Cuts for you, tax cuts for Brash

Written By: - Date published: 11:40 am, August 11th, 2011 - 56 comments
Categories: national/act government, public services - Tags:

ACT’s Spending Cap Bill is coming to Parliament. It would cap government spending and only let it grow each year by inflation and population growth. At first blush, and assuming that you don’t want the government to do anything it doesn’t do now, this might seem like a way to maintain current services without adding more – which means more tax cuts without losing anything! But reality ain’t that simple.

First of all, sometimes you’re going to want the government to spend money on things it doesn’t spend money on at the moment. Say the unthinkable should happen and there was a global financial crisis and to maintain the integrity of the system the government had to do what every other country had done and guarantee retail deposits to stop a run on the banks and finance companies. That would be illegal under this Act as would any form of stimulus spending. You couldn’t budget more for more mums going on the DPB during a recession unless you cut money from elsewhere either. (there are exceptions for ’emergencies’, which means natural disasters, and the unemployment benefit)

And even in normal times you’ve got trouble. See a lot of costs don’t go up at just the rate of inflation and population growth. Take superannuation, which is 13% of government spending. The cost goes up at the rate of the average after-tax wage and the number of superannuitants. You would hope the average after-tax wage is rising faster than inflation in the long-run, or everyone’s getting poorer. And it’s well known that our aging population means the number of pensioners is increasing at a faster rate than the general population. In fact, while the population will grow 3% in the next 4 years and inflation by 8%, the cost of super will rise 22% by 2015. What happens if there’s a spending cap in place? Super gets slashed or something else does.

Then there’s health, which is 20% of government spending. It’s costs are also growing faster than inflation because of demographic change and higher sector inflation. In fact, restricting the increase to ‘inflation’ in the form of the Consumers Price Index is stupid full stop. The CPI is made up of things like the cost of housing and milk. What’s that got to do with the cost pressures facing a hospital?

Next, consider what we are spending most of our money on when we purchase public services,after you take out super, benefits, and WFF? Wages. 300,000 government employees, most of them nurses, doctors, teachers. If there was a spending cap and the number of these workers increased in line with population growth, then their wages would essentially be restricted to the rate of inflation. Isn’t that a problem for goal of closing the wage gap with Australia – having 15% of our workforce never able to get a real payrise? Especially when these are highly skilled people who are already being attracted to higher wages abroad?

The truth of it is that ACT knows all this. They don’t want to cap government spending, they want to strangle the government and get the public services we all use slashed so that they can get more tax cuts. This is a 2% party trying to force its self-centred ideology on the rest of us.

So why is National letting this stupid law, that could never work without hurting millions of Kiwis, go up as a government bill? And why now? Well, they promised ACT that they would introduce the legislation as part of their coalition agreement. And why now: because it’s too late to pass the legislation before the election.

But make no mistake, if we re-elect a National/ACT government this dangerous, destructive bill will become law. Until it’s repealed by the first government that needs to break the cap, of course.

– Bright Red

56 comments on “Cuts for you, tax cuts for Brash ”

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  1. Macro 1
    11 August 2011 at 12:06 pm

    This proposed legislation and the inevitable consequences of reduced social spending is a receipe for the same sort of rioting as we are now seeing England. The gormless greedy fools who propose such stuff are so fixated on their bottom line that they cannot see the misery that they create. If you create a world through advertising and media, where your status and your position in life is determined by your financial success, your car, the clothes you wear, and the electronic toys you possess, and then deny almost 30% of the population* the access to those things, then is it surprising that that they will feel not only disenfranchised, but more than a little resentful as well?

    *to clarify that statement – an unemployment youth rate of 20% UK – 27%NZ essentially denies the emerging population of UK – NZ access to the things it is told it should most desire. So the rioters of England are described by some as the young people who “have nothing better to do”!

  2. queenstfarmer 2
    11 August 2011 at 12:07 pm

    But spendiing could increase – the power to raise the spending cap would lie with the people. What’s wrong with that?

    • Blighty 2.1
      11 August 2011 at 12:39 pm

      you can’t organise a budget process around the time it takes to have a referendum. As it is, the budget process takes about 8 months from first documents to the final thing, and you want to add a 8 month approval process on top of that every time the government has to meet cost pressures that are above inflation+population growth?

      ou would end up facing US-style budget crises.

      • queenstfarmer 2.1.1
        11 August 2011 at 12:50 pm

        you want to add a 8 month approval process

        Absolutely. If a Govt can’t live within a budget even for 8 months, then they certainly need a cap to their incompetence. (note: the bill excludes emergencies)

        Having said that, 8 months is a ridiculous time hold a referendum, even allowing for normal beuracratic incomptence. The Bill allows postal referenda, which speeds things up. Also, remember an entire election can be organised in the space of a few months if need be, so there won’t be any problem fast-tracking things.

        • Macro 2.1.1.1
          11 August 2011 at 12:59 pm

          Your talking nonsense man! It’s NOT the hold up by the adminstration that would delay! Referenda don’t just fall out of the sky! Anyway what a waste of time and effort for nothing! You and your ilk, can’t see that you are your own worst enemies. Your fixation on “costs” blinds you to the very real costs of the social injustices that result, and the inevitable effect these have on your own well being.

          • queenstfarmer 2.1.1.1.1
            11 August 2011 at 1:10 pm

            Anyway what a waste of time and effort for nothing

            Giving power to the people is a waste of time and effort for nothing?

            • Macro 2.1.1.1.1.1
              11 August 2011 at 1:22 pm

              For this sort of crap it is! People have the power to get rid of govenments every three years and to vote in the policies they want or don’t want. Endless referenda is not necessarily an improvement in the democratic process.

              • KJT …
                11 August 2011 at 1:45 pm

                Works well for the Swiss.

                Representation by a few, who constantly work against the best interests of those they, supposedly, represent is not democracy.

                • bbfloyd …
                  11 August 2011 at 5:30 pm

                  kjt.. you mean that it works well in a mature, well informed society?

                • Macro …
                  11 August 2011 at 6:00 pm

                  KJT – hopefully you will notice my logic – I said
                  “Endless referenda is not NECESSARILY an improvement in the democratic process.”
                  I would also go so far as to say it is neither necessary nor sufficient.
                  What would be a good practical step towards better democratic processes in this country would be for administrations to desist from the cynical use of “Urgency” to push legislation such as this through parliament in the dead of night. Mark my words – If NAct are returned to power after November this abhorrent Bill will not receive public scrutiny in Committee but be “fast-tracked” to avoid public approbation.

            • Lanthanide 2.1.1.1.1.2
              11 August 2011 at 1:23 pm

              We already have the power to elect the government every 3 years. The government then acts in what it thinks is the best interest of the country.

              I find it a little ironic that you’re saying we should resort to referendums whenever the government needs to overstep the debt limit that’s be imposed, but we don’t need a referendum to put the debt limit into place initially…

              • queenstfarmer …
                11 August 2011 at 1:41 pm

                I’d be fine with having an initial referedum to put in a debt limit. But I wouldn’t be worried if there isn’t one, because the Govt would simply be empowering the people.

                • Macro …
                  11 August 2011 at 1:49 pm

                  “I’d be fine with having an initial referedum to put in a debt limit. But I wouldn’t be worried if there isn’t one”
                  So what you are now saying is that this Bill is a waste of time?
                  But it is more than that. By it’s nature it strikes at the very heart of NZ society. Those who support such mean spirited legislation, are in essence striking at the ability of government’s to do their job.

                  • KJT …
                    11 August 2011 at 1:51 pm

                    They do not want Governments to do their job. Interferes with stealing our wealth.

                  • queenstfarmer …
                    11 August 2011 at 3:30 pm

                    I see, so you think empowering the people is “mean spirited”. Do you think the same about elections?

                    • Macro …
                      11 August 2011 at 3:47 pm

                      The mean spirited-ness of this proposed legislation – is NOT in the offer of the possibility of an illusionary referendum – but in the disempowering of elected governments to care for the most vulnerable in society!

            • Puddleglum 2.1.1.1.1.3
              11 August 2011 at 1:30 pm

              So you would favour holding referenda whenever a government decides to reduce its expenditure? (e.g., in relation to this bill?)

              • Macro …
                11 August 2011 at 1:32 pm

                Nah! they would have to have a referendum on whether or not to hold a referendum! It’s a ridiculous suggestion!

              • queenstfarmer …
                11 August 2011 at 1:45 pm

                No. It’s a spending cap, not a spending floor.

                • mik e …
                  11 August 2011 at 7:37 pm

                  brash has 2%support but seems to be able to get plenty of media time but the more time he gets the less support he gets people in this country don’t want Chicago school economics It doesn’t work they know it end of story

              • Macro …
                11 August 2011 at 1:53 pm

                See! I told you Puddlegum! Would need a referendum on that!
                The target is zero spending by govt! Well maybe a few police and tanks outside my door – but you buggas can pay for that!

            • AAMC 2.1.1.1.1.4
              12 August 2011 at 8:58 am

              “Giving power to the people is a waste of time and effort for nothing?”

              At least you wear your Fascism on your sleeve.

    • mik e 2.2
      11 August 2011 at 5:53 pm

      just like the US that why standard & poors downgraded

  3. Macro 3
    11 August 2011 at 12:18 pm

    Yeah Right!
    The procedure to do that would require a referendum! The referendum must occur in the same year, would take 6 to 8 months to organise, and therefore in practice would never happen!
    Idiot!

  4. mickysavage 4
    11 August 2011 at 12:32 pm

    The Tea Party.  Sponsored by the richest most greedy corporations in the world and coming to a Country near you.

  5. tc 5
    11 August 2011 at 1:07 pm

    Already here MS standing behind the hollowmen who in turn stand behind NACT.

  6. JonL 6
    11 August 2011 at 1:35 pm

    “Giving power to the people is a waste of time and effort for nothing?”
    What power to the people! Another inane statement that, on the surface, looks good, but in reality is a crock of shit – a device to scare, obscure and obfuscate policy into the hands of a few and totally hamstring any effective government FOR the people!

  7. Adrian 7
    11 August 2011 at 3:16 pm

    They have referenda in the States for local taxes and iniatives and of course, people vote them down. Why? Well first off, Yanks are stupid, and of course nobody wants to pay more. So what have you, California as broke as Greece and some counties in the Mid-West who are down to 2 cops when there used to be 25 or so. Hence all they do is sign off for the insurance claims because they are too busy to even go and look at the scene of the crime. The US is next for Brit type rioting.

    • Vicky32 7.1
      11 August 2011 at 6:57 pm

      The US is next for Brit type rioting.

      IMO they should have been first for it, but to judge by ATS, they’re all too scared, and therefore too conformist – they drag each other down for fear of attracting notice… 
      Kind of like New Zealand come to think of it…

  8. Tom Gould 8
    11 August 2011 at 3:24 pm

    It is an outrage that Brash wants to legislate through the back door to slash the pension. What a hypocrite. Come clean, Don. I guess he has enough money to get by without the pension, but untold thousands of Kiwis do not.

  9. Jenny Michie 9
    11 August 2011 at 4:29 pm

    Adrian’s right. The most infamous example of this sort of legislation is in Colarado and TABOR – the Taxpayers Bill of Rights. Because no one ever votes to increase taxes the state has been starved. They sold off police helicopters on EBay. Neighbourhoods chip in to pay for street lighting and forget roads and higher education. This is what Rodney Hide was trying to achieve in the Local Government Amendment Bill, with his Fiscal Envelope.

    • Macro 9.1
      11 August 2011 at 5:24 pm

      Exactly! But you try telling NAct and their followers that! As I said above – it’s nothing more than a mechanism to drive down spending to the point where administrations become powerless to do the job the citizens require of them. The people who support such legislation are their own worst enemies. They will be the first to bleat when the riots begin, the infrastructure falls apart, and their “wealth” disappears in ever-increasing personal costs, but the seeds of discontent are sown by them, with mean spirited policies such as this.

      • mik e 9.1.1
        11 August 2011 at 6:07 pm

        Its the cheap nasty version of government the Lada version if they applied the same logic to their life style they would all be driving suzuki altos.We have had this version before from 1984 till 2000 take the armed forces for example .The right who are allegedly big on defense cut defense to the bone it wasn’t till Timor that the rationalists bought some new radios for the army was the only new piece of new equipment they bought . Goff had to replace virtually every major defense force equipment. the same applied across the board.This sort of thinking applied to a business would mean no businesses would grow

      • queenstfarmer 9.1.2
        11 August 2011 at 6:41 pm

        it’s nothing more than a mechanism to drive down spending

        Wrong. The Bill automatically INCREASES the spending cap in line with inflation.

        If the Govt wants to increase it beyond that, the people have the say.

        • felix 9.1.2.1
          11 August 2011 at 7:13 pm

          Increase?

          If you scroll up to the top of the page you’ll find a few paragraphs of text explaining why this is not actually the case.

          • queenstfarmer 9.1.2.1.1
            11 August 2011 at 8:18 pm

            Yes – increase. That is a fact. The story at the top simply claims that won’t be enough.

            • RedLogix 9.1.2.1.1.1
              11 August 2011 at 8:54 pm

              Oh dear…an increase in nominal terms the same as inflation is equal to zero change in real terms.

              And in fact because many critical govt areas of expenditure have costs increasing at a rate somewhat greater than the CPI…then it will actually mean reductions in real terms.

              I’m kind of embarrassed to have to explain this to you.

              • felix …
                11 August 2011 at 9:47 pm

                Awkward alright. Especially when it’s all explained so clearly in the post.

              • queenstfarmer …
                11 August 2011 at 10:40 pm

                Don’t be, you didn’t – I know what it says, see the very comment you replied to. The spending cap increases. And as I said, the story at the top simply claims that won’t be enough.

                I’m kind of embarrased to have to explain a one line post to you.

              • queenstfarmer …
                11 August 2011 at 10:54 pm

                I just realised I missed one thing that makes me even more right and your comment even more wrong: The Bill increases spending in line with inflation, and also in line with population growth.

                • Colonial Viper …
                  12 August 2011 at 5:20 pm

                  The Bill is stupid. Pass the bill in early 2010, Sept 2010 and Feb 2011 Christchurch earthquakes hit, NZ govt goes, hey Christchurch the only we can help you is if we cut off NZ Super and fire all the defence forces. OK?

                  Actually, the Bill isn’t stupid, ACT is. And since you support their Bill, what does that make you again?

                  • queenstfarmer …
                    12 August 2011 at 5:56 pm

                    The Bill excludes spending for emergencies. There is no limit on that.

                    So perhaps it’s not as stupid as one who doesn’t read it…

        • mik e 9.1.2.2
          11 August 2011 at 7:43 pm

          The mechanism works really well in the US yeah right. It wouldn’t work here because it seems to me it would stop the National Party in its tracks. As there past record shows they have had higher debts by along way more than any previous Labour govt

        • mik e 9.1.2.3
          11 August 2011 at 9:25 pm

          So if the economy grows faster than inflation and the population grows as well it means we won’t be able to invest in areas the private sector won’t, like education r&d we’ll have to make cuts .The economic rationalists no country thats followed this agenda has managed to sustain growth find one and i’ll be amazed.

        • mik e 9.1.2.4
          11 August 2011 at 9:37 pm

          So if the economy grows faster than inflation and the population grows as well it means we won’t be able to invest in areas the private sector won’t, like education r&d we’ll have to make cuts .The economic rationalists no country thats followed this agenda has managed to sustain growth find one and i’ll be amazed.These rationalists claim they can do this keep spending down run the economy like a bushiness they have plenty of home spun truths propaganda! when push comes to shove they run their economies worse than any one else Roger Douglas inherited an economy with $16 billion worth of govt debt after 8 years in office he had amassed $100billion of govt debt, Berlusconi Bushes Reagan Thatcher there as bad as the communists say one thing do another.Wreck the country under the guise of a failed ideology

        • Macro 9.1.2.5
          11 August 2011 at 9:48 pm

          Having worked in the Dept of Statistics on the CPI, I would like to know what relevance this measure has to the costs for the provision of Public Services. Having also represented Defence at Cabinet Economic Committee meetings for the aquisition of new equipment, I would like to know how these major purchases also fit into this ridiculous straight jacket. Those who promote this nonsense have no idea of what they are about.

          • Colonial Viper 9.1.2.5.1
            12 August 2011 at 5:36 pm

            And as I pointed out, what happens when a Christchurch earthquake comes along? You just have CERA ignore the bill? What use is it then in “constraining spending”?

            • queenstfarmer 9.1.2.5.1.1
              12 August 2011 at 5:57 pm

              The bill doesn’t apply to emergency spending. Perhaps try reading it?

    • Nick K 9.2
      11 August 2011 at 8:11 pm

      Adrian’s right. The most infamous example of this sort of legislation is in Colarado and TABOR – the Taxpayers Bill of Rights. Because no one ever votes to increase taxes the state has been starved. They sold off police helicopters on EBay. Neighbourhoods chip in to pay for street lighting and forget roads and higher education. This is what Rodney Hide was trying to achieve in the Local Government Amendment Bill, with his Fiscal Envelope.

      Yes, next he’ll be introducing the “Eat babies at birth Bill”. If he hasn’t already drafted it.

  10. randal 10
    11 August 2011 at 5:21 pm

    so who bought the helicopters?

  11. randal 11
    11 August 2011 at 5:22 pm

    so who got the choppers then?

  12. Vicky32 12
    11 August 2011 at 6:47 pm

    The truth of it is that ACT knows all this. They don’t want to cap government spending, they want to strangle the government and get the public services we all use slashed so that they can get more tax cuts.

    And also, I believe, so as to get the chance to set up private businesses to do what Government used to do.
    I well remember my discovery that Douglas Rogered the health system because he wanted New Zealanders to have a reason to need health insurance.. The private rehab clinic (set up, AFAIK in the very premises where a Goverment one used to be) Capri, has been advertising hard out on t’Telly  since Amy Winehouse dropped off the twig..

  13. randal 13
    12 August 2011 at 1:24 pm

    presumably don brash has enough dough already so why does he want more?

  14. mik e 14
    12 August 2011 at 5:04 pm

    Randal these type of people would be classified as having OCD IF it wasn’t money we were talking about.Hoarding they can’t help themselves

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    TL;DR: As of 6:00 am on Thursday, July 25, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day were:The Abuse in Care Royal Commission of Inquiry published its final report yesterday.PM Christopher Luxon and The Minister responsible for ...
    The KakaBy Bernard Hickey
    2 days ago
  • A tougher line on “proactive release”?

    The Official Information Act has always been a battle between requesters seeking information, and governments seeking to control it. Information is power, so Ministers and government agencies want to manage what is released and when, for their own convenience, and legality and democracy be damned. Their most recent tactic for ...
    No Right TurnBy Idiot/Savant
    3 days ago
  • 'Let's build a motorway costing $100 million per km, before emissions costs'

    TL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy today are:Transport and Energy Minister Simeon Brown is accelerating plans to spend at least $10 billion through Public Private Partnerships (PPPs) to extend State Highway One as a four-lane ‘Expressway’ from Warkworth to Whangarei ...
    The KakaBy Bernard Hickey
    3 days ago
  • Lester's Prescription – Positive Bleeding.

    I live my life (woo-ooh-ooh)With no control in my destinyYea-yeah, yea-yeah (woo-ooh-ooh)I can bleed when I want to bleedSo come on, come on (woo-ooh-ooh)You can bleed when you want to bleedYea-yeah, come on (woo-ooh-ooh)Everybody bleed when they want to bleedCome on and bleedGovernments face tough challenges. Selling unpopular decisions to ...
    Nick’s KōreroBy Nick Rockel
    3 days ago
  • Casey Costello gaslights Labour in the House

    Please note:To skip directly to the- parliamentary footage in the video, scroll to 1:21 To skip to audio please click on the headphone icon on the left hand side of the screenThis video / audio section is under development. ...
    Mountain TuiBy Mountain Tui
    3 days ago
  • Why is the Texas grid in such bad shape?

    This is a re-post from the Climate Brink by Andrew Dessler Headline from 2021 The Texas grid, run by ERCOT, has had a rough few years. In 2021, winter storm Uri blacked out much of the state for several days. About a week ago, Hurricane Beryl knocked out ...
    Skeptical Science
    3 days ago
  • Gordon Campbell on a textbook case of spending waste by the Luxon government

    Given the crackdown on wasteful government spending, it behooves me to point to a high profile example of spending by the Luxon government that looks like a big, fat waste of time and money. I’m talking about the deployment of NZDF personnel to support the US-led coalition in the Red ...
    WerewolfBy lyndon
    3 days ago
  • The Kākā’s Pick 'n' Mix for Wednesday, July 24

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:40 am on Wednesday, July 24 are:Deep Dive: Chipping away at the housing crisis, including my comments RNZ/Newsroom’s The DetailNews: Government softens on asset sales, ...
    The KakaBy Bernard Hickey
    3 days ago
  • LXR Takaanini

    As I reported about the city centre, Auckland’s rail network is also going through a difficult and disruptive period which is rapidly approaching a culmination, this will result in a significant upgrade to the whole network. Hallelujah. Also like the city centre this is an upgrade predicated on the City ...
    Greater AucklandBy Patrick Reynolds
    3 days ago
  • Four kilograms of pain

    Today, a 4 kilogram report will be delivered to Parliament. We know this is what the report of the Royal Commission of Inquiry into Abuse in State and Faith-based Care weighs, because our Prime Minister told us so.Some reporter had blindsided him by asking a question about something done by ...
    More Than A FeildingBy David Slack
    3 days ago
  • The Kākā’s Journal of Record for Wednesday, July 24

    TL;DR: As of 7:00 am on Wednesday, July 24, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:Beehive: Transport Minister Simeon Brown announced plans to use PPPs to fund, build and run a four-lane expressway between Auckland ...
    The KakaBy Bernard Hickey
    3 days ago
  • Luxon gets caught out

    NewstalkZB host Mike Hosking, who can usually be relied on to give Prime Minister Christopher Luxon an easy run, did not do so yesterday when he interviewed him about the HealthNZ deficit. Luxon is trying to use a deficit reported last year by HealthNZ as yet another example of the ...
    PolitikBy Richard Harman
    3 days ago
  • A worrying sign

    Back in January a StatsNZ employee gave a speech at Rātana on behalf of tangata whenua in which he insulted and criticised the government. The speech clearly violated the principle of a neutral public service, and StatsNZ started an investigation. Part of that was getting an external consultant to examine ...
    No Right TurnBy Idiot/Savant
    4 days ago
  • Are we fine with 47.9% home-ownership by 2048?

    Renting for life: Shared ownership initiatives are unlikely to slow the slide in home ownership by much. Photo: Lynn Grieveson / The KākāTL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy today are:A Deloitte report for Westpac has projected Aotearoa’s home-ownership rate will ...
    The KakaBy Bernard Hickey
    4 days ago
  • Let's Win This

    You're broken down and tiredOf living life on a merry go roundAnd you can't find the fighterBut I see it in you so we gonna walk it outAnd move mountainsWe gonna walk it outAnd move mountainsAnd I'll rise upI'll rise like the dayI'll rise upI'll rise unafraidI'll rise upAnd I'll ...
    Nick’s KōreroBy Nick Rockel
    4 days ago
  • Waimahara: The Singing Spirit of Water

    There’s been a change in Myers Park. Down the steps from St. Kevin’s Arcade, past the grassy slopes, the children’s playground, the benches and that goat statue, there has been a transformation. The underpass for Mayoral Drive has gone from a barren, grey, concrete tunnel, to a place that thrums ...
    Greater AucklandBy Connor Sharp
    4 days ago
  • A major milestone: Global climate pollution may have just peaked

    This is a re-post from Yale Climate Connections Global society may have finally slammed on the brakes for climate-warming pollution released by human fossil fuel combustion. According to the Carbon Monitor Project, the total global climate pollution released between February and May 2024 declined slightly from the amount released during the same ...
    Skeptical Science
    4 days ago
  • The Kākā’s Pick 'n' Mix for Tuesday, July 23

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:00 am on Tuesday, July 23 are:Deep Dive: Penlink: where tolling rhetoric meets reality BusinessDesk-$$$’s Oliver LewisScoop: Te Pūkenga plans for regional polytechs leak out ...
    The KakaBy Bernard Hickey
    4 days ago
  • The Kākā’s Journal of Record for Tuesday, July 23

    TL;DR: As of 6:00 am on Tuesday, July 23, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:Health: Shane Reti announced the Board of Te Whatu Ora- Health New Zealand was being replaced with Commissioner Lester Levy ...
    The KakaBy Bernard Hickey
    4 days ago
  • HealthNZ and Luxon at cross purposes over budget blowout

    Health NZ warned the Government at the end of March that it was running over Budget. But the reasons it gave were very different to those offered by the Prime Minister yesterday. Prime Minister Christopher Luxon blamed the “botched merger” of the 20 District Health Boards (DHBs) to create Health ...
    PolitikBy Richard Harman
    4 days ago
  • 2500-3000 more healthcare staff expected to be fired, as Shane Reti blames Labour for a budget defic...

    Long ReadKey Summary: Although National increased the health budget by $1.4 billion in May, they used an old funding model to project health system costs, and never bothered to update their pre-election numbers. They were told during the Health Select Committees earlier in the year their budget amount was deficient, ...
    Mountain TuiBy Mountain Tui
    4 days ago
  • Might Kamala Harris be about to get a 'stardust' moment like Jacinda Ardern?

    As a momentous, historic weekend in US politics unfolded, analysts and commentators grasped for precedents and comparisons to help explain the significance and power of the choice Joe Biden had made. The 46th president had swept the Democratic party’s primaries but just over 100 days from the election had chosen ...
    PunditBy Tim Watkin
    5 days ago
  • Solutions Interview: Steven Hail on MMT & ecological economics

    TL;DR: I’m casting around for new ideas and ways of thinking about Aotearoa’s political economy to find a few solutions to our cascading and self-reinforcing housing, poverty and climate crises.Associate Professor runs an online masters degree in the economics of sustainability at Torrens University in Australia and is organising ...
    The KakaBy Steven Hail
    5 days ago
  • Reported back

    The Finance and Expenditure Committee has reported back on National's Local Government (Water Services Preliminary Arrangements) Bill. The bill sets up water for privatisation, and was introduced under urgency, then rammed through select committee with no time even for local councils to make a proper submission. Naturally, national's select committee ...
    No Right TurnBy Idiot/Savant
    5 days ago
  • Vandrad the Viking, Christopher Coombes, and Literary Archaeology

    Some years ago, I bought a book at Dunedin’s Regent Booksale for $1.50. As one does. Vandrad the Viking (1898), by J. Storer Clouston, is an obscure book these days – I cannot find a proper online review – but soon it was sitting on my shelf, gathering dust alongside ...
    A Phuulish FellowBy strda221
    5 days ago
  • Gordon Campbell On The Biden Withdrawal

    History is not on the side of the centre-left, when Democratic presidents fall behind in the polls and choose not to run for re-election. On both previous occasions in the past 75 years (Harry Truman in 1952, Lyndon Johnson in 1968) the Democrats proceeded to then lose the White House ...
    WerewolfBy lyndon
    5 days ago
  • Joe Biden's withdrawal puts the spotlight back on Kamala and the USA's complicated relatio...

    This is a free articleCoverageThis morning, US President Joe Biden announced his withdrawal from the Presidential race. And that is genuinely newsworthy. Thanks for your service, President Biden, and all the best to you and yours.However, the media in New Zealand, particularly the 1News nightly bulletin, has been breathlessly covering ...
    Mountain TuiBy Mountain Tui
    5 days ago
  • Why we have to challenge our national fiscal assumptions

    A homeless person’s camp beside a blocked-off slipped damage walkway in Freeman’s Bay: we are chasing our tail on our worsening and inter-related housing, poverty and climate crises. Photo: Photo: Lynn Grieveson / The KākāTL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy ...
    The KakaBy Bernard Hickey
    5 days ago
  • Existential Crisis and Damaged Brains

    What has happened to it all?Crazy, some'd sayWhere is the life that I recognise?(Gone away)But I won't cry for yesterdayThere's an ordinary worldSomehow I have to findAnd as I try to make my wayTo the ordinary worldYesterday morning began as many others - what to write about today? I began ...
    Nick’s KōreroBy Nick Rockel
    5 days ago
  • A speed limit is not a target, and yet…

    This is a guest post from longtime supporter Mr Plod, whose previous contributions include a proposal that Hamilton become New Zealand’s capital city, and that we should switch which side of the road we drive on. A recent Newsroom article, “Back to school for the Govt’s new speed limit policy“, ...
    Greater AucklandBy Guest Post
    5 days ago
  • The Kākā’s Pick 'n' Mix for Monday, July 22

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 7:00 am on Monday, July 22 are:Today’s Must Read: Father and son live in a tent, and have done for four years, in a million ...
    The KakaBy Bernard Hickey
    5 days ago
  • The Kākā’s Journal of Record for Monday, July 22

    TL;DR: As of 7:00 am on Monday, July 22, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:US President Joe Biden announced via X this morning he would not stand for a second term.Multinational professional services firm ...
    The KakaBy Bernard Hickey
    5 days ago
  • 2024 SkS Weekly Climate Change & Global Warming News Roundup #29

    A listing of 32 news and opinion articles we found interesting and shared on social media during the past week: Sun, July 14, 2024 thru Sat, July 20, 2024. Story of the week As reflected by preponderance of coverage, our Story of the Week is Project 2025. Until now traveling ...
    Skeptical Science
    6 days ago
  • I'd like to share what I did this weekend

    This weekend, a friend pointed out someone who said they’d like to read my posts, but didn’t want to pay. And my first reaction was sympathy.I’ve already told folks that if they can’t comfortably subscribe, and would like to read, I’d be happy to offer free subscriptions. I don’t want ...
    Mountain TuiBy Mountain Tui
    6 days ago
  • For the children – Why mere sentiment can be a misleading force in our lives, and lead to unex...

    National: The Party of ‘Law and Order’ IntroductionThis weekend, the Government formally kicked off one of their flagship policy programs: a military style boot camp that New Zealand has experimented with over the past 50 years. Cartoon credit: Guy BodyIt’s very popular with the National Party’s Law and Order image, ...
    Mountain TuiBy Mountain Tui
    6 days ago
  • A friend in uncertain times

    Day one of the solo leg of my long journey home begins with my favourite sound: footfalls in an empty street. 5.00 am and it’s already light and already too warm, almost.If I can make the train that leaves Budapest later this hour I could be in Belgrade by nightfall; ...
    More Than A FeildingBy David Slack
    6 days ago
  • The Chaotic World of Male Diet Influencers

    Hi,We’ll get to the horrific world of male diet influencers (AKA Beefy Boys) shortly, but first you will be glad to know that since I sent out the Webworm explaining why the assassination attempt on Donald Trump was not a false flag operation, I’ve heard from a load of people ...
    David FarrierBy David Farrier
    6 days ago
  • It's Starting To Look A Lot Like… Y2K

    Do you remember Y2K, the threat that hung over humanity in the closing days of the twentieth century? Horror scenarios of planes falling from the sky, electronic payments failing and ATMs refusing to dispense cash. As for your VCR following instructions and recording your favourite show - forget about it.All ...
    Nick’s KōreroBy Nick Rockel
    1 week ago
  • Bernard’s Saturday Soliloquy for the week to July 20

    Climate Change Minister Simon Watts being questioned by The Kākā’s Bernard Hickey.TL;DR: My top six things to note around housing, climate and poverty in Aotearoa’s political economy in the week to July 20 were:1. A strategy that fails Zero Carbon Act & Paris targetsThe National-ACT-NZ First Coalition Government finally unveiled ...
    The KakaBy Bernard Hickey
    1 week ago
  • Pharmac Director, Climate Change Commissioner, Health NZ Directors – The latest to quit this m...

    Summary:As New Zealand loses at least 12 leaders in the public service space of health, climate, and pharmaceuticals, this month alone, directly in response to the Government’s policies and budget choices, what lies ahead may be darker than it appears. Tui examines some of those departures and draws a long ...
    Mountain TuiBy Mountain Tui
    1 week ago
  • Flooding Housing Policy

    The Minister of Housing’s ambition is to reduce markedly the ratio of house prices to household incomes. If his strategy works it would transform the housing market, dramatically changing the prospects of housing as an investment.Leaving aside the Minister’s metaphor of ‘flooding the market’ I do not see how the ...
    PunditBy Brian Easton
    1 week ago
  • A Voyage Among the Vandals: Accepted (Again!)

    As previously noted, my historical fantasy piece, set in the fifth-century Mediterranean, was accepted for a Pirate Horror anthology, only for the anthology to later fall through. But in a good bit of news, it turned out that the story could indeed be re-marketed as sword and sorcery. As of ...
    A Phuulish FellowBy strda221
    1 week ago
  • The Kākā's Chorus for Friday, July 19

    An employee of tobacco company Philip Morris International demonstrates a heated tobacco device. Photo: Getty ImagesTL;DR: The top six things I’ve noted around housing, climate and poverty in Aotearoa’s political economy on Friday, July 19 are:At a time when the Coalition Government is cutting spending on health, infrastructure, education, housing ...
    The KakaBy Bernard Hickey
    1 week ago
  • The Kākā’s Pick 'n' Mix for Friday, July 19

    TL;DR: My pick of the top six links elsewhere around housing, climate and poverty in Aotearoa’s political economy in the last day or so to 8:30 am on Friday, July 19 are:Scoop: NZ First Minister Casey Costello orders 50% cut to excise tax on heated tobacco products. The minister has ...
    The KakaBy Bernard Hickey
    1 week ago
  • Weekly Roundup 19-July-2024

    Kia ora, it’s time for another Friday roundup, in which we pull together some of the links and stories that caught our eye this week. Feel free to add more in the comments! Our header image this week shows a foggy day in Auckland town, captured by Patrick Reynolds. ...
    Greater AucklandBy Greater Auckland
    1 week ago
  • Weekly Climate Wrap: A market-led plan for failure

    TL;DR : Here’s the top six items climate news for Aotearoa this week, as selected by Bernard Hickey and The Kākā’s climate correspondent Cathrine Dyer. A discussion recorded yesterday is in the video above and the audio of that sent onto the podcast feed.The Government released its draft Emissions Reduction ...
    The KakaBy Bernard Hickey
    1 week ago
  • Tobacco First

    Save some money, get rich and old, bring it back to Tobacco Road.Bring that dynamite and a crane, blow it up, start all over again.Roll up. Roll up. Or tailor made, if you prefer...Whether you’re selling ciggies, digging for gold, catching dolphins in your nets, or encouraging folks to flutter ...
    Nick’s KōreroBy Nick Rockel
    1 week ago
  • Trump’s Adopted Son.

    Waiting In The Wings: For truly, if Trump is America’s un-assassinated Caesar, then J.D. Vance is America’s Octavian, the Republic’s youthful undertaker – and its first Emperor.DONALD TRUMP’S SELECTION of James D. Vance as his running-mate bodes ill for the American republic. A fervent supporter of Viktor Orban, the “illiberal” prime ...
    Bowalley Road
    1 week ago
  • The Kākā’s Journal of Record for Friday, July 19

    TL;DR: As of 6:00 am on Friday, July 19, the top six announcements, speeches, reports and research around housing, climate and poverty in Aotearoa’s political economy in the last day are:The PSA announced the Employment Relations Authority (ERA) had ruled in the PSA’s favour in its case against the Ministry ...
    The KakaBy Bernard Hickey
    1 week ago

  • Joint statement from the Prime Ministers of Canada, Australia and New Zealand

    Australia, Canada and New Zealand today issued the following statement on the need for an urgent ceasefire in Gaza and the risk of expanded conflict between Hizballah and Israel. The situation in Gaza is catastrophic. The human suffering is unacceptable. It cannot continue.  We remain unequivocal in our condemnation of ...
    BeehiveBy beehive.govt.nz
    17 hours ago
  • AG reminds institutions of legal obligations

    Attorney-General Judith Collins today reminded all State and faith-based institutions of their legal obligation to preserve records relevant to the safety and wellbeing of those in its care. “The Abuse in Care Inquiry’s report has found cases where records of the most vulnerable people in State and faith‑based institutions were ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • More young people learning about digital safety

    Minister of Internal Affairs Brooke van Velden says the Government’s online safety website for children and young people has reached one million page views.  “It is great to see so many young people and their families accessing the site Keep It Real Online to learn how to stay safe online, and manage ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • Speech to the Conference for General Practice 2024

    Tēnā tātou katoa,  Ngā mihi te rangi, ngā mihi te whenua, ngā mihi ki a koutou, kia ora mai koutou. Thank you for the opportunity to be here and the invitation to speak at this 50th anniversary conference. I acknowledge all those who have gone before us and paved the ...
    BeehiveBy beehive.govt.nz
    23 hours ago
  • Employers and payroll providers ready for tax changes

    New Zealand’s payroll providers have successfully prepared to ensure 3.5 million individuals will, from Wednesday next week, be able to keep more of what they earn each pay, says Finance Minister Nicola Willis and Revenue Minister Simon Watts.  “The Government's tax policy changes are legally effective from Wednesday. Delivering this tax ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Experimental vineyard futureproofs wine industry

    An experimental vineyard which will help futureproof the wine sector has been opened in Blenheim by Associate Regional Development Minister Mark Patterson. The covered vineyard, based at the New Zealand Wine Centre – Te Pokapū Wāina o Aotearoa, enables controlled environmental conditions. “The research that will be produced at the Experimental ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Funding confirmed for regions affected by North Island Weather Events

    The Coalition Government has confirmed the indicative regional breakdown of North Island Weather Event (NIWE) funding for state highway recovery projects funded through Budget 2024, Transport Minister Simeon Brown says. “Regions in the North Island suffered extensive and devastating damage from Cyclone Gabrielle and the 2023 Auckland Anniversary Floods, and ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Indonesian Foreign Minister to visit

    Indonesia’s Foreign Minister, Retno Marsudi, will visit New Zealand next week, Foreign Minister Winston Peters has announced.   “Indonesia is important to New Zealand’s security and economic interests and is our closest South East Asian neighbour,” says Mr Peters, who is currently in Laos to engage with South East Asian partners. ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Strengthening partnership with Ngāti Maniapoto

    He aha te kai a te rangatira? He kōrero, he kōrero, he kōrero. The government has reaffirmed its commitment to supporting the aspirations of Ngāti Maniapoto, Minister for Māori Development Tama Potaka says. “My thanks to Te Nehenehenui Trust – Ngāti Maniapoto for bringing their important kōrero to a ministerial ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Transport Minister thanks outgoing CAA Chair

    Transport Minister Simeon Brown has thanked outgoing Chair of the Civil Aviation Authority, Janice Fredric, for her service to the board.“I have received Ms Fredric’s resignation from the role of Chair of the Civil Aviation Authority,” Mr Brown says.“On behalf of the Government, I want to thank Ms Fredric for ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Test for Customary Marine Title being restored

    The Government is proposing legislation to overturn a Court of Appeal decision and amend the Marine and Coastal Area Act in order to restore Parliament’s test for Customary Marine Title, Treaty Negotiations Minister Paul Goldsmith says.  “Section 58 required an applicant group to prove they have exclusively used and occupied ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Opposition united in bad faith over ECE sector review

    Regulation Minister David Seymour says that opposition parties have united in bad faith, opposing what they claim are ‘dangerous changes’ to the Early Childhood Education sector, despite no changes even being proposed yet.  “Issues with affordability and availability of early childhood education, and the complexity of its regulation, has led ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Kiwis having their say on first regulatory review

    After receiving more than 740 submissions in the first 20 days, Regulation Minister David Seymour is asking the Ministry for Regulation to extend engagement on the early childhood education regulation review by an extra two weeks.  “The level of interest has been very high, and from the conversations I’ve been ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government upgrading Lower North Island commuter rail

    The Coalition Government is investing $802.9 million into the Wairarapa and Manawatū rail lines as part of a funding agreement with the NZ Transport Agency (NZTA), KiwiRail, and the Greater Wellington and Horizons Regional Councils to deliver more reliable services for commuters in the lower North Island, Transport Minister Simeon ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government moves to ensure flood protection for Wairoa

    Local Government Minister Simeon Brown has announced his intention to appoint a Crown Manager to both Hawke’s Bay Regional and Wairoa District Councils to speed up the delivery of flood protection work in Wairoa."Recent severe weather events in Wairoa this year, combined with damage from Cyclone Gabrielle in 2023 have ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • PM speech to Parliament – Royal Commission of Inquiry’s Report into Abuse in Care

    Mr Speaker, this is a day that many New Zealanders who were abused in State care never thought would come. It’s the day that this Parliament accepts, with deep sorrow and regret, the Report of the Royal Commission of Inquiry into Abuse in Care.  At the heart of this report are the ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government acknowledges torture at Lake Alice

    For the first time, the Government is formally acknowledging some children and young people at Lake Alice Psychiatric Hospital experienced torture. The final report of the Royal Commission of Inquiry into Abuse in State and Faith-based Care “Whanaketia – through pain and trauma, from darkness to light,” was tabled in Parliament ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government acknowledges courageous abuse survivors

    The Government has acknowledged the nearly 2,400 courageous survivors who shared their experiences during the Royal Commission of Inquiry into Historical Abuse in State and Faith-Based Care. The final report from the largest and most complex public inquiry ever held in New Zealand, the Royal Commission Inquiry “Whanaketia – through ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Half a million people use tax calculator

    With a week to go before hard-working New Zealanders see personal income tax relief for the first time in fourteen years, 513,000 people have used the Budget tax calculator to see how much they will benefit, says Finance Minister Nicola Willis.  “Tax relief is long overdue. From next Wednesday, personal income ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Paid Parental Leave improvements pass first reading

    Workplace Relations and Safety Minister Brooke van Velden says a bill that has passed its first reading will improve parental leave settings and give non-biological parents more flexibility as primary carer for their child. The Regulatory Systems Amendment Bill (No3), passed its first reading this morning. “It includes a change ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Rebuilding the economy through better regulation

    Two Bills designed to improve regulation and make it easier to do business have passed their first reading in Parliament, says Economic Development Minister Melissa Lee. The Regulatory Systems (Economic Development) Amendment Bill and Regulatory Systems (Immigration and Workforce) Amendment Bill make key changes to legislation administered by the Ministry ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • ‘Open banking’ and ‘open electricity’ on the way

    New legislation paves the way for greater competition in sectors such as banking and electricity, Commerce and Consumer Affairs Minister Andrew Bayly says. “Competitive markets boost productivity, create employment opportunities and lift living standards. To support competition, we need good quality regulation but, unfortunately, a recent OECD report ranked New ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Charity lotteries to be permitted to operate online

    Minister of Internal Affairs Brooke van Velden says lotteries for charitable purposes, such as those run by the Heart Foundation, Coastguard NZ, and local hospices, will soon be allowed to operate online permanently. “Under current laws, these fundraising lotteries are only allowed to operate online until October 2024, after which ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Accelerating Northland Expressway

    The Coalition Government is accelerating work on the new four-lane expressway between Auckland and Whangārei as part of its Roads of National Significance programme, with an accelerated delivery model to deliver this project faster and more efficiently, Transport Minister Simeon Brown says. “For too long, the lack of resilient transport connections ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Sir Don to travel to Viet Nam as special envoy

    Sir Don McKinnon will travel to Viet Nam this week as a Special Envoy of the Government, Foreign Minister Winston Peters has announced.    “It is important that the Government give due recognition to the significant contributions that General Secretary Nguyen Phu Trong made to New Zealand-Viet Nam relations,” Mr ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Grant Illingworth KC appointed as transitional Commissioner to Royal Commission

    Minister of Internal Affairs Brooke van Velden says newly appointed Commissioner, Grant Illingworth KC, will help deliver the report for the first phase of the Royal Commission of Inquiry into COVID-19 Lessons, due on 28 November 2024.  “I am pleased to announce that Mr Illingworth will commence his appointment as ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • NZ to advance relationships with ASEAN partners

    Foreign Minister Winston Peters travels to Laos this week to participate in a series of Association of Southeast Asian Nations (ASEAN)-led Ministerial meetings in Vientiane.    “ASEAN plays an important role in supporting a peaceful, stable and prosperous Indo-Pacific,” Mr Peters says.   “This will be our third visit to ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Backing mental health services on the West Coast

    Construction of a new mental health facility at Te Nikau Grey Hospital in Greymouth is today one step closer, Mental Health Minister Matt Doocey says. “This $27 million facility shows this Government is delivering on its promise to boost mental health care and improve front line services,” Mr Doocey says. ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • NZ support for sustainable Pacific fisheries

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