Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Golden Opportunity Wasted

Golden Opportunity Wasted

The government today missed a golden opportunity in the Budget Policy Statement to repair battered business confidence, said Don Nicolson, vice president of Federated Farmers of New Zealand (Inc).

According to Treasury’s latest forecasts, economic growth in 2007 and 2008 will be the weakest since 1998 and 1999 following the Asian crisis and severe drought.

“The government could have sent a message today to farmers and other exporters that it values their contributions to economic growth and raising the living standards of all New Zealanders. It could have signalled a readiness to implement new policies to improve productivity and competitiveness.

“Instead today we have more of the same: higher tax and higher spending.

Between 1999 and 2005, tax revenue per person jumped 44% from $7,882 to $11,377, and core Crown expenses per person rose 26% from $8,961 to $11,282.

Treasury’s forecasts suggest that by 2010, tax revenue per person will increase a further 19% to over $13,500 and that core Crown expenses per person will increase a further 26% to over $14,000.

“More of the same is no longer good enough. Federated Farmers urges the government to take decisive action to improve confidence. It must avert a hard economic landing by showing greater willingness to contain growth in government spending, and prioritise its spending on areas delivering value.

“The government also needs to do more to keep a lid on regulatory creep and compliance costs. It must reform the RMA, maintain rather than erode labour market flexibility, and focus on improving infrastructure and skills.

“New Zealand can no longer afford to rely on the good fortune of recent years; now is the time for good management”, said Mr Nicolson.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Retail: New Law Paves Way For Greater Supermarket Competition

Legislation that bans major supermarkets from blocking their competitors’ access to land to set up new stores paves the way for greater competition in the sector, Minister of Commerce and Consumer Affairs Dr David Clark said... More>>



International Business Forum: NZ EU FTA Coming Down To The Wire – Hold The Line

As negotiations accelerate to conclude an ambitious free trade agreement between New Zealand and the European Union, the NZ International Business Forum (NZIBF), representing a cross section of major exporters... More>>


MBIE: NZ space sector set to star in Moon mission
The New Zealand space sector is set to star in NASA’s CAPSTONE moon mission – with Rocket Lab launching a satellite to the Moon from New Zealand in June, and the lift-off of a separate NASA-NZ lunar research project... More>>



MYOB: New Data Shows Increase In SMEs Experiencing Stress And Anxiety

The lingering impacts of the COVID-19 pandemic have led to a surge in the number of local SME owners and operators experiencing stress and anxiety, according to new research from business management platform, MYOB... More>>



Carbonz: Cashing In On Carbon: The New Marketplace Helping Native Forest To Thrive

The country’s first voluntary carbon credit marketplace, Carbonz, is here to restore native biodiversity and help Aotearoa reach its carbon zero goals by selling the first carbon credits exclusively from native forest... More>>
Entrust District: Dividend Will Be Welcomed After Another Tough Year
We’ve all heard of the saying; “if it sounds too good to be true, it probably is” but for Aucklanders within the Entrust District, getting their share of Entrust’s 2022 annual dividend payment really is as good as it sounds... More>>