The lie of the “fiscally neutral” tax cuts

Written By: - Date published: 3:50 pm, April 4th, 2012 - 46 comments
Categories: economy, john key, national, tax - Tags: ,

Back in 2009 National told us that their tax cuts for the rich were “fiscally neutral”. It didn’t sound likely, and some of us said so at the time. The excellent Keith Ng at Public Address ferreted out the details:

This is actually a tax cut. It will cost $1.085b in the next four years. The only reason they can say it’s ‘revenue positive’ by 2013/14 is by adding a line called ‘Adjustment for macroeconomic effects’. That is, they argue that tax cuts will spur economic growth, and therefore the economy will grow faster, and so it’ll be revenue positive by 2013/14.

It would be unfair to call this magic money, but at the very least, it’s entirely theoretical money. Not only can we not know whether it’s real or not now, but we won’t know whether it’s real or not in 2013/14.

In other words, the only way the Nats could claim to balance the books was to invent a fudge factor — an unknown and unknowable boost to “growth” — to cancel out the cost. But it’s not happening. It was clear in 2010 that it wasn’t happening, but the Nats kept making excuses. So here we are in 2012 and of course

Lower tax take hits govt finances

The government took in less revenue than expected from income tax, company tax and GST in the eight months ended February 29, widening its operating deficit more than forecast. …

Source deductions were $200 million below forecast “as the labour market and employment and wage growth have been weaker than expected,” the Treasury’s chief financial officer Fergus Walsh said. Corporate tax was $193 million below forecast “as business profitability was weaker that expected,” he said. Goods and services tax was $369 million below forecast, though much of this reflected above-forecast earthquake-related insurance refunds and excluding these, the tax take from GST was near to expectations, the Treasury said. …

Total tax revenue in the first eight months of the fiscal year was $35.35 billion, compared to a forecast in the PREFU of $36.18 billion.

National’s tax cuts were not and are not fiscally neutral, they are costing us in extra borrowing every year. But Key is still out there telling the lie:

Meanwhile, speaking on TV One’s Breakfast programme on Monday morning, Key defended the tax cuts made in the 2010 Budget, having been asked whether they were in fact neutral.

“They literally were neutral,” Key said.

Bollocks.

46 comments on “The lie of the “fiscally neutral” tax cuts ”

  1. Draco T Bastard 1

    But Key is still out there telling the lie:

    You didn’t really think anything else would happen did you? NACT have to make up excuses and tell lies so that their delusion doesn’t fall apart.

  2. ad 2

    Currently waiting for a devastating critique from the Labour Finance Spokesperson.

    Any time you’re ready Parker.

    • Kotahi Tane Huna 2.1

      Parker doesn’t need to say anything – especially not to satisfy your bludging sense of entitlement. The devastating critiques are coming think and fast from Bernard Hickey et al. Why have a dog and bark yourself?

      • Jimmy 2.1.1

        Because Bernard Hickey et al. won’t be aiming to form the next government.

        • ad 2.1.1.1

          And because it’s his job, simple as that.

          We are all entitled to expect that a guy who thinks he can take on this government in teh Finance portfolio, and stands in public office to do so, actually does.

          Expecting the media professionals to do that job, simply shows you are ignorant of the difference between a media commentator and a politician.

          • Rob 2.1.1.1.1

            I see, I can understand Kotahi Tane Huna confusion here. He feels that all Labour has to do is cruise through the next 2 .5 years , without saying or doing anything , because suddenly the great unwashed will recognise their huge mistake and vote labour back in again, because that’s where Labour deserve to be.

            However , the rest of us actually vote for peole that have some form of policy ,direction and are prepared to get off their arse and explan it to us.

            • Kotahi Tane Huna 2.1.1.1.1.1

              I have no doubt that Labour will make their own statements on the issues as they see fit, and I have no doubt that they will not follow any wingnut timetable in doing so. But from my perspective, I can see how full of shit this government is without being spoonfed.

              Rob, the policy direction that you have been duped into supporting has destroyed wealth every single time it has been implemented anywhere in the whole world. Unless you can cite one single example to the contrary, that is. So your assertion that you are a member of a group that “vote for peole (sic) that have some form of policy direction” is amusing, to be charitable.

              • Rob

                I am actually unsure of what policy direction you think I have been duped into supporting, so I cannot offer a contrary view. If you mean that I vote for policies , sure I do and lots of people do, that is why political parties of all nature rise and fall from election to election. People change their vote depending on who they think is offering them and what they care about the best outcome.

                Now, so what is amusing to you given your statement ” So your assertion that you are a member of a group that “vote for peole (sic) that have some form of policy direction” is amusing, to be charitable.”

                • Kotahi Tane Huna

                  @Rob: your support for asset sales, for example.

                  @Muzza: “different” as in “different” policies, “different” priorities, “different” demographics, “different” philosophies.

                  • Muzza

                    The people sure, the politicians, that’s another story altogether now isn’t it !

                    • Kotahi Tane Huna

                      I am reminded of Nandor Tanczos’ valedictory speech. “I came to Parliament thinking that the members were all a bunch of bastards, and I was wrong.”

              • Muzza

                Speaking of being duped, those who reckon the left is different from the right overall, duped !

      • Anthony Bull 2.1.2

        hahaha – the “devastating” critique of Bernard Hickey?

        The same guy who also predicted the housing market values crashing by 40% by 2010, and has suggested the way out of the recession is by printing hundreds of millions of dollars so that it devalues the property market?

        Do you take Bernard Hickey seriously?

    • David H 2.2

      I’m waiting for any devastating critique from ANYONE in the Labour Party. They are USELESS. They need a clean out All the Auntie Helen govt movers and shaker should have gone. But no they pulled strings and now we have a dead duck leading a dead duck party.

      • Colonial Viper 2.2.1

        Cunliffe is economic development spokesperson. This is not his department.

        • Balanced View 2.2.1.1

          My friend Viper! Funny comment, I’m guessing you are asserting that Cunliffe is the dead duck David H has referred to?

          • lprent 2.2.1.1.1

            I think that he was referring to the widespread perception that John Key isn’t enjoying being PM any more and that the recent events in National with those nasty wee backstabbing knives have been part of the jostling for the succession.

            Why would you think Cunnliffe is a dead duck?

        • Hami Shearlie 2.2.1.2

          I wish it was his department CV!

  3. The Baron 3

    So the simple answer is that the earthquake wiped out the fiscal neutrality. Not really a lie then is it, unless you consider the definition of “lying” to include “being unable to predict a massive earthquake”.

    Note the use of WERE in Key’s comments – prior to the earthquake, they WERE neutral. It’s called past tense. Note that it is you, R0B that has tried to make them present tense in your commentary (though I haven’t watched the video to check that, can’t from current location).

    If that present tense isn’t in that video, does that make you a liar then, R0B, for putting words in someone’s mouth to make up a basis for criticism?

    Regardless, I think a better argument is the “cancel the tax cuts because you can’t afford them any more thanks to the earthquake” – but that was last year’s meme, right?

    I guess you’ve decided its better to be shrill and hyperbolic rather than sensible with this year’s warbling. Maybe this doesn’t make you a liar per se, but it does encourage other, less than kind labels.

    • r0b 3.1

      That’s some of the most pathetic excusifying I’ve ever seen TB.

      The material quoted is about tax take, and only tax take (not other factors that affect the books, like commodities prices, or costs of the quake). Tax take is down on predictions across the whole economy (not just in Christchurch). Furthermore it was down in 2010 before the major quake in February 2011 (see the link in the original post). So the quake is a (small) factor in tax take especially post February 2011 – but no excuse for the broad deficit that we’re seeing.

      If you want to read some proper analysis of the economics of the quake – try this.

      I realise the strain of defending this awful government is proving difficult for you right wingers TB, but even so that response from you was truly desperate.

      • ad 3.1.1

        Totally with you Rob – that tax cut for the rich was one of the stupidest things I’ve ever seen, making the state so weak when it was time actually answer the call of a national crisis. And quarter after quarter we’ve seen that it made no positive impact on economic growth at all.

      • The Baron 3.1.2

        I think your missing my point in your hurry to scream LIAR, R0B.

        Is there anything in this video where Key claims that these tax cuts are still fiscally neutral now? Or does he simply restate his assertion that they were fiscally neutral when they were designed, and that the unforseeable economic impact of the earthquake ruined that design?

        If he doesn’t say that they are still fiscally neutral, then I am hardly being a defensive fanboi – I’m simply pointing out that it isn’t really lying if you failed to predict the economic impact of the Chch earthquake. I realise that that doesn’t make such a good hysterical headline for you to slap the Govt with like the good one-eyed loyalist you are, but it is simply more truthful.

        Get where I am coming from?

        • r0b 3.1.2.1

          Is there anything in this video where Key claims that these tax cuts are still fiscally neutral now?

          I’ll try to make it simple TB. The cuts were not fiscally neutral when they were introduced. They have not been fiscally neutral at any time in the past, they are not fiscally neutral now, they will not be fiscally neutral any time in the future, they cost money. All statements to the effect that would be, are, or were at any time “fiscally neutral” are lies.

          I think your missing my point in your hurry to scream LIAR, R0B.

          You’re the only one screaming TB.

        • lprent 3.1.2.2

          Nope. You are wrong.

          Keith Ng nailed it at the time. Bill and John lied at the time the budget was passed because it depended on a myth.

          Marginal taxcut’s don’t stimulate the economy and cause more tax revenues. They just reduce the taxtake

          They never have and they never will. That is a complete myth spun by people wanting to have a free lunch.

          If there are really really high tax rates, a repressed economy, and a BIG tax cut then you may get a economic stimulus.

          But NZ has some of the lowest total taxes in any country I deal with – once you look at total tax take at national, state, payroll, medicare, and local level and include other mandatory taxes. The economy is entirely free and open, therefore little taxcuts do nothing. This has been proven several times.

          So why did National and the treasury try it again, pushing their magic numbers into the budget to make it ‘neutral’?

          Well there are the idiots around who will believe almost anything becaus ethey are too stupid to read history. You as I remember it were one of them

      • Rob 3.1.3

        rOb , we were really forecasting a good solid growth in the South Island for our business. We had released new products, expanded distribution brought on a new sales manager to get the team huming, thinks were looking OK after the a torrid time since 08.

        Nek Minit . i think you get what happened next and then again , then again and again, till some people got killed and more housed got destroyed, the people started to leave.

        Pull your head in.

        • r0b 3.1.3.1

          rOb , we were really forecasting a good solid growth in the South Island for our business. We had released new products, expanded distribution brought on a new sales manager to get the team huming, thinks were looking OK after the a torrid time since 08.

          Very happy for your Rob. And all that was because of National’s tax cuts was it? No.

          Nek Minit . i think you get what happened next and then again ,

          Yeah, I was there, I’ll never forget what happened. And yes it will have had an effect on the economy. But it doesn’t explain the nation wide drop in tax take, which was happening in 2010 before the quake.

          Pull your head in.

          Open your eyes.

        • rosy 3.1.3.2

          Nek Minit? NACT didn’t have a plan to respond. There were huge calls for a levy to fund the Christchurch rebuild and this idea appeared to have a lot of public support. What happened? Nothing.

    • Kotahi Tane Huna 3.2

      “Regardless, I think a better argument is the “cancel the tax cuts because you can’t afford them any more thanks to the earthquake” – but that was last year’s meme, right?”

      It still applies, Baron – the government could easily boost the economy by returning tax to pre 2008 levels and spending some of those $$ – not on Follies like the RONS, but on simple basic things like adult education and better wages for nurses and teachers.

      Taxation never deterred anyone from making a profit. In the USA, for example:

      “Tax increases are followed by economic growth. Three of the four high-growth periods cited previously followed significant tax hikes. The fourth, the Truman-Eisenhower years, began with a top tax rate of 91 percent– it couldn’t get much higher.” Larry Beinhart.

    • Enough is Enough 3.3

      The tax take and economy were on the slide well before Christchurch began rocking so bzzzzz try again.

      The economics of the quake are interesting aren’t they. At the moment National blames the quake for their mismanagement of the economy.

      In two years time when the economy will be experencing some positive growth off the back of the Christchurch rebuild, National will claim that growth is down to their management of the economy.

      Don’t let the idiots have it both ways.

  4. tc 4

    Beatson uncovered this when he had blinglish on Stratos years ago in what was an interview that should be shown to all the kiddies in our MSM trying to be journalists as a lesson on how to interview a politician.

    Now the facts are in lets watch the MSM dismember them for the ongoing lies and complete failure to not only stimulate but cost us billions in the process……yeah right !

  5. jack 5

    They were never neutral. People are buying less, look at the treasury report. 1.2 billion short of forecast. Gst receipts are down.. Key said that the tax cuts were suppose to stimulate the economy and gst receipts would be up.. Key just wants to put New Zealand into more debt to sell off the assets. Ask Key if he knew about the Bretherens involved in the campaign of 2005… He said no, but fact shows he helped put the meetings together. Everything that comes out of his mouth is a lie.. and I voted for him in 2008.. I lean toward the right.. but Key is leaning towards GREED for himself and his mates.

    • shreddakj 5.1

      I too voted for Key in ’08 and now I think even the greens are too moderate. You are right though, Key does not have the best interests of NZ at heart.

  6. Blue 6

    Natonomics 101:

    1. Cut taxes. Say growth will make up for it.
    2. Insist that growth would have made up for it, if not for….
    3. Borrow money to pay bills. Hope no one notices that borrowing money incurs interest, and therefore costs the country more than it would if we just paid a reasonable amount of tax and paid our bills from that revenue.
    4. Sweat. Realise that most people don’t know and don’t care what is going on with boring stuff like politics and economics. They like tax cuts. Breathe sigh of relief.
    5. Fire a few public servants. Eat some chocolate. Stir up some concern about beneficiaries. Think about what to do next.

    • prism 6.1

      Blue
      😀

    • seeker 6.2

      Too true Blue yet again, unfortunately, especially:

      “4. Sweat. Realise that most people don’t know and don’t care what is going on with boring stuff like politics and economics. They like tax cuts. Breathe sigh of relief.”

    • Jenny 6.3

      6. Move to Hawaii permanently.

  7. bad12 7

    ”Imagine how big the deficit in the Governments tax take would have been had National not raised GST”,unquote John Key,

    Slippery stands on the Parliaments floor and derisively laughs when questioned by the Greens Russell Norman on the size of the hole in the Governments tax take,

    Axchully Slippery we can imagine the size of the Governments revenue deficit in taxation if National had of not raised GST,around 1.9 billion dollars annually…

  8. Ed 8

    The link to Keith Ng ferreting out details detail doesn’t work. Should it be
    http://publicaddress.net/onpoint/?start=30 ?

  9. bad12 9

    The macro-economics of having given tax cuts to high income earners is well documented by various economists and university studies,

    The brief concise and precise prognosis says simply that up to 75% of such largesse when passed to high income earners will simply disappear from the economy what % of the given tax cuts disappear from the economy is simply dictated by the size of the cuts and how high up the income ladder the tax cuts reach,

    We could here get bogged down in percentages of this and degrees of that but the ECONOMIC RULE makes what we have said above a truism no matter which country indulges in such tax cutting,

    When tax cuts for high income earners are in essence ”paid for” by those on low and fixed incomes being taxed more,(GST rise), then the income loss to Government from the tax revenue stream is magnified,

    A simple macro-economic comparison with a income boost for the low and fixed income earner and the same tax cut in strict dollar equality when given to the high income earner says this,

    The low and fixed income earner with their windfall considering they ”need” some items of new clothing will head off to the Ware Whare and spend all or part of their higher income,

    The high income earner considering the same ”need” is very likely to be off to Sydney Australia to fulfill such wardrobe requirements,

    Thus part or all of the tax cut to the high earner is removed from the NZ economy,and in this our first example of how such income tax cuts to the high earner simply disappear from the NZ economy we have perhaps over-simplified,

    However,the list of ways such a windfall of income tax cuts for the high income earner find to leave the NZ economy is long and we have deliberately made the analogy simple so that if the Member from Dipton or His master Slippery stumble across it here they might have the inkling of a clue as to just what they have accomplished,

    The above of course only applies if you believe that the tragic out-come of the tax cuts,a 1 billion hole in the Governments revenue stream from taxation was an un-forseen accident…

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    2 days ago
  • The Song of Saqua: Volume III
    Time to revisit something I haven’t covered in a while: the D&D campaign, with Saqua the aquatic half-vampire. Last seen in July: https://phuulishfellow.wordpress.com/2023/07/27/the-song-of-saqua-volume-ii/ The delay is understandable, once one realises that the interim saw our DM come down with a life-threatening medical situation. They have since survived to make ...
    2 days ago
  • Chris Bishop: Smokin’
    Yes. Correct. It was an election result. And now we are the elected government. ...
    My ThinksBy boonman
    3 days ago
  • 2023 SkS Weekly Climate Change & Global Warming News Roundup #48
    A chronological listing of news and opinion articles posted on the Skeptical Science  Facebook Page during the past week: Sun, Nov 26, 2023 thru Dec 2, 2023. Story of the Week CO2 readings from Mauna Loa show failure to combat climate change Daily atmospheric carbon dioxide data from Hawaiian volcano more ...
    3 days ago
  • Affirmative Action.
    Affirmative Action was a key theme at this election, although I don’t recall anyone using those particular words during the campaign.They’re positive words, and the way the topic was talked about was anything but. It certainly wasn’t a campaign of saying that Affirmative Action was a good thing, but that, ...
    Nick’s KōreroBy Nick Rockel
    3 days ago
  • 100 days of something
    It was at the end of the Foxton straights, at the end of 1978, at 100km/h, that someone tried to grab me from behind on my Yamaha.They seemed to be yanking my backpack. My first thought was outrage. My second was: but how? Where have they come from? And my ...
    More Than A FeildingBy David Slack
    3 days ago
  • Look who’s stepped up to champion Winston
    There’s no news to be gleaned from the government’s official website today  – it contains nothing more than the message about the site being under maintenance. The time this maintenance job is taking and the costs being incurred have us musing on the government’s commitment to an assault on inflation. ...
    Point of OrderBy Bob Edlin
    4 days ago
  • What's The Story?
    Don’t you sometimes wish they’d just tell the truth? No matter how abhorrent or ugly, just straight up tell us the truth?C’mon guys, what you’re doing is bad enough anyway, pretending you’re not is only adding insult to injury.Instead of all this bollocks about the Smokefree changes being to do ...
    Nick’s KōreroBy Nick Rockel
    4 days ago
  • The longest of weeks
    Hello! Here comes the Saturday edition of More Than A Feilding, catching you up on the past week’s editions.Friday Under New Management Week in review, quiz style1. Which of these best describes Aotearoa?a. Progressive nation, proud of its egalitarian spirit and belief in a fair go b. Best little country on the planet c. ...
    More Than A FeildingBy David Slack
    4 days ago
  • Suggested sessions of EGU24 to submit abstracts to
    Like earlier this year, members from our team will be involved with next year's General Assembly of the European Geosciences Union (EGU). The conference will take place on premise in Vienna as well as online from April 14 to 19, 2024. The session catalog has been available since November 1 ...
    5 days ago
  • Under New Management
    1. Which of these best describes Aotearoa?a. Progressive nation, proud of its egalitarian spirit and belief in a fair go b. Best little country on the planet c. Under New Management 2. Which of these best describes the 100 days of action announced this week by the new government?a. Petulantb. Simplistic and wrongheaded c. ...
    More Than A FeildingBy David Slack
    5 days ago
  • While we wait patiently, our new Minister of Education is up and going with a 100-day action plan
    Sorry to say, the government’s official website is still out of action. When Point of Order paid its daily visit, the message was the same as it has been for the past week: Site under maintenance Beehive.govt.nz is currently under maintenance. We will be back shortly. Thank you for your ...
    Point of OrderBy Bob Edlin
    5 days ago
  • DAVID FARRAR: Hysterical bullshit
    Radio NZ reports: Te Pāti Māori’s co-leader Debbie Ngarewa-Packer has accused the new government of “deliberate .. systemic genocide” over its policies to roll back the smokefree policy and the Māori Health Authority. The left love hysterical language. If you oppose racial quotas in laws, you are a racist. And now if you sack ...
    Point of OrderBy Bob Edlin
    5 days ago
  • Skeptical Science New Research for Week #48 2023
    Open access notables From this week's government/NGO section, longitudinal data is gold and Leisorowitz, Maibachi et al. continue to mine ore from the US public with Climate Change in the American Mind: Politics & Policy, Fall 2023: Drawing on a representative sample of the U.S. adult population, the authors describe how registered ...
    5 days ago
  • ELE LUDEMANN: It wasn’t just $55 million
    Ele Ludemann writes –  Winston Peters reckons media outlets were bribed by the $55 million Public Interest Journalism Fund. He is not the first to make such an accusation. Last year, the Platform outlined conditions media signed up to in return for funds from the PJIF: . . . ...
    Point of OrderBy Bob Edlin
    5 days ago
  • Weekly Roundup 1-December-2023
    Wow, it’s December already, and it’s a Friday. So here are few things that caught our attention recently. This Week in Greater Auckland On Monday Matt covered the new government’s coalition agreements and what they mean for transport. On Tuesday Matt looked at AT’s plans for fare increases ...
    Greater AucklandBy Greater Auckland
    5 days ago
  • Shane MacGowan Is Gone.
    Late 1996, The Dogs Bollix, Tamaki Makaurau.I’m at the front of the bar yelling my order to the bartender, jostling with other thirsty punters on a Friday night, keen to piss their wages up against a wall letting loose. The black stuff, long luscious pints of creamy goodness. Back down ...
    Nick’s KōreroBy Nick Rockel
    5 days ago
  • The Hoon around the week to Dec 1
    Nicola Willis, Chris Bishop and other National, ACT and NZ First MPs applaud the signing of the coalition agreements, which included the reversal of anti-smoking measures while accelerating tax cuts for landlords. Photo: Lynn Grieveson / The KākāTL;DR: The five things that mattered in Aotearoa’s political economy that we wrote ...
    The KakaBy Bernard Hickey
    5 days ago
  • 2023 More Reading: November (+ Writing Update)
    Completed reads for November: A Modern Utopia, by H.G. Wells The Vampire (poem), by Heinrich August Ossenfelder The Corpus Hermeticum The Corpus Hermeticum is Mead’s translation. Now, this is indeed a very quiet month for reading. But there is a reason for that… You see, ...
    6 days ago
  • Forward to 2017
    The coalition party agreements are mainly about returning to 2017 when National lost power. They show commonalities but also some serious divergencies.The two coalition agreements – one National and ACT, the other National and New Zealand First – are more than policy documents. They also describe the processes of the ...
    PunditBy Brian Easton
    6 days ago
  • Questions a nine year old might ask the new Prime Minister
    First QuestionYou’re going to crack down on people ram-raiding dairies, because you say hard-working dairy owners shouldn’t have to worry about getting ram-raided.But once the chemist shops have pseudoephedrine in them again, they're going to get ram-raided all the time. Do chemists not work as hard as dairy owners?Second QuestionYou ...
    More than a fieldingBy David Slack
    6 days ago
  • Questions a nine year old might ask the new Prime Minister
    First QuestionYou’re going to crack down on people ram-raiding dairies, because you say hard-working dairy owners shouldn’t have to worry about getting ram-raided.But once the chemist shops have pseudoephedrine in them again, they're going to get ram-raided all the time. Do chemists not work as hard as dairy owners?Second QuestionYou ...
    More Than A FeildingBy David Slack
    6 days ago
  • Finally
    Henry Kissinger is finally dead. Good fucking riddance. While Americans loved him, he was a war criminal, responsible for most of the atrocities of the final quarter of the twentieth century. Cambodia. Bangladesh. Chile. East Timor. All Kissinger. Because of these crimes, Americans revere him as a "statesman" (which says ...
    No Right TurnBy Idiot/Savant
    6 days ago
  • Government in a hurry – Luxon lists 49 priorities in 100-day plan while Peters pledges to strength...
    Buzz from the Beehive Yes, ministers in the new government are delivering speeches and releasing press statements. But the message on the government’s official website was the same as it has been for the past several days, when Point of Order went looking for news from the Beehive that had ...
    Point of OrderBy Bob Edlin
    6 days ago
  • DAVID FARRAR: Luxon is absolutely right
    David Farrar writes  –  1 News reports: Christopher Luxon says he was told by some Kiwis on the campaign trail they “didn’t know” the difference between Waka Kotahi, Te Pūkenga and Te Whatu Ora. Speaking to Breakfast, the incoming prime minister said having English first on government agencies will “make sure” ...
    Point of OrderBy poonzteam5443
    6 days ago
  • Top 10 at 10 am for Thursday, Nov 30
    There are fears that mooted changes to building consent liability could end up driving the building industry into an uninsured hole. Photo: Lynn Grieveson / The KākāTL;DR: Here’s my pick of the top 10 news and analysis links elsewhere as of 10 am on Thursday, November 30, including:The new Government’s ...
    The KakaBy Bernard Hickey
    6 days ago
  • Gordon Campbell on how climate change threatens cricket‘s future
    Well that didn’t last long, did it? Mere days after taking on what he called the “awesome responsibility” of being Prime Minister, M Christopher Luxon has started blaming everyone else, and complaining that he has inherited “economic vandalism on an unprecedented scale” – which is how most of us are ...
    6 days ago
  • We need to talk about Tory.
    The first I knew of the news about Tory Whanau was when a tweet came up in my feed.The sort of tweet that makes you question humanity, or at least why you bother with Twitter. Which is increasingly a cesspit of vile inhabitants who lurk spreading negativity, hate, and every ...
    Nick’s KōreroBy Nick Rockel
    6 days ago
  • Dangling Transport Solutions
    Cable Cars, Gondolas, Ropeways and Aerial Trams are all names for essentially the same technology and the world’s biggest maker of them are here to sell them as an public transport solution. Stuff reports: Austrian cable car company Doppelmayr has launched its case for adding aerial cable cars to New ...
    6 days ago
  • November AMA
    Hi,It’s been awhile since I’ve done an Ask-Me-Anything on here, so today’s the day. Ask anything you like in the comments section, and I’ll be checking in today and tomorrow to answer.Leave a commentNext week I’ll be giving away a bunch of these Mister Organ blu-rays for readers in New ...
    David FarrierBy David Farrier
    6 days ago
  • National’s early moves adding to cost of living pressure
    The cost of living grind continues, and the economic and inflation honeymoon is over before it began. Photo: Lynn Grieveson / The KākāTL;DR: PM Christopher Luxon unveiled his 100 day plan yesterday with an avowed focus of reducing cost-of-living pressures, but his Government’s initial moves and promises are actually elevating ...
    The KakaBy Bernard Hickey
    6 days ago
  • Backwards to the future
    Prime Minister Christopher Luxon has confirmed that it will be back to the future on planning legislation. This will be just one of a number of moves which will see the new government go backwards as it repeals and cost-cuts its way into power. They will completely repeal one ...
    PolitikBy Richard Harman
    6 days ago
  • New initiatives in science and technology could point the way ahead for Luxon government
    As the new government settles into the Beehive, expectations are high that it can sort out some  of  the  economic issues  confronting  New Zealand. It may take time for some new  ministers to get to grips with the range of their portfolio work and responsibilities before they can launch the  changes that  ...
    Point of OrderBy tutere44
    7 days ago
  • Treaty pledge to secure funding is contentious – but is Peters being pursued by a lynch mob after ...
    TV3 political editor Jenna Lynch was among the corps of political reporters who bridled, when Deputy Prime Minister Winston Peters told them what he thinks of them (which is not much). She was unabashed about letting her audience know she had bridled. More usefully, she drew attention to something which ...
    Point of OrderBy Bob Edlin
    7 days ago
  • How long does this last?
    I have a clear memory of every election since 1969 in this plucky little nation of ours. I swear I cannot recall a single one where the question being asked repeatedly in the first week of the new government was: how long do you reckon they’ll last? And that includes all ...
    More Than A FeildingBy David Slack
    7 days ago
  • National’s giveaway politics
    We already know that national plans to boost smoking rates to collect more tobacco tax so they can give huge tax-cuts to mega-landlords. But this morning that policy got even more obscene - because it turns out that the tax cut is retrospective: Residential landlords will be able to ...
    No Right TurnBy Idiot/Savant
    7 days ago
  • CHRIS TROTTER: Who’s driving the right-wing bus?
    Who’s At The Wheel? The electorate’s message, as aggregated in the polling booths on 14 October, turned out to be a conservative political agenda stronger than anything New Zealand has seen in five decades. In 1975, Bill Rowling was run over by just one bus, with Rob Muldoon at the wheel. In 2023, ...
    Point of OrderBy poonzteam5443
    1 week ago
  • GRAHAM ADAMS:  Media knives flashing for Luxon’s government
    The fear and loathing among legacy journalists is astonishing Graham Adams writes – No one is going to die wondering how some of the nation’s most influential journalists personally view the new National-led government. It has become abundantly clear within a few days of the coalition agreements ...
    Point of OrderBy gadams1000
    1 week ago
  • Top 10 news links for Wednesday, Nov 29
    TL;DR: Here’s my pick of top 10 news links elsewhere for Wednesday November 29, including:The early return of interest deductibility for landlords could see rebates paid on previous taxes and the cost increase to $3 billion from National’s initial estimate of $2.1 billion, CTU Economist Craig Renney estimated here last ...
    The KakaBy Bernard Hickey
    1 week ago
  • Smokefree Fallout and a High Profile Resignation.
    The day after being sworn in the new cabinet met yesterday, to enjoy their honeymoon phase. You remember, that period after a new government takes power where the country, and the media, are optimistic about them, because they haven’t had a chance to stuff anything about yet.Sadly the nuptials complete ...
    Nick’s KōreroBy Nick Rockel
    1 week ago
  • As Cabinet revs up, building plans go on hold
    Wellington Council hoardings proclaim its preparations for population growth, but around the country councils are putting things on hold in the absence of clear funding pathways for infrastructure, and despite exploding migrant numbers. Photo: Lynn Grieveson / The KākāTL;DR: Cabinet meets in earnest today to consider the new Government’s 100-day ...
    The KakaBy Bernard Hickey
    1 week ago
  • National takes over infrastructure
    Though New Zealand First may have had ambitions to run the infrastructure portfolios, National would seem to have ended up firmly in control of them.  POLITIK has obtained a private memo to members of Infrastructure NZ yesterday, which shows that the peak organisation for infrastructure sees  National MPs Chris ...
    PolitikBy Richard Harman
    1 week ago
  • At a glance – Evidence for global warming
    On February 14, 2023 we announced our Rebuttal Update Project. This included an ask for feedback about the added "At a glance" section in the updated basic rebuttal versions. This weekly blog post series highlights this new section of one of the updated basic rebuttal versions and serves as a ...
    1 week ago
  • Who’s Driving The Right-Wing Bus?
    Who’s At The Wheel? The electorate’s message, as aggregated in the polling booths on 14 October, turned out to be a conservative political agenda stronger than anything New Zealand has seen in five decades. In 1975, Bill Rowling was run over by just one bus, with Rob Muldoon at the wheel. In ...
    1 week ago

  • PISA results show urgent need to teach the basics
    With 2022 PISA results showing a decline in achievement, Education Minister Erica Stanford is confident that the Coalition Government’s 100-day plan for education will improve outcomes for Kiwi kids.  The 2022 PISA results show a significant decline in the performance of 15-year-old students in maths compared to 2018 and confirms ...
    BeehiveBy beehive.govt.nz
    15 hours ago
  • Collins leaves for Pacific defence meeting
    Defence Minister Judith Collins today departed for New Caledonia to attend the 8th annual South Pacific Defence Ministers’ meeting (SPDMM). “This meeting is an excellent opportunity to meet face-to-face with my Pacific counterparts to discuss regional security matters and to demonstrate our ongoing commitment to the Pacific,” Judith Collins says. ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Working for Families gets cost of living boost
    Putting more money in the pockets of hard-working families is a priority of this Coalition Government, starting with an increase to Working for Families, Prime Minister Christopher Luxon says. “We are starting our 100-day plan with a laser focus on bringing down the cost of living, because that is what ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Lake Onslow pumped hydro scheme scrapped
    The Government has axed the $16 billion Lake Onslow pumped hydro scheme championed by the previous government, Energy Minister Simeon Brown says. “This hugely wasteful project was pouring money down the drain at a time when we need to be reining in spending and focussing on rebuilding the economy and ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • NZ welcomes further pause in fighting in Gaza
    New Zealand welcomes the further one-day extension of the pause in fighting, which will allow the delivery of more urgently-needed humanitarian aid into Gaza and the release of more hostages, Foreign Minister Winston Peters said. “The human cost of the conflict is horrific, and New Zealand wants to see the violence ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Condolences on passing of Henry Kissinger
    Foreign Minister Winston Peters today expressed on behalf of the New Zealand Government his condolences to the family of former US Secretary of State Henry Kissinger, who has passed away at the age of 100 at his home in Connecticut. “While opinions on his legacy are varied, Secretary Kissinger was ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Backing our kids to learn the basics
    Every child deserves a world-leading education, and the Coalition Government is making that a priority as part of its 100-day plan. Education Minister Erica Stanford says that will start with banning cellphone use at school and ensuring all primary students spend one hour on reading, writing, and maths each day. ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • US Business Summit Speech – Regional stability through trade
    I would like to begin by echoing the Prime Minister’s thanks to the organisers of this Summit, Fran O’Sullivan and the Auckland Business Chamber.  I want to also acknowledge the many leading exporters, sector representatives, diplomats, and other leaders we have joining us in the room. In particular, I would like ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Keynote Address to the United States Business Summit, Auckland
    Good morning. Thank you, Rosemary, for your warm introduction, and to Fran and Simon for this opportunity to make some brief comments about New Zealand’s relationship with the United States.  This is also a chance to acknowledge my colleague, Minister for Trade Todd McClay, Ambassador Tom Udall, Secretary of Foreign ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • India New Zealand Business Council Speech, India as a Strategic Priority
    Good morning, tēnā koutou and namaskar. Many thanks, Michael, for your warm welcome. I would like to acknowledge the work of the India New Zealand Business Council in facilitating today’s event and for the Council’s broader work in supporting a coordinated approach for lifting New Zealand-India relations. I want to also ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Coalition Government unveils 100-day plan
    Prime Minister Christopher Luxon has laid out the Coalition Government’s plan for its first 100 days from today. “The last few years have been incredibly tough for so many New Zealanders. People have put their trust in National, ACT and NZ First to steer them towards a better, more prosperous ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • New Zealand welcomes European Parliament vote on the NZ-EU Free Trade Agreement
    A significant milestone in ratifying the NZ-EU Free Trade Agreement (FTA) was reached last night, with 524 of the 705 member European Parliament voting in favour to approve the agreement. “I’m delighted to hear of the successful vote to approve the NZ-EU FTA in the European Parliament overnight. This is ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Further humanitarian support for Gaza, the West Bank and Israel
    The Government is contributing a further $5 million to support the response to urgent humanitarian needs in Gaza, the West Bank and Israel, bringing New Zealand’s total contribution to the humanitarian response so far to $10 million. “New Zealand is deeply saddened by the loss of civilian life and the ...
    BeehiveBy beehive.govt.nz
    3 weeks ago

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