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Bleak Budget offers no plan and no hope

Labour Leader
Thursday, 19 May 2011

Bleak Budget offers no plan and no hope

This Budget exposes National’s lack of courage and vision and its failure to come up with a plan to fix our broken economy, says Labour Leader Phil Goff.

“National has today delivered a Budget that won’t fix our dire economic situation but will hurt hard-working Kiwis struggling to get ahead.

“This Budget undermines the future of KiwiSaver. The cuts to Working for Families will bite deep into the pockets of middle-income Kiwis – another broken promise because National said its changes would only affect top earners.

“The Budget identifies future cuts worth $1 billion in the public sector. But they don’t have a clue where they will come from. Or they just don’t want to say.

“National promised we’d come aggressively out of the recession. It keeps promising that good times are just around the corner. New Zealanders don’t believe them anymore.

“The reality for most Kiwis is that they are hurting. They are struggling to put food on the table, petrol in the car and keep their homes warm as we head into winter. They’re worried that that one in four young New Zealanders are out of work and losing hope.

“What the country needed was bold and courageous action. What we’ve got from National is a long list of broken promises.

“National said it wouldn’t cut KiwiSaver, Working for Families or student loans and that it wouldn’t increase GST. It’s done all of those things.

“Labour accepts that existing spending is not sacrosanct. But if cuts have to be made, they should be justifiable and fair. The sacrifices that need to be made to turn our country around should be fairly shared by all New Zealanders – not just pushed on to those who can afford it the least.

“Labour will relieve the financial pressure from the rising cost of living because we think New Zealanders deserve a break. We will take GST off fresh fruit and vegetables. We will make the first $100 a week tax free. We will implement bold new economic policies and a fairer tax system.

“Labour will put hardworking families at the centre of everything that we do. We will take New Zealand forward with vision and courage.”


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