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notices and features - Date published:
5:30 pm, May 28th, 2025 - 8 comments
Categories: Daily review -
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Daily review is also your post.
This provides Standardistas the opportunity to review events of the day.
The usual rules of good behaviour apply (see the Policy).
Don’t forget to be kind to each other …
We all deserve a pat on the back for not taking the rank bait Gordon Brittas dropped in the water in regards hairdressers.
I've taken the time to read up a bit of the opposition to the Regulatory Standards Bill.
Also this clip. I think someone posted this not so long ago but I've only just caught up.
OCR down to 3.25%, mortgages c5% (1-3 years). There is little prospect of it going down below 3% (c4.75% mortgages).
This development while the property market is flat.
Part of this is due to the arrival of the income to loan test (Debt-to-Income (DTI) ratio) for home buyers. This is a secondary criteria to the primary one (20% equity).
Some will wait for a further cut in OCR to 3%. Others were waiting for pay equity and may now be considering a move to Oz.
https://www.oneroof.co.nz/news/tony-alexander-ocr-drops-again-but-whos-winning-and-whos-missing-out-47621
Once again, this is the time Kainga Ora should be buying up stock off July 1 rental standard non compliant landlords and increasing the amount of income related rent housing. Such times occur rarely and it is negligence, not to so act. We need stock levels at 100,000, not barely 70,000.
Luxon claims that the governments fiscal policy is a factor in the lowering of the OCR by the RB. Thus their helping voters (only those with mortgages) with their cost of living.
FLAWED NARRATIVE
The Reserve Bank of New Zealand's Monetary Policy Statement for November 2022 indicated that annual inflation was at its peak and would slowly ease. The statement also forecast that inflation would return within the Reserve Bank's 1-3% medium-term target band in the September 2024 quarter.
https://www.rbnz.govt.nz/-/media/project/sites/rbnz/files/publications/monetary-policy-statements/2022/mps-nov-22/mpsnov22.pdf
https://www.rnz.co.nz/news/national/562410/reserve-bank-drops-ocr-by-25-basis-points-to-3-point-25-percent
The government is sort of claiming that the deliberate lowering of wage expectations for workers
low MW increases, end of the Fair Pay Agreement Industry Awards (equal pay in an industry), delay in pay parity, effectively ending pay equity for most claimants, reductions in public service staffing (including in research)
allows it to fund its support for capital investment without inflationary impact.
That is enabling more profit to capital while workers receive less pay – that is the 40 year period of a falling share of the economic returns to labour is their preferred policy course for the future as well.
The bottom line, on top of lower wages, less support for food banks and food in schools. The government sees the fiscal gains from this as assisting (only) those who own houses – lower cost of mortgages and those with capital to invest.
It's definitely a flawed narrative but the government's fiscal policy is a factor in any OCR movement.
Luxon and Willis have crippled the economy by sacking 10,000 workers, going against public service advice, bowing to lobby interests, pushing through think-tank requests, ditching select committees, politically pressuring government institutions, and rushing through high school student level legislation under urgency.
The RB has never seen such corruption and incompetence, such interference, and I'm not sure they know how to handle it.
I heard Luxon boasting about how much the OCR had fallen "since we came to power" on RNZ this arvo as though the COC had somehow been responsible for this.
Such total bollocks-it is of course a worldwide trend where, for instance as one element, Brent Crude has fallen to US$64 a barrel today thus significantly aiding the worldwide fall in inflation.
Unbelievable. Now Roche is going after whistleblowers in the ministry of education by asking RNZ to give up their sources.
Roche threatens workers and threatens communications and also threatens RNZ, all on behalf of this crappy government.
Brian Roche might consider improving his own management skills before embarking on a service wide witch-hunt.
https://www.rnz.co.nz/news/national/562430/education-ministry-asks-rnz-to-help-investigation-into-leaks-we-declined
Mutton-this will probably mean we get a leak on the leak on the leak.
And Rob Campbell riding shotgun…..
Rob Campbell