Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Cullen Confirms Average Household $1,740 Worse Off


Cullen Confirms Average Household $1,740 Worse Off Under Labour

Thursday 11 Nov 2004
Rodney Hide
Press Releases -- Economy


Re-crunched figures supplied by Treasury on changes to household incomes and taxes dig the Finance Minister into a deeper hole, confirming that Kiwi households have been harder hit in real terms under Labour than even I initially thought, ACT New Zealand Leader Rodney Hide said today.

"Dr Cullen's new figures were compiled hastily by Treasury in an attempt to save the Minister's face over earlier data, he signed out, that showed cuts in nominal net incomes," Mr Hide said.

"I waited for the better news but unfortunately it didn't come - in fact, quite the opposite. The new figures reveal that the average Kiwi household is $1,740 a year worse off, with Labour's extra taxes swallowing up two-thirds of the increase in household income between 2000 and 2004.

"Dr Cullen is right when he says the figures only tell half the story. The 6 percent increase in net income must be offset by inflation. However, under Labour, inflation was at 10.4 percent from 2000-04. The fact is that a dollar today just doesn't buy what it did when Labour took office.

"Inflation and higher taxes have squeezed hardworking Kiwis, meaning in real terms, the average household is nearly 4 percent worse off over the last four years.

Treasury-supplied figures:

2000

2004

Increase

Percent

Income

$60,560

$68,280

$7,720

12.7%

Tax

$19,760

$24,960

$5,200

26.3%

Net

$40,800

$43,320

$2,520

6.2%

CPI change:

CPI

Dec-99

Dec-03

1006

1111

CPI increase

Dec years

10.40%

Net income in 2004 dollars:

2000

2004

Change

Percent

$45,058

$43,320

-1738.45

-3.9%

"In real terms, households are on average $1,740 a year worse off than four years ago. That's costing households a staggering $67 a fortnight in money they should've kept!

"Across all 1.5 million households, Kiwis are $2.5 billion worse off.

"It is good that Dr Cullen has now got Treasury to provide these accurate figures. It has been confirmed that New Zealanders are worse off under Labour, and no spin machine, no matter how great, will change this fact," Mr Hide said.

ENDS

For more information visit ACT online at http://www.act.org.nz or contact the ACT Parliamentary Office at act@parliament.govt.nz.


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Why New Zealand Needs To Change Its Defence Habits


In a flashback to the military displays of days gone by, one of our frigates recently joined a Carrier Strike show of force in the South China Sea, en route to a joint military exercise in Singapore with our traditional allies, called BersamaGold21. Reportedly, Anna Powles, from the Centre of Defence and Security Studies at Massey University felt this to be a case of us doing our bit to uphold international law, and the right of free transit through the region in question... More>>

Government: New COVID-19 Protection Framework Delivers Greater Freedoms For Vaccinated New Zealanders


Vaccinated New Zealanders will regain everyday freedoms when the country moves to a new simplified COVID-19 Protection Framework that doesn’t rely on nationwide lockdowns as the main measure to stop the virus spreading. In a suite of announcements that establish a pathway out of restrictions the Government is also providing up to $940 million per fortnight to support businesses through the challenging period... More>>

ALSO:





 
 


Government: Responds To Independent Review Into WorkSafe

The Government has clear expectations that WorkSafe must action the recommendations of the independent review into the regulator to improve its management of adventure activities following the tragedy at Whakaari White Island, Workplace Relations and Safety Minister Michael Wood says... More>>

Government: New Zealand Secures Historic Free Trade Deal With The United Kingdom
New Zealand and the United Kingdom have agreed in principle the details of a historic Free Trade Agreement (FTA), which will further accelerate our COVID-19 economic recovery say Prime Minister Jacinda Ardern and Minister for Trade and Export Growth Damien O’Connor... More>>

ALSO:

Ombudsman: Launches Investigation Into MIQ Booking System
The Chief Ombudsman Peter Boshier is launching a broad investigation into the Managed Isolation and Quarantine (MIQ) booking system after receiving hundreds of complaints... More>>

ALSO:


Pay Cheque To Pay Cheque: Half A Million New Zealanders Have No Savings
New findings from the Consumer NZ sentiment tracker found that 15% of New Zealanders had no savings, and a further 27% were anxious about their level of savings and would like to have more tucked away... More>>


Government: Mandatory Vaccination For Two Workforces

Large parts of two workforces critical to preventing the spread of COVID-19 will be required to be vaccinated, COVID-19 Response Minister Chris Hipkins said today. “Our education and health and disability workforces have done an incredible job throughout this pandemic to keep themselves and people safe,” Chris Hipkins said.... More>>


Green Party: Deeply Concerned Space Launches May Be Breaching Nuclear-free Laws

The Green Party is deeply concerned that space launches by Rocket Lab may be breaching nuclear-free laws, given our long-standing position as a signatory of the Nuclear Non-Proliferation Treaty... More>>


 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels