MEDIA RELEASE

Palmerston North Deal with Toyota Costs Ratepayers $319,000

9 JANUARY 2019
FOR IMMEDIATE RELEASE
The Palmerston North City Council has given an economic grant to Toyota – one of the world’s largest car manufactures - for a local warehouse expansion, costing ratepayers $319,000, the Taxpayers’ Union has exposed today.

“It’s great to see a business investing in Palmerston North, but they should do so out of their own pocket, not using ratepayers’ hard-earned money,” says Patrick Corish, a spokesman for the New Zealand Taxpayers’ Union.

“Toyota is the world’s second largest car manufacturer with a posted annual profit of more than 22 billion US dollars. Why on earth does the Council think it a good use of local ratepayer money to fund corporate welfare to this giant?”

“The corporate gift sets a dangerous precedent. Other large companies will eye up Palmerston North City Council for their own subsidies and special favours. In American and Canadian cities we see multi-million-dollar taxpayer-funded corporate welfare campaigns. Ratepayers will be poorer if we see that here.”

“If the Council wants to create jobs in Palmerston North, it should look to cut rates and run a more efficient operation. Charging local ratepayers more just to send corporate welfare gifts to multinationals, is economic sabotage. Even if it does create a couple of jobs, it robs poor Peter, to pay rich Paul and is immoral.”

More details about the grant are available at www.taxpayers.org.nz/palmerston_north_toyota

ENDS

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