Farmers applaud responsible budget and urge tax cuts for 2017

Federated Farmers supports the Government’s prudent financial management and maintenance of surpluses announced in today’s Budget.

Federated Farmers President Dr William Rolleston said: "The Government has clearly decided to invest surplus proceeds in a series of funding initiatives for the future including science and skills.

"We strongly support the increase in funding for science and technology and also welcome new spending on skills, transport, establishment of a Freshwater Improvement Fund, regional development, and commitments to fund TB control and to contain the spread of wilding pine.

Federated Farmers supports the Government’s four priorities for fiscal policy.

- Maintaining rising operating surpluses.

- Reducing net debt to around 20 percent of GDP in 2020.

- If economic and fiscal conditions allow, beginning to reduce income taxes.

- Using any further fiscal headroom to reduce debt.

"Government spending should be contained so it stays below 30 percent of GDP and it should be focused on things that will improve productivity and competitiveness.

"All spending should provide strong value for money. We want to see bang for our buck and the prospect of tax cuts as conditions allow, "Dr Rolleston concluded.

ENDS

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