Hon Phil Goff
Leader of the Labour Party

14 January 2009 Media Statement

Goff calls for Economic Summit

Labour leader Phil Goff has called on the Government urgently to convene an economic summit to allow wider community and business input into determining a plan to respond to the economic crisis.

“The time has come to put aside a complacent approach that this is business as usual, and that somehow things will get better while we take a summer break,” Phil Goff said today. “It’s not good enough to have the Prime Minister’s spokesman defending Cabinet’s long holiday break with the comment ‘In the absence of a bank collapsing what would we do?’

“The further deterioration in the world economy requires an urgent New Zealand response, and one which draws on input from across the community and across party lines. It is time to put nation ahead of politics and ahead of sectoral interests,” Phil Goff said.

“Tomorrow’s meeting of a small group of Ministers and officials does not constitute ‘a summit’ as it has been described. A wider and inclusive response is needed, drawing on the knowledge and expertise of the wider community.

“We need to ensure that resources are used to the best possible effect to protect jobs and living standards and to ensure that the burden of economic downturn does not fall disproportionately and unfairly on the most vulnerable.

“There is a real risk of serious social damage being inflicted on those who lose their jobs and those who may lose their homes because of the loss of their jobs or because a fall in property values leaves them with negative equity in their homes,” Phil Goff said.

“New Zealand is fortunate that under Labour it achieved one of the lowest rates of government debt to GDP in the OECD which gives the current Government more scope for counter-cyclical spending

“But it is important that this is used in a way that produces sustainable benefits and that we plan for the medium term and not just immediate needs.

“Labour is prepared to work with the Government to address the challenges ahead and to achieve the best outcome possible for all New Zealanders.

“But the Government’s approach in turn needs to be open and inclusive. The best possible way for it to start would be to convene an economic summit bringing individuals and groups together to build on a plan for an effective and equitable response to the worsening economic situation,” Phil Goff said.

ENDS

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