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Cuts will hurt Kiwis but won’t fix broken economy

Phil GOFF
Labour Leader
Wednesday, 11 May 2011

Cuts will hurt Kiwis but won’t fix broken economy

National’s plan to cut KiwiSaver and Working For Families will hurt middle and low-income New Zealanders while doing nothing to address the huge economic problems this country is facing, says Labour Leader Phil Goff.

“Why is John Key prepared to cut our national savings scheme and financial help for families instead of rolling back the $2.5 billion dollars a year he spends on tax cuts for the country’s top earners.

“These cuts will hurt hardworking Kiwis but they won’t address the economic problems created by National where we’re borrowing $380 million a week and are now facing our largest ever deficit.

“National should start by owning the situation it has created. John Key claims fixing the economy is like turning around a super-tanker – the problem is he’s been asleep at the wheel for almost 3 years.

“Why is National prepared to cut home help for frail older New Zealanders, to cut funding for early childhood education, to cut back on savings and financial help for working families when it refuses to touch the $44 million dollars a week it gives in tax cuts to the top 10% of earners.

“This Government’s priorities are all wrong. They are not taking a responsible and balanced approach They are tinkering with the economy and making cuts that won’t turn the dire economic situation around. It’s time National stopped making tired excuses for its shambolic handling of the economy.

“National will go to the polls in November claiming the only way to improve the situation is to cut programmes that support savings and families and to sell off valuable community-owned assets.

“Labour will present voters with a credible plan for turning this country around and getting it moving again through creating jobs with higher incomes, a fairer tax system and actively managing the economy.”

ENDS

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