’s top up payment that incentivises Kiwisavers to save more. The savings from this move would have been better applied to reducing the bias against Kiwisaver investments compared to the treatment for rental property.

FSC is the industry body for Kiwisaver providers and personal insurance providers.

ends

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Passports And IDs Left Online: Privacy Breach On Tuia 250 Aplications

The Ministry for Culture and Heritage yesterday revealed it had mistakenly exposed the sensitive details of about 300 mostly young people online...

Technology commentator Paul Spain said while most of the information was gone from the internet, the question was who had accessed it while it was online.

"This could be a problem for them for months if not years to come because others are now able to impersonate them and they could do all sorts of things when they [can] pretend to be someone else." More>>

 

Gordon Campbell: Why NZ Shouldn’t Try To Curry Favour With Trump

Dutifully, Denmark had lined up militarily alongside the US in Bosnia, Afghanistan, Syria and during the Iraq War. This means nothing. In a heartbeat, the current US President will trash any ally, and on the flimsiest of pretexts. More>>

Gordon Campbell: On The Commerce Commission Fuel Report

The interim Commerce Commission report on the fuel industry will do nothing to endear the major oil companies to the New Zealand public... More>>

ALSO:

Emergency Govt Bill: Overriding Local Licensing For The Rugby

“It’s pretty clear some clubs are having difficulty persuading their district licensing committees to grant a special licence to extend their hours for this obviously special event, and so it makes sense for Parliament to allow clubs to meet a community desire." More>>

ALSO:

Leaving Contract Early: KiwiBuild Programme Losing Another Top Boss

Ms O'Sullivan began a six-month contract as head of KiwiBuild Commercial in February, but the Housing Ministry has confirmed she has resigned and will depart a month early to take up a new job. More>>

ALSO:

Proposed National Policy Statement: Helping Our Cities Grow Up And Out

“We need a new approach to planning that allows our cities to grow up, especially in city centres and around transport connections. We also have to allow cities to expand in a way that protects our special heritage areas, the natural environment and highly productive land." More>>

ALSO:

Ombudsman's Report: Ngāpuhi Elder 'Shocked' By Conditions At Ngawha Prison

A prominent Ngāpuhi elder is shocked to find inmates at Ngawha Prison are denied water and forced to relieve themselves in the exercise yard... Chief Ombudsman Peter Boshier has released a report highly critical of conditions at the Northland prison. More>>

ALSO:

Promises: Independent Election Policy Costing Unit A Step Closer

The creation of an entity to provide political parties with independent and non-partisan policy costings is a step closer today, according to Finance Minister Grant Robertson and Associate Finance Minister James Shaw. More>>

ALSO:

School's In: Primary And Intermediate Principals Accept New Offer

Primary and intermediate school principals have voted to accept a new settlement from the Ministry of Education, which includes entrenched pay parity with secondary principals. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels