A Labour Government will run surpluses while investing in health and education, and paying off National’s record debt, Labour Leader David Cunliffe says.
“Our Economic Upgrade will transform the New Zealand economy to higher value and higher incomes through higher investment, innovation and industry development.
“This will grow our economy and secure well-paid jobs and a more prosperous, sustainable future. This transformation will be based on a solid fiscal foundation.
“Labour will introduce a new, progressive top tax rate of 36 per cent on income over $150,000; that’s the top 2 per cent of income earners. We will also raise trustee income tax to 36 per cent to avoid trusts being used as tax avoidance vehicles.
“This combined with our capital gains tax will allow the Labour-led Government to run surpluses and pay down National’s record debt by the end of our second term,” David Cunliffe says.
David Parker says: “Everything is paid for, plus we are in surplus.
“Labour will set aside money to ensure service levels in health and education are maintained to meet inflation and population growth. Any new policies we announce for these sectors will be clearly and transparently funded by new spending.
“Labour will also clamp down on tax avoidance by multi-national corporations because we believe that everyone should pay their fair share.
“All Kiwis want a well-paid and secure job, the chance to buy their own home and to be able to afford to raise a healthy and happy family. To give every Kiwi those opportunities, we need to grow a strong economy.
“That means we need solid and stable economic management. Labour’s fiscal strategy is the cornerstone of a positive change for New Zealand that only a Labour-led government can provide,” David Parker says.