National’s tax cut dilemma
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- Date published:
10:45 am, March 28th, 2008 - 14 comments
Categories: election 2008, national, tax -
Tags: election 2008, national, tax
If National are so keen to cut taxes and so critical of the Government for not doing so earlier, why are they being so tight-lipped about how they would cut taxes and even the size of their cuts? Because the Budget has them trapped.
Labour plans to announce its tax cuts in the Budget, probably including cuts coming into effect on October 1, before the election. This puts National in a difficult position. They will be going into the election with a tax cut programme already budgeted into future government forecasts and some of those cuts already flowing into voters’ wallets. Any National tax programme that does not incorporate these existing Labour tax cuts will mean taking money away from some voters, which is politically untenable for a pony whose one trick is tax cuts. National will most likely have to accept whatever tax cut programme Labour presents, and certainly will not be able to promise to reverse the tax cuts coming into effect on October 1.
National will only be able to offer additional tax cuts on top of Labour’s. But how much additional money will National have to play with? Colin Espiner estimates National might have a total of $3-$3.5 billion compared to Labour’s $2-$2.5 billion. Given it can’t reverse Labour’s tax cuts, that leaves National with only $0.5-$1.5 billion to play with. That comes out at only $3-$10 a week per taxpayer – not exactly an earth-shaking tax cut plan. Moreover, the additional cuts National proposes will stand in direct contrast to the extra spending Labour offers. Voters will already have decent tax cuts in the bag, National will have to convince them they should vote for a small additional cut (which, in National tradition, will mostly go to the wealthy), rather than new spending on services. That will be a hard sell.
The other option will be for National to blow the budget by offering several billion in tax cuts additional to Labour’s, but to fund that they would have to cut services or run a deficit. Any large cuts would be strongly inflationary. That would blow away National’s new moderate stance and scare away voters. National will go with the second option. National can’t be seen to be Labour lite on tax cuts; it must retain this point of difference by offering much bigger cuts funded by attacking spending. We can see signs of this in Key’s promise to cap the core public service and more vague mumblings about public sector waste, but as we’ve seen such measures will free up very little money.
So, on tax cuts, National is trapped between a rock and a hard place. It will have to follow Labour’s lead and will only be able to offer a pittance on top, or go for broke and promise huge cuts, no matter what the economic and social cost. Facing a fourth term in opposition, which option do you think they’ll take?
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- Release: Government cuts unbelievably target child exploitation, violent extremism, ports and airpor...Some of our country’s most important work, stopping the sexual exploitation of children and violent extremism could go along with staff on the frontline at ports and airports. ...2 weeks ago
- Three strikes has failed before and will fail againResurrecting the archaic three-strikes legislation is an unwelcome return to a failed American-style approach to justice. ...2 weeks ago
- Release: Environmental protection vital, not ‘onerous’The Government’s Fast Track Approvals Bill will give projects such as new coal mines a ‘get out of jail free’ card to wreak havoc on the environment, Labour Leader Chris Hipkins said today. ...2 weeks ago
- Ferris – Three Strikes targets those ‘too brown to be white’The government's decision to reintroduce Three Strikes is a destructive and ineffective piece of law-making that will only exacerbate an inherently biased and racist criminal justice system, said Te Pāti Māori Justice Spokesperson, Tākuta Ferris, today. During the time Three Strikes was in place in Aotearoa, Māori and Pasifika received ...2 weeks ago
- Release: Govt cuts doctors and nurses in hiring freezeCuts to frontline hospital staff are not only a broken election promise, it shows the reckless tax cuts have well and truly hit the frontline of the health system, says Labour Health spokesperson Ayesha Verrall. ...3 weeks ago
- Fast-track submissions period must be extendedThe Green Party has joined the call for public submissions on the fast-track legislation to be extended after the Ombudsman forced the Government to release the list of organisations invited to apply just hours before submissions close. ...3 weeks ago
- Release: Progress on climate will be undone by GovtNew Zealand’s good work at reducing climate emissions for three years in a row will be undone by the National government’s lack of ambition and scrapping programmes that were making a difference, Labour Party climate spokesperson Megan Woods said today. ...3 weeks ago
- Release: Dark day for Kiwi kids as a third of Govt cuts affect themNews that 1000 jobs at the Ministry of Education and Oranga Tamariki could go is devastating for future generations of New Zealanders. ...3 weeks ago
- Ceasefire agreement needed now: Peters
New Zealand is urging both Israel and Hamas to agree to an immediate ceasefire to avoid the further humanitarian catastrophe that military action in Rafah would unleash, Foreign Minister Winston Peters says. “The immense suffering in Gaza cannot be allowed to worsen further. Both sides have a responsibility to ...11 mins ago - Daily school attendance data now availableA new online data dashboard released today as part of the Government’s school attendance action plan makes more timely daily attendance data available to the public and parents, says Associate Education Minister David Seymour. The interactive dashboard will be updated once a week to show a national average of how ...33 mins ago
- Ambassador to United States appointedForeign Minister Winston Peters has announced Rosemary Banks will be New Zealand’s next Ambassador to the United States of America. “Our relationship with the United States is crucial for New Zealand in strategic, security and economic terms,” Mr Peters says. “New Zealand and the United States have a ...4 hours ago
- New permit proposed for recreational gold miningThe Government is considering creating a new tier of minerals permitting that will make it easier for hobby miners to prospect for gold. “New Zealand was built on gold, it’s in our DNA. Our gold deposits, particularly in regions such as Otago and the West Coast have always attracted fortune-hunters. ...5 hours ago
- NZ and the UAE launch FTA negotiationsMinister for Trade Todd McClay today announced that New Zealand and the United Arab Emirates (UAE) will commence negotiations on a free trade agreement (FTA). Minister McClay met with his counterpart UAE Trade Minister Dr Thani bin Ahmed Al Zeyoudi in Dubai, where they announced the launch of negotiations on a ...9 hours ago
- New Zealand Sign Language Week an opportunity for anyone to signNew Zealand Sign Language Week is an excellent opportunity for all Kiwis to give the language a go, Disabilities Issues Minister Louise Upston says. This week (May 6 to 12) is New Zealand Sign Language (NZSL) Week. The theme is “an Aotearoa where anyone can sign anywhere” and aims to ...20 hours ago
- Next stop NASA for New Zealand studentsSix tertiary students have been selected to work on NASA projects in the US through a New Zealand Space Scholarship, Space Minister Judith Collins announced today. “This is a fantastic opportunity for these talented students. They will undertake internships at NASA’s Ames Research Center or its Jet Propulsion Laboratory (JPL), where ...20 hours ago
- $1.9 billion investment to keep NZ safe from crimeNew Zealanders will be safer because of a $1.9 billion investment in more frontline Corrections officers, more support for offenders to turn away from crime, and more prison capacity, Corrections Minister Mark Mitchell says. “Our Government said we would crack down on crime. We promised to restore law and order, ...20 hours ago
- OECD reinforces need to control spendingThe OECD’s latest report on New Zealand reinforces the importance of bringing Government spending under control, Finance Minister Nicola Willis says. The OECD conducts country surveys every two years to review its members’ economic policies. The 2024 New Zealand survey was presented in Wellington today by OECD Chief Economist Clare Lombardelli. ...23 hours ago
- Agreement delivers Local Water Done Well for AucklandThe Government has delivered on its election promise to provide a financially sustainable model for Auckland under its Local Water Done Well plan. The plan, which has been unanimously endorsed by Auckland Council’s Governing Body, will see Aucklanders avoid the previously projected 25.8 per cent water rates increases while retaining ...2 days ago
- Gaza and the Pacific on the agenda with GermanyForeign Minister Winston Peters discussed the need for an immediate ceasefire in Gaza, and enhanced cooperation in the Pacific with German Foreign Minister Annalena Baerbock during her first official visit to New Zealand today. "New Zealand and Germany enjoy shared interests and values, including the rule of law, democracy, respect for the international system ...3 days ago
- Decision allows for housing growth in Western Bay of PlentyThe Minister Responsible for RMA Reform, Chris Bishop today released his decision on four recommendations referred to him by the Western Bay of Plenty District Council, opening the door to housing growth in the area. The Council’s Plan Change 92 allows more homes to be built in existing and new ...4 days ago
- Speech to New Zealand China CouncilThank you, John McKinnon and the New Zealand China Council for the invitation to speak to you today. Thank you too, all members of the China Council. Your effort has played an essential role in helping to build, shape, and grow a balanced and resilient relationship between our two ...4 days ago
- Modern insurance law will protect Kiwi householdsThe Government is modernising insurance law to better protect Kiwis and provide security in the event of a disaster, Commerce and Consumer Affairs Minister Andrew Bayly announced today. “These reforms are long overdue. New Zealand’s insurance law is complicated and dated, some of which is more than 100 years old. ...5 days ago
- Government recommits to equal payThe coalition Government is refreshing its approach to supporting pay equity claims as time-limited funding for the Pay Equity Taskforce comes to an end, Public Service Minister Nicola Willis says. “Three years ago, the then-government introduced changes to the Equal Pay Act to support pay equity bargaining. The changes were ...5 days ago
- Transforming how our children learn to readStructured literacy will change the way New Zealand children learn to read - improving achievement and setting students up for success, Education Minister Erica Stanford says. “Being able to read and write is a fundamental life skill that too many young people are missing out on. Recent data shows that ...5 days ago
- NZ not backing down in Canada dairy disputeTrade Minister Todd McClay says Canada’s refusal to comply in full with a CPTPP trade dispute ruling in our favour over dairy trade is cynical and New Zealand has no intention of backing down. Mr McClay said he has asked for urgent legal advice in respect of our ‘next move’ ...5 days ago
- Stronger oversight for our most vulnerable childrenThe rights of our children and young people will be enhanced by changes the coalition Government will make to strengthen oversight of the Oranga Tamariki system, including restoring a single Children’s Commissioner. “The Government is committed to delivering better public services that care for our most at-risk young people and ...5 days ago
- Streamlining Building Consent ChangesThe Government is making it easier for minor changes to be made to a building consent so building a home is easier and more affordable, Building and Construction Minister Chris Penk says. “The coalition Government is focused on making it easier and cheaper to build homes so we can ...5 days ago
- Minister acknowledges passing of Sir Robert Martin (KNZM)New Zealand lost a true legend when internationally renowned disability advocate Sir Robert Martin (KNZM) passed away at his home in Whanganui last night, Disabilities Issues Minister Louise Upston says. “Our Government’s thoughts are with his wife Lynda, family and community, those he has worked with, the disability community in ...6 days ago
- Speech to New Zealand Institute of International Affairs, Parliament – Annual Lecture: Challenges ...Good evening – Before discussing the challenges and opportunities facing New Zealand’s foreign policy, we’d like to first acknowledge the New Zealand Institute of International Affairs. You have contributed to debates about New Zealand foreign policy over a long period of time, and we thank you for hosting us. ...6 days ago
- Accelerating airport security linesFrom today, passengers travelling internationally from Auckland Airport will be able to keep laptops and liquids in their carry-on bags for security screening thanks to new technology, Transport Minister Simeon Brown says. “Creating a more efficient and seamless travel experience is important for holidaymakers and businesses, enabling faster movement through ...6 days ago
- Community hui to talk about kina barrensPeople with an interest in the health of Northland’s marine ecosystems are invited to a public meeting to discuss how to deal with kina barrens, Oceans and Fisheries Minister Shane Jones says. Mr Jones will lead the discussion, which will take place on Friday, 10 May, at Awanui Hotel in ...6 days ago
- Kiwi exporters win as NZ-EU FTA enters into forceKiwi exporters are $100 million better off today with the NZ EU FTA entering into force says Trade Minister Todd McClay. “This is all part of our plan to grow the economy. New Zealand's prosperity depends on international trade, making up 60 per cent of the country’s total economic activity. ...6 days ago
- Mining resurgence a welcome signThere are heartening signs that the extractive sector is once again becoming an attractive prospect for investors and a source of economic prosperity for New Zealand, Resources Minister Shane Jones says. “The beginnings of a resurgence in extractive industries are apparent in media reports of the sector in the past ...6 days ago
- Ō-Rākau Remembrance Bill passes first readingThe return of the historic Ō-Rākau battle site to the descendants of those who fought there moved one step closer today with the first reading of Te Pire mō Ō-Rākau, Te Pae o Maumahara / The Ō-Rākau Remembrance Bill. The Bill will entrust the 9.7-hectare battle site, five kilometres west ...7 days ago
- Government to boost public EV charging networkEnergy Minister Simeon Brown has announced 25 new high-speed EV charging hubs along key routes between major urban centres and outlined the Government’s plan to supercharge New Zealand’s EV infrastructure. The hubs will each have several chargers and be capable of charging at least four – and up to 10 ...7 days ago
- Residential Property Managers Bill to not progressThe coalition Government will not proceed with the previous Government’s plans to regulate residential property managers, Housing Minister Chris Bishop says. “I have written to the Chairperson of the Social Services and Community Committee to inform him that the Government does not intend to support the Residential Property Managers Bill ...7 days ago
- Independent review into disability support servicesThe Government has announced an independent review into the disability support system funded by the Ministry of Disabled People – Whaikaha. Disability Issues Minister Louise Upston says the review will look at what can be done to strengthen the long-term sustainability of Disability Support Services to provide disabled people and ...1 week ago
- Justice Minister updates UN on law & order planJustice Minister Paul Goldsmith has attended the Universal Periodic Review in Geneva and outlined the Government’s plan to restore law and order. “Speaking to the United Nations Human Rights Council provided us with an opportunity to present New Zealand’s human rights progress, priorities, and challenges, while responding to issues and ...1 week ago
- Ending emergency housing motels in RotoruaThe Government and Rotorua Lakes Council are committed to working closely together to end the use of contracted emergency housing motels in Rotorua. Associate Minister of Housing (Social Housing) Tama Potaka says the Government remains committed to ending the long-term use of contracted emergency housing motels in Rotorua by the ...1 week ago
- Trade Minister travels to Riyadh, OECD, and DubaiTrade Minister Todd McClay heads overseas today for high-level trade talks in the Gulf region, and a key OECD meeting in Paris. Mr McClay will travel to Riyadh to meet with counterparts from Saudi Arabia and the Gulf Cooperation Council (GCC). “New Zealand’s goods and services exports to the Gulf region ...1 week ago
- Education priorities focused on lifting achievementEducation Minister Erica Stanford has outlined six education priorities to deliver a world-leading education system that sets Kiwi kids up for future success. “I’m putting ambition, achievement and outcomes at the heart of our education system. I want every child to be inspired and engaged in their learning so they ...1 week ago
- NZTA App first step towards digital driver licenceThe new NZ Transport Agency (NZTA) App is a secure ‘one stop shop’ to provide the services drivers need, Transport Minister Simeon Brown and Digitising Government Minister Judith Collins say. “The NZTA App will enable an easier way for Kiwis to pay for Vehicle Registration and Road User Charges (RUC). ...1 week ago
- Supporting whānau out of emergency housingWhānau with tamariki growing up in emergency housing motels will be prioritised for social housing starting this week, says Associate Housing Minister Tama Potaka. “Giving these whānau a better opportunity to build healthy stable lives for themselves and future generations is an essential part of the Government’s goal of reducing ...1 week ago
- Tribute to Dave O'SullivanRacing Minister Winston Peters has paid tribute to an icon of the industry with the recent passing of Dave O’Sullivan (OBE). “Our sympathies are with the O’Sullivan family with the sad news of Dave O’Sullivan’s recent passing,” Mr Peters says. “His contribution to racing, initially as a jockey and then ...1 week ago
- Speech – Eid al-FitrAssalaamu alaikum, greetings to you all. Eid Mubarak, everyone! I want to extend my warmest wishes to you and everyone celebrating this joyous occasion. It is a pleasure to be here. I have enjoyed Eid celebrations at Parliament before, but this is my first time joining you as the Minister ...1 week ago
- Government saves access to medicinesAssociate Health Minister David Seymour has announced Pharmac’s largest ever budget of $6.294 billion over four years, fixing a $1.774 billion fiscal cliff. “Access to medicines is a crucial part of many Kiwis’ lives. We’ve committed to a budget allocation of $1.774 billion over four years so Kiwis are ...1 week ago
- Pharmac Chair appointedHon Paula Bennett has been appointed as member and chair of the Pharmac board, Associate Health Minister David Seymour announced today. "Pharmac is a critical part of New Zealand's health system and plays a significant role in ensuring that Kiwis have the best possible access to medicines,” says Mr Seymour. ...1 week ago
- Taking action on Fetal Alcohol Spectrum DisorderHundreds of New Zealand families affected by Fetal Alcohol Spectrum Disorder (FASD) will benefit from a new Government focus on prevention and treatment, says Health Minister Dr Shane Reti. “We know FASD is a leading cause of preventable intellectual and neurodevelopmental disability in New Zealand,” Dr Reti says. “Every day, ...1 week ago
- Iran is gaining credibility in the Muslim world and feeling emboldened. This doesn’t bode well for...
Source: The Conversation (Au and NZ) – By Shahram Akbarzadeh, Convenor of the Middle East Studies Forum (MESF), and Acting Director the Alfred Deakin Institute for Citizenship and Globalisation, Deakin University Iran’s leadership has been a direct beneficiary of the months-long war in Gaza. With every missile that Israel fires ...17 mins ago - Bougainville ‘other avenues’ report ‘sensationalised’, claims MakibaPNG Post-Courier Bougainville Affairs Minister Manasseh Makiba has described the Post-Courier’s front page story yesterday regarding a meeting between Bougainville and national government leaders as “sensationalised” and without substance. The Autonomous Bougainville Government (AGB) had warned it might use “other avenues to gain its independence” should the PNG government “continue ...1 hour ago
- Government on track for increased deficit despite fall in spending – Treasury
The government books are worsening as a fall in tax outpaces cuts to spending, leaving it on course to post a sizable deficit. ...2 hours ago - Luxon and Mitchell weren’t mixed up, they were using girl maths
Where some saw the worst press conference given by the government to date, Anna Rawhiti-Connell recognised girl maths game. Nicola Willis, recently exasperated by comparisons to Ruth Richardson, said she was “a bit sick of being compared with every female finance minister that’s ever been out there.” Some think that’s ...2 hours ago - Interim Financial Statements Of The Government Of New Zealand For The Nine Months Ended 31 March 20...
The March results are reported against forecasts based on the Half Year Economic and Fiscal Update 2023 (HYEFU 2023), published on 20 December 2023 and the results for the same period for the previous year. ...3 hours ago - NZ First MP Jamie Arbuckle, who wanted to keep his pay as councillor pay too, changes his mindJamie Arbuckle, the district councillor who became an MP but decided to keep getting paid for both roles, will instead donate one salary to charity. ...3 hours ago
- Jamie Arbuckle MP – Re: My Position As Marlborough District CouncillorThis is my fifth term as a Marlborough District Councillor, I am passionate about local issues, and I will continue to work hard for my community. ...3 hours ago
- Adding gender to the Human Rights Act – what’s the big deal?Adding gender to the Human Rights Act would simply make the implicit explicit. So why is it so controversial? Paul Thistoll explain. At present, Aotearoa’s 1993 Human Rights Act (HRA) includes sex, marital status, religious belief, ethical belief (meaning a lack of religious belief), colour, race, ethnicity or national origin, ...3 hours ago
- Carmel Sepuloni believed to be contestant on new season's Celebrity Treasure IslandThe new season of Celebrity Treasure Island is due to hit New Zealand screens later this year. ...4 hours ago
- The cost of being: A flatting student who’s saving for more tattoosAs part of our series exploring how New Zealanders live and our relationship with money, an 18-year-old who’s studying and working in hospo shares their approach to spending and saving. Want to be part of The Cost of Being? Fill out the questionnaire here. Gender: Transmasc Age: 18 Ethnicity: Pākehā/Māori Role: Student, ...5 hours ago
- 'He got it mixed up' – PM backs Corrections Minister despite announcement muddleThe prime minister is backing Corrections Minister Mark Mitchell, saying he "quickly clarified" a confusing media conference announcement. ...5 hours ago
- How the fast-track law could expose future NZ governments to expensive trade disputesSource: The Conversation (Au and NZ) – By Jane Kelsey, Emeritus Professor of Law, University of Auckland, Waipapa Taumata Rau Getty Images Resources Minister Shane Jones has reportedly asked officials for advice on whether oil and gas companies could be offered “bonds” as compensation if drilling rights offered by ...5 hours ago
- Crisis of faith: why Australian women have so little trust in religious institutionsSource: The Conversation (Au and NZ) – By Kate Gleeson, Associate Professor of Law, Macquarie University Shutterstock The Albanese government is weighing up the costs of delivering an election promise to protect religious people from discrimination in Commonwealth law. Such protections were relatively uncontroversial when included in state anti-discrimination ...5 hours ago
- Terminal lucidity: why do loved ones with dementia sometimes ‘come back’ before death?Source: The Conversation (Au and NZ) – By Yen Ying Lim, Associate Professor, Turner Institute for Brain and Mental Health, Monash University Pexels/Andrea Piacquadio Dementia is often described as “the long goodbye”. Although the person is still alive, dementia slowly and irreversibly chips away at their memories and the ...5 hours ago
- Making merry: how we brought Melbourne’s Merri Creek back from pollution, neglect and weedsSource: The Conversation (Au and NZ) – By Judy Bush, Senior Lecturer in Urban Planning, The University of Melbourne Adam Calaitzis/Shutterstock I met with a friend for a walk beside Merri Creek, in inner Melbourne. She had lived in the area for a few years, and as we walked ...5 hours ago
- This group rid one Australian river of its privet problem – and strengthened community along the w...Source: The Conversation (Au and NZ) – By Sonia Graham, DECRA Fellow, University of Wollongong Lekali Studio/Shutterstock Privet is a popular garden hedge. It grows quickly and responds well to being pruned. But in natural areas, privet is a problem. Like 72% of weeds in Australia, privet escaped ...5 hours ago
- Australian artists only earn $23,200 a year from their art – and are key financial investors in ke...Source: The Conversation (Au and NZ) – By David Throsby, Distinguished Professor of Economics, Macquarie University Arts companies and individual artists in Australia are supported by government arts agencies, philanthropists, industry bodies, private donors and patrons. However, it is frequently overlooked that a major source of support for the arts ...5 hours ago
- Experts Sign Open Letter To Legalise Drugs In New ZealandHarm Reduction Coalition Aotearoa, a new incorporated society dedicated to ending harmful drug policies, officially launched today, seeks a new fit-for-purpose drug law for Aotearoa New Zealand, rooted in science, experience and evidence. ...5 hours ago
- Politics live: Mark Mitchell, Christopher Luxon face questions after Corrections confusionThe Corrections Minister admits he "muddied the water" after he and the Prime Minister repeatedly provided incorrect information about a $1.9 billion prison spend-up. ...6 hours ago
- Messy press conference prompts correction over Corrections fundingIt took a post-post-cabinet statement to confirm that 810 new beds will be built at Waikeria, writes Stewart Sowman-Lund in this extract from The Bulletin. To receive The Bulletin in full each weekday, sign up here. ...6 hours ago
- Politics live: Mark Mitchell, Christopher Luxon face questions after confusion CorrectionsThe Prime Minister and Corrections Minister repeatedly provided incorrect information about their $1.9 billion planned prison spend-up. ...6 hours ago
- Young Star burns bright for her Fiji family
Lili Tokaduadua was only 15 when she left her family in Fiji to pursue her netball dream in New Zealand. She’d been playing the sport for 10 years and was offered a netball scholarship at Auckland’s Howick College. Now, in her first year out of high school, the 19-year-old defender ...7 hours ago - Plucky Foodstuffs crushed by the iron fist of big bicycleThe beloved local grocers lost a legal challenge to stop a new cycleway outside their store. Joel MacManus reports. In the annals of New Zealand legal history, there are a few brave people who have dared to stand up to the powers that be, no matter how bleak the odds ...9 hours ago
- Seven graphs that show where New Zealand’s food comes from… and where it goesHow what we produce and what we eat connects us to the world beyond our shores, visualised. Walking around a supermarket or vege shop, it might be obvious that everything on the shelves came from somewhere. But you might ...9 hours ago
- Q&A – avian influenza H5N1Professor Jemma Geoghegan, of the University of Otago, Otakou Whakaihu Waka, co-leads a Te Niwha project aimed at understanding how and where avian influenza could affect Aotearoa New Zealand, as the highly infectious H5N1 virus spreads globally. The virus has now spread to all continents except Oceania and was recently ...9 hours ago
- The repressive underside of Rwanda’s regimeThirty years on from Rwanda’s genocide, is guilt over the atrocities is blinding the world to the true nature of its current leadership? The post The repressive underside of Rwanda’s regime appeared first on Newsroom. ...9 hours ago
- World shines a light on NZ’s human rights breachesOpinion: Last week, important recommendations for our criminal justice system were made by the international community. Every five years, each member of the United Nations has its human rights practices reviewed. This rolling event – the Universal Periodic Review – is the culmination of a government reporting on its human ...9 hours ago
- The mutant bird flu lurking on our bordersHighly pathogenic avian influenza – H5N1, or bird flu – has been flying around the world since the late 1990s. New Zealand, Australia and the Pacific Islands are so far free of it, but now it’s been discovered in mainland Antarctica and scientists say it’s only a matter of time ...9 hours ago
- Meridian Energy: no need to ‘engage’ locals ahead of fast-track applicationsFor projects of national significance, the energy giant recommends applicants need only “notify” those potentially affected The post Meridian Energy: no need to ‘engage’ locals ahead of fast-track applications appeared first on Newsroom. ...9 hours ago
- How Kiwis are getting their families out of PalestineMohammed paid $70,000 to get his 10 family members into Egypt. They still don’t have a clear way into New Zealand. The post How Kiwis are getting their families out of Palestine appeared first on Newsroom. ...9 hours ago
- Newsroom daily quiz, Tuesday 7 MayLoading…(function(i,s,o,g,r,a,m){var ql=document.querySelectorAll('A,DIV,A[data-quiz],DIV[data-quiz]'); if(ql){if(ql.length){for(var k=0;k<ql.length;k++){ql[k].id='quiz-embed-'+k;ql[k].href="javascript:var i=document.getElementById('quiz-embed-"+k+"');try{qz.startQuiz(i)}catch(e){i.start=1;i.style.cursor='wait';i.style.opacity='0.5'};void(0);"}}};i['QP']=r;i[r]=i[r]||function(){(i[r].q=i[r].q||[]).push(arguments)},i[r].l=1*new Date();a=s.createElement(o),m=s.getElementsByTagName(o)[0];a.async=1;a.src=g;m.parentNode.insertBefore(a,m)})(window,document,'script','https://take.quiz-maker.com/3012/CDN/quiz-embed-v1.js','qp'); Got a good quiz question? Send Newsroom your questions. The post Newsroom daily quiz, Tuesday 7 May appeared first on Newsroom. ...9 hours ago
- On the legendary Phil Wood of Phil Wood Menswear, WestportThe following interview with auto electrician and former caver Stu Berendt, 68, of Charleston on the West Coast, came about because he was part of the caving team that found the rare and amazing fossil remains of the giant Haast eagle, the subject of one of the year’s best books, ...9 hours ago
- The economic case against conscriptionOpinion: How economists helped to end slavery and conscription in the US and elsewhere The post The economic case against conscription appeared first on Newsroom. ...9 hours ago
- Can Pharmac do more with the same pot of money?A $1.8b funding boost for Pharmac still won’t enable it to buy more drugs, raising questions about the Government’s approach to the agency The post Can Pharmac do more with the same pot of money? appeared first on Newsroom. ...9 hours ago
- National progressing changes to NZ Super’s ownership rulesLabour early last year introduced a bill to allow New Zealand’s pension fund to own more than half of a company or asset The post National progressing changes to NZ Super’s ownership rules appeared first on Newsroom. ...9 hours ago
- Neediest areas are being shortchanged on government funds − even with programs designed to benefit...Source: The Conversation (Au and NZ) – By Eric Stokan, Assistant Professor of Political Science, University of Maryland, Baltimore County If you live in one of the most economically deprived neighborhoods in your city, you might think the government is directing a smaller share of public funds to your community. ...13 hours ago
- Tackling Pacific media’s crucial role in climate crisis and press freedomWansolwara The news media’s crucial role in climate change and environment journalism was the focus of The University of the South Pacific’s Journalism Programme 2024 World Press Freedom Day celebrations. The European Union Ambassador to the Pacific, Barbara Plinkert, and Pacific Islands Forum Secretary General Henry Puna were the chief ...14 hours ago
- QANTAS has finally settled its ‘ghost flights’ lawsuit for $120 million. What’s next?Source: The Conversation (Au and NZ) – By Michael Adams, Professor of Corporate Law & Academic Director of UNE Sydney campus, University of New England Last August, the Australian Competition and Consumer Commission (ACCC) launched legal proceedings against Qantas. The consumer watchdog accused the airline of selling thousands of tickets ...15 hours ago
- Contradictions and confusion: More questions than answers at government press conferenceThe Prime Minister and Corrections Minister repeatedly provided incorrect information about their $1.9 billion planned prison spend-up. ...18 hours ago
- A View from Afar: Buchanan and Manning – A moment of frictionThis episode of A View From Afar was recorded LIVE on May 6, 2024 (NZST) which is Sunday evening, May 5, 2024 at 8:30pm (USEST). In an analytical essay titled ‘A moment of friction’ political scientist Dr Paul Buchanan wrote how we are living within a decisive moment ...19 hours ago
- Can I take your order – and your data? The hidden reason retailers are replacing staff with AI bot...Source: The Conversation (Au and NZ) – By Cameron Shackell, Sessional Academic and Visitor, School of Information Systems, Queensland University of Technology Linus Zoll / Google DeepMind / Unsplash You might have seen viral videos of Wendy’s drive-thru customers in the United States ordering their fast food from the ...19 hours ago
- The steamiest movie of the year has almost no sex in it. How did Challengers do it?Source: The Conversation (Au and NZ) – By Alison Taylor, Assistant Professor, Bond University Metro Goldwyn Mayer Pictures At the crux of the critical response to Luca Guadagnino’s new movie Challengers is one word: “sexy”. The film charts a love triangle between three up-and-coming tennis players: Tashi (Zendaya), ...19 hours ago
- The Australian public service is letting Indigenous people down. How do we fix it?Source: The Conversation (Au and NZ) – By Jenny Stewart, Professor of Public Policy, ADFA Canberra, UNSW Sydney For years, First Nations people have been telling governments they want to be listened to. In particular, they want more ownership of the programs and services that are supposed to help them. ...20 hours ago
- Curious Kids: why do trees have bark?Source: The Conversation (Au and NZ) – By Gregory Moore, Senior Research Associate, School of Ecosystem and Forest Sciences, The University of Melbourne Why do trees have bark? Julien, age 6, Melbourne. This is a great question, Julien. We are so familiar with bark on trees, that most of us ...20 hours ago
- Prime Minister Christopher Luxon announces $1.9 billion plan to make NZ saferThe Prime Minister says there will be a "significant investment" in funding for frontline Corrections staffing and services. ...21 hours ago
- Surgery is the default treatment for ACL injuries in Australia. But it’s not the only waySource: The Conversation (Au and NZ) – By Anthony Nasser, Senior Lecturer in Physiotherapy, University of Technology Sydney PeopleImages.com – Yuri A/Shutterstock The anterior cruciate ligament (ACL) is an important ligament in the knee. It runs from the thigh bone (femur) to the shin bone (tibia) and helps stabilise ...21 hours ago
- Inflation, education and productivity: Some of the problems NZ needs to fix, according to the OECDThe country is being told it needs to get inflation under control, balance the books, raise educational achievement, and lift productivity. ...21 hours ago
- Live: Prime Minister Christopher Luxon's post-Cabinet updateWatch RNZ's livestream of the press conference and follow our blog for all the latest updates. ...22 hours ago
- Voluntary redundancies at Ministry of Business, Innovation and Employment bring its tally of job los...The latest round of voluntary redundancies at the ministry has lifted RNZ's count of public sector job cuts to more than 4000. ...22 hours ago
- UK Tories perform badly at local elections; Labor still narrowly ahead in Australian pollsSource: The Conversation (Au and NZ) – By Adrian Beaumont, Election Analyst (Psephologist) at The Conversation; and Honorary Associate, School of Mathematics and Statistics, The University of Melbourne I covered the May 2 United Kingdom local government elections for The Poll Bludger. The Blackpool South parliamentary byelection was also held, ...23 hours ago
- Hundreds of cities have achieved zero road deaths in a year. Here’s how they did itSource: The Conversation (Au and NZ) – By Matthew Mclaughlin, Adjunct Research Fellow, The University of Western Australia Matthew Mclaughlin It’s National Road Safety Week and it comes on the back of a year in which 1,286 people died on Australian roads. The rising road toll – up 8.2% ...23 hours ago
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The US has found a way, they borrowed for tax cuts starting in 2002, but now they are just printing the money so that nanny state can bail out wall st.
The pressure will come from big business here after the election to cut the state sector in spite of any promises/targets/goals to the contrary and they have the perfect person who can do double backfips
“why are they being so tight-lipped about how they would cut taxes and even the size of their cuts?”
perhaps because theirs will also be a “chewing gum” tax cut, and once that’s clear all National will have to offer voters is inexperience and equivocation?
If I’ve already got a tax cut from Labour, why am I going to vote for Johnny K if he’s only got $3 more a week on offer? Better to stick with experienced government than a slippery joker who always seems out of his depth
I agree with GWW, there are already signs that National will borrow to fund tax cuts. If you look at Englishs recent questions to Cullen, many have been suggesting that the government has been borrowing so why shouldn’t National borrow for tax cuts. The difference is that Labours borrowing has been for infrastructure, but nonetheless the direction seems clear.
In the past there has been a tactic from the right to borrow for tax cuts, and then, when the deficit becomes a problem, cut services. This forces left opponents to either campaign on tax increases and smaller cuts, or to also cut taxes. Either way its a win win for the right.
What about when Labour won in 1999? They promised higher taxes and better services didn’t they?
Steve Pierson
The only dilemma with tax cuts is for Labour. They have pissed around for so long now that Dr. Cullen is reduced to saying Labour tax cuts will be smaller than Nationals. That’s the scope of their policy release?
Good god is Labour’s only answer to National’s policy to pip them at the post to implement it? Is this as good as it gets for Labour?
After 9 years of saying ‘read my lips – tax cuts bad’, polls are looking shabby and now Labour plan to beat National by implementing the one thing they have denigrated National over for 9 years! OMG – You think this is good, have you no principals at all?
He could mean a tax cut in terms of moving the tax brackets…but I doubt it.
Actually – I think Labour intends to beat National by proving that they’re better at managing the economy. Yes, I do think this is a good idea. Yes, I do have principals.
I doubt it Draco Labour aren’t stupid they will know that Tax cuts are critical to securing votes with the public and despite not wanting to enter a bidding war and lolly scramble with National that’s what this election will become.
Personally, I think Labour holding off on tax cuts was probably a good thing. It’s given us the resources to hold on during the coming global recession triggered by the US mortgage crisis, and has also made sure that tax cuts will be reasonably substantial while still maintaining spending and not borrowing. That’s practically a miracle. Another term with Cullen could only help the economy, I think.
As for National’s strategy- they’ve already mentioned it. Borrow, borrow, borrow. I’m frankly amazed that they can talk of borrowing and of preventing inflation at the same time, but hey, you can’t expect the mainstream media to catch them that easily, I guess.
Actually Ari, not all borrowing is bad. Almost all companies borrow money as bridging finance for growth. And if you can get 16% return on investment using money that you have borrowed at 9% then you are 7% better off. The real question we should be asking National is “What are you borrowing the money for, and what return to do you expect to see for that money borrowed”
At the risk of sounding heartless, I’d suggest that borrowing overseas money to fix health is a bad idea as it’s unlikely to return on investment. But borrowing overseas money to grow tourism is a good idea as it’s likely to return more than what was initially borrowed.
Agreed Darryl. Here’s another way of looking at it…
The interest rate on secondary market government bonds (a good proxy for the interest rate payable for ‘government debt’) is roughly 6.5%.
Meanwhile, the effective mortgage rate for housing borrowing is 8.5%. This is pretty much the LOWEST interest rate Householders (that is, you and I) are going to be paying for taking on debt – credit cards, personal loans, OD’s, HP etc are all much much higher.
It’s fairly easy to see who is getting the better deal when it comes to going into debt! As such, any tax cuts delivered via borrowing (whether directly, or by proxy through borrowing for public services) connected hand-in-hand to sensible policies designed to reduce household debt, can only be a good thing