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Middle New Zealand needs someone on their side

06 December 2010

Media Statement

Middle New Zealand needs someone on their side

Labour will step in and actively manage the economy in a new, more aggressive, hands-on approach to ease the financial pain being felt by middle and low-income earners, says Labour Leader Phil Goff.

“Middle income earners are being squeezed and the financial pain they’re feeling is getting worse not better. National has no plan to help them. It’s left them feeling frustrated, unable to get ahead and worried about the future for themselves and their children.”

Speaking to a business audience in Auckland this afternoon, Phil Goff said lower and middle income earners are paying a greater share of total tax, while top earners are paying less. Labour will turn that around.

“Middle income earners need someone on their side. They don’t want grand plans and they’re not interested in entitlement. They want a Government that is going to deliver achievable and realistic gains. They don’t want big promises and I won’t be making them. I am realistic about what it takes to turn things around.”

Labour’s plan is to use the power of government to get stuck in to help families and grow the economy, said Phil Goff.
“We won’t be going into the election promising to tax and spend. Our strategy involves creating higher income and better jobs. Our priorities will be creating jobs, keeping the cost of living down and giving our children the best start in life. Any new social spending will need to be paid for by reallocating spending or growth.”

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Labour’s economic plan involves reforming the Reserve Bank to help exporters, paying off net debt much faster, increasing our savings, developing innovation and high value exports, said Phil Goff.

“National is simply sitting back, trying to ride out the tough times. So far, it’s come up with nothing but gimmicks like cycleways and job summits. It has no plan, just blind faith that somehow giving big tax cuts to top earners will trickle down to middle and low-income earners.

“Labour will actively manage the economy to ensure all New Zealanders are better off, not just the privileged few.”


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