The Liz Truss of the South Seas
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9:43 am, April 21st, 2024 - 35 comments
Categories: Christopher Luxon, david seymour, Economy, nicola willis, Shane Jones, treasury, treaty settlements, uk politics, uncategorized -
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Readers will no doubt recall Liz Truss, the former UK Prime Minister who enjoyed the shortest reign in the office and who was famously outlasted by an iceberg lettuce.
She has recently released a book ominously titled “Ten Years to save the West”.
Reviews of the book that I have read treat it with the same level of derision that was poured onto her reign as PM.
This review in the Guardian by Stuart Jeffries is a piece of fine art. Especially this passage:
The then prime minister is livid about how a cabal of Cinos (pronounced “Chinos” – Conservatives in name only) and other blob-adjacent political invertebrates were trying to nobble the week-old mini-budget she devised with her chancellor of the exchequer Kwasi Kwarteng. By means of this reform, a new globally competitive post-Brexit Britain would emerge. This “unchained Britannia” would be unconstrained by planning regulations, free to frack as never before and able to explore the North Sea for oil despite the ululations of virtue-signalling eco-zealots and the rest of the anti-growth wokerati. This would be a Britain where the super-rich were less hamstrung by corporation or inheritance taxes, and in which the 45p income tax rate (what she calls here the “anti-success tax”) would be little more than a bad memory.
What Truss didn’t seem to understand, now as then, is the handbrake had long ago come off and that both she and Kwarteng, like some latter-day approximations of Thelma and Louise, were barrelling towards oblivion. At Birmingham, in the face of objections from fellow Tories and serious market jitters, Kwarteng U-turned on that tax break for the rich. Later, the pair’s whole plan for growth was junked. Why? Truss is keen to tell us it wasn’t her fault. It was the fault of the economic establishment, apparently, whose members include the Bank of England governor Andrew Bailey, her fellow Conservatives, the IMF and President Biden, not to mention the Office for Budget Responsibility whose “overegged” prognostications of the disastrous impacts hastened speculative panic. They were the reason Britannia had to be chained back up again.
The primary feature of the budget was a massive tax cut for the rich funded by borrowing. The theory was that the rich would then invest all of their newly found money into the UK economy and generate huge growth rates and we would all be rich. It was in essence yet another version of trickle down.
The plan failed. The markets were spooked, the pound slumped, interest rates spiked and it all ended in tears. Truss sacked her old friend and Chancellor of the Exchequor Kwasi Kwarteng by tweet. Shortly after this she was also gone. The longest surviving entity was the lettuce.
In Aotearoa New Zealand we are going through a not dissimiliar experience. The Government is laying waste to the public service, non Government Organisations, Housing Corporation, the enviroment, families with members who have disabilities, in fact just about everyone you can think of.
The onslaught of bad news is profound. Just this week we have witnessed the following:
- DIA announced 28 additional job losses on top of the 427 lost with the winding up of Three Waters including the outsourcing of legal work. This will not save money.
- There were reports of a number of shops in Wellington’s CBD being empty and local businesses struggling.
- Funding for support services to help people out of emergency housing is due to expire in two months – and the government will not commit to extending it.
- Job cut proposals could involve close to half of the positions in a team which works on the lunch programme and also in the period products programme in schools being disestablished.
- The Government rushed through under urgency the Pae Ora (Disestablishment of Māori Health Authority) Amendment Act, which scrapped the Maori Health Authority.
- Kāinga Ora advised that it is unable to say how many proposed KiwiBuild developments have been delayed as it waits for the outcome of the Bill English review of the state housing agency. It has also stopped any new acquisitions being made under the Kāinga Ora Land Programme.
- The Ministry of Education announced that it is going to cut 565 jobs including nearly 100 regional and frontline roles directly supporting schools. Job cut proposals could involve close to half of the positions in a team which works on the lunch programme and also in the period products programme in schools being disestablished. 200 of the positions were in the Curriculum Centre. Minister Erica Stanford promised to bring in contractors to fill in the gap. One affected worker said “I just can’t believe that people being treated like this. Honestly, I understand there has to be cutbacks. No one is denying that. The bit that has been the most shocking is that our frontline groups are being targeted more than our national office groups.” So much for the front office not being affected and cor cutting back on the use of contractors. Christopher Luxon’s statement that all of the jobs were back office jobs would appear to be, ahem, incorrect.
- Oranga Tamariki announced the loss of 447 jobs in areas such as HR, system leadership, policy formation and the evidence centre. Who is going to measure the effectiveness of boot camps now? Or maybe that is the point. Minister Karen Chhour, while trying to dodge summonses to appear before the Waitangi Tribunal to explain how, claimed that the job cuts will make Oranga Tamariki better at taking care of at-risk children, not worse. Such clear evidence of cognitive dissonance is a worry.
- DOC announced the closure of its Dunedin Visitor Centre.
- MBIE announced that one of its two senior Fire Engineers and four of the nine support staff will be axed. Another 121 positions will also be effectively disestablished.
And that was just this week.
And in news indicating how bizarre things are getting:
- The Government announced it is investigating a 4 kilometer tunnel under the middle of Wellington so that MPs can get to the airport slightly more quickly.
- David Seymour wants kids who are sick to toughen up and go to school more often. They can stay home if they have Covid however.
- Shane Jones and David Seymour were criticised for breaching Section 4.13 of the Cabinet Manual after criticising the Waitangi Tribunal decision to hold an inquiry into the proposal to remove a reference to the Treaty of Waitangi from the Oranga Tamariki Act 1989. Jones described the Tribunal as operating as a Star Chamber and Seymour accused it of “race fanaticism”. Luxon showed his weakness by saying their comments were ill considered. In other cabinets Ministers have been sacked for such behaviour.
Perhaps the most jaw dropping piece of recent news is that Willis is planning to borrow to pay for tax cuts. She is trying to say that since the cuts in services will pay for tax cuts and the Government will then be borrowing for new initiatives the tax cuts will not be inflationary. I am sure the market will disagree.
Craig Rennie describes her concession in these terms:
“This admission is in direct conflict with the statements made by Nicola Willis in opposition that the tax plan requires no additional borrowing. Yet today we discover that additional borrowing will be happening,” said CTU Economist Craig Renney.
“The Minister is still insisting that the additional borrowing will not pay for tax cuts, even though it’s clear that without these tax cuts, additional borrowing would not need to take place. The obvious lesson from all of this is that the government is borrowing to pay for tax cuts.
“The economics of this make no sense. Given the economic circumstances that New Zealand is in, if we are borrowing, it should be for investments that will lead to long-term productive growth. It should be for infrastructure, R&D, and public services. Instead, we are providing yet more money for landlords, and more money for higher-income earners.
We have deteriorating confidence and increased unemployment. Important infrastructure required to address climate change is being cancelled. Thousands of public servants have lost their jobs and the flow on effects of the job losses and of cuts to services will be disastrous.
The budget could be for Christopher Luxon and Ncola Willis their Liz Truss and Kwasi Kwarteng moment. Their relentless pursuit of tax cuts for landlords and rich people has the potential of wrecking the economy.
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Louise Upston has revealed her diminished vision for vulnerable youth against a backdrop of snubbed advice, scrapped priorities, shifted goal posts and thousands more children projected to fall into poverty. ...16 hours ago
- Release: National’s lack of climate action taking NZ backwards
National Government’s backward-looking climate policy has seen New Zealand fall seven places on the Climate Change Performance Index to 41 out of 63 countries measured. ...16 hours ago
- Release: Simple reason for drop in emergency housing
When the Government says it has reduced the number of people in emergency housing, what it means is it is stopping people from accessing it in the first place. ...19 hours ago
- Govt’s child wellbeing strategy ‘shallow and shameful’
The Government is turning its back on children by not only weakening child poverty reduction targets, but also removing child mental wellbeing as a priority focus in their Child and Youth Wellbeing Strategy. ...20 hours ago
- Release: A historic win for Samoan communities
Labour warmly welcomes the Restoring Samoan Citizenship Bill as it passes its third reading, before becoming law. ...21 hours ago
- Government plan to reinstate live animal exports a “national disgrace”
The Government has taken a giant step backwards by reinstating live animal exports. ...1 day ago
- Pasifika justice as Member’s Bill passes final reading
Teanau Tuiono’s Member’s Bill, the Citizenship (Western Samoa Restoration) Amendment Bill, has passed its third reading and will become law. ...1 day ago
- Release: Minister of Education thinks New Zealand ends at the Bombay Hills
The Minister of Education has shown complete disregard for rural communities and their school bus routes in Question Time today. ...1 day ago
- Economists sound alarm on Government’s slash-and-burn approach
A group of prominent economists has released an open letter to the Government, raising grave concerns about the far-reaching consequences of its fiscal policy. ...2 days ago
- Release: Smoking numbers up under Costello’s watch
National’s repeal of Labour’s smokefree legislation has taken New Zealand further away from achieving a Smokefree 2025 and a smokefree generation. ...2 days ago
- Release: Call for Palestine recognition by NZ, Australian and Canadian MPs
Parliamentarians from Australia, Canada and New Zealand have written an open letter to their respective Prime Ministers calling on them to recognise Palestine. ...2 days ago
- Justice Select Committee opens floor for Treaty Principles submissions
Today, the Justice Select Committee has decided to officially open submissions for the controversial Treaty Principles Bill. ...3 days ago
- Power of the people on full display as hīkoi approaches Parliament
Today, Hīkoi mō te Tiriti arrived in Wellington, with thousands gathering to march in unity against the divisive Treaty Principles Bill. ...3 days ago
- Hypocrisy as Te Whatu Ora contractor bill balloons
Te Whatu Ora’s bill for contracting and consulting staff has ballooned by nearly 20 percent under the National Government, breaking a promise they made during the election campaign to cut contractors. ...4 days ago
- Release: Growing pressure to scrap Section 7AA Repeal Bill
The newly released Section 7AA Repeal Bill's select committee report is further evidence that the Government should scrap it. ...4 days ago
- Government’s move to monetise access to nature a slippery slope
The Green Party is voicing serious concerns over the Government’s proposal to charge for access to public conservation land, released today. ...7 days ago
- Green Party condemns the passage of Treaty Principles Bill
The Green Party condemns the passing of the Treaty Principles Bill at first reading, and is clear that the fight is not over. ...1 week ago
- Stand Up for Te Tiriti
Te Tiriti o Waitangi is our country’s founding document. It forms the basis of the relationship between Māori and the Crown – and the Aotearoa New Zealand we live in today. ...1 week ago
- Release: Over 15,000 sign Labour’s open letter to Luxon
As the hīkoi to Parliament continues, Labour has sent an open letter to Prime Minister Christopher Luxon in a last-ditch attempt to get him to kill the Treaty Principles Bill. ...1 week ago
- Fast Track Bill threatens environment, climate and reputation
The fast-track legislation passing its second reading in Parliament is another step towards environmental ruin. ...1 week ago
- Greens join King’s Counsel in calling for Treaty Principles Bill to be abandoned
The Prime Minister must answer the call from a group of senior lawyers of the King’s Counsel to abandon the divisive Treaty Principles Bill. ...1 week ago
- Chris Hipkins’ apology statement to state and faith-based care survivors
...1 week ago
- Release: Labour formally apologises to state and faith-based care survivors
Labour joins with the Government in unreservedly apologising for the abuse, neglect and trauma including torture in state and faith-based care and for ignoring the voices of survivors for too long. ...1 week ago
- Green Party stands in support of survivors of abuse in care
Today, the Green Party stands alongside the survivors of abuse in state care and faith-based care as the Government issues an historic apology. ...1 week ago
- Green Party calls for conscience vote on Treaty Principles Bill
The Green Party has written to the Speaker of the House requesting he enable a personal vote on the Treaty Principles Bill. ...2 weeks ago
- Govt move to exclude journalist risks chilling effect
The Green Party is alarmed by the Government’s move to exclude a journalist from covering this week’s apology for the survivors of abuse in state and faith-based care. ...2 weeks ago
- Without action, an apology will be empty air
For tomorrow’s apology to survivors of abuse in state and faith-based care to hold any water, the Government must not pursue the same policies that drove the abuse in the first place. ...2 weeks ago
- Release: Concerns remain over tobacco interference
Concerns about the tobacco industry’s ability to interfere in government policy making remain, despite the inability of the Office of the Auditor-General to investigate the Government’s decision to halve the excise tax on heated tobacco products. ...2 weeks ago
- Urgent wake-up call on climate
The Climate Change Commission’s latest advice indicates Aotearoa needs to be stepping up on climate action. ...2 weeks ago
- Green MP’s Meme-ber’s Bill set to save the world
Break out the punchlines and dust off your meme folder: Green Party MP Kahurangi Carter’s Copyright (Parody and Satire) Amendment Bill was pulled from the Ballot yesterday. ...2 weeks ago
- Release: Poroporoaki: Ta Robert (Bom) Gillies
Kua hinga te manawa kairākau o Te Rua Tekau Ma Waru Tiwhatiwha te po! Kakarauru i te po! Ka rapuhia kei hea koe kua riro! Haere e te Ika a Whiro ki o tini hoa kua ngaro atu ki te Pō ...2 weeks ago
- Labour, Greens and Te Pāti Māori call on the Prime Minister to block the Treaty Principles Bill
The opposition parties stand united for an Aotearoa that honours Te Tiriti, rather than seeking to rewrite it. Labour, the Greens and Te Pāti Māori are working together against the Government’s divisive Treaty Principles Bill. ...2 weeks ago
- Release: Labour, Greens and Te Pāti Māori call on the Prime Minister to block the Treaty Principle...
The opposition parties stand united for an Aotearoa that honours Te Tiriti, rather than seeking to rewrite it. Labour, the Greens and Te Pāti Māori are working together against the Government’s divisive Treaty Principles Bill. ...2 weeks ago
- NZ must pursue independent foreign policy
The Green Party says the need is greater than ever for Aotearoa New Zealand to pursue an independent foreign policy. ...2 weeks ago
- Release: Winston Peters must apologise
The Deputy Prime Minister should apologise to the public servant he named and blamed for something they did not do, and for misusing the rules of Parliament. ...2 weeks ago
- Government action provides Southland farmers more time to meet plan requirements
The Government is taking action to ensure Southland farmers and growers are not affected by unreasonable regional farm plan deadlines, Agriculture Minister Todd McClay, Environment Minister Penny Simmonds and Associate Environment Minister Andrew Hoggard say.“Cabinet has agreed to provide more time for farmers and growers to comply with regional rules ...13 hours ago - Bill reaffirms Government’s commitment to crack down on serious youth offending
The Oranga Tamariki (Responding to Serious Youth Offending) Bill had its first reading at Parliament today. The Bill reaffirms the Government’s commitment to crack down on serious youth offending, Minister for Children Karen Chhour says. “In recent years we have seen an unacceptable spike in youth offending. “This Bill makes ...13 hours ago
- Critical milestones for earthquake buildings review
Fairer, more sensible rules about managing earthquake risks are a step closer with the passing of legislation and the appointment of an independent chair to provide expert advice, Minister for Building and Construction Chris Penk says. “The Government is committed to reinvigorating our cities and regions to support economic growth, ...14 hours ago
- State of the art radiology machine for Auckland
People in Northland and Auckland will benefit from a new machine for cancer treatment installed at the Regional Cancer and Blood Service at Auckland City Hospital. The MV5 linear accelerator, or LINAC machine, officially opened today targets cancer tumours with pinpoint accuracy. Health Minister Dr Shane Reti says this new, ...14 hours ago
- Foreign Minister to visit Europe
Deputy Prime Minister and Foreign Minister Winston Peters will travel to Europe for high-level talks with France, Germany and the United Kingdom next week. "Since taking office almost a year ago, the Coalition Government has emphasised the importance we place on New Zealand's traditional and likeminded diplomatic and ...15 hours ago
- First arrests made under gang patch ban
Police have made their first arrests under the new gang patch legislation, with two gang members arrested, says Police Minister Mark Mitchell. “Just before 11 this morning, Police in Wairoa apprehended a gang member for wearing a patch to the supermarket. He has been arrested and will now face enforcement ...16 hours ago
- Better support for victims of sexual violence
The Government is proposing two major changes to name suppression laws that will put the views of victims of sexual violence first, Justice Minister Paul Goldsmith says. “We are committed to restoring law and order and these two proposed changes will help ensure the victims of crime are put at ...17 hours ago
- Government moving forward with Regional Deals
Cabinet has agreed to invite all regions to submit proposals for Regional Deals between central and local government that drive economic growth and deliver the infrastructure our country needs, Local Government Minister Simeon Brown and Infrastructure Minister Chris Bishop say. Inviting all regions to propose a Regional Deal that boosts ...17 hours ago
- MSA pilot participant update
One of the ten young men selected to participate in the Military-Style Academy Pilot has allegedly reoffended. Children’s Minister Karen Chhour is disappointed but says it would be naïve to think that none of these young men would reoffend. “I’m saddened that this young person has not taken this opportunity ...18 hours ago
- Attendance rates increase, again
Associate Education Minister David Seymour says that school attendance is continuing to rise. In Term 3 of 2024 51.3 per cent of students attended school regularly, an increase of 5.3 percentage points from 46 per cent in Term 3 of 2023. “This Government has prioritised student attendance and it is ...19 hours ago
- Improving the lives of young New Zealanders
Ensuring New Zealand is the best place in the world for children and young people is the vision at the heart of the Government’s new Child and Youth Strategy, Child Poverty Reduction Minister Louise Upston says. “Childhood represents a huge opportunity to set people on a positive path towards living ...22 hours ago
- Government continues work to reinstate livestock exports by sea
The Government is reinstating the trade of livestock exports by sea while ensuring the highest standards of animal welfare, says Associate Minister of Agriculture Andrew Hoggard.“The Government will introduce legislation changes to reinstate the trade, enhance oversight, and strengthen requirements for exporters to identify risks and manage the welfare of ...1 day ago
- Speech to the National Quality Forum 2024
Tēnā koutou katoa – it is a pleasure to be here today. I would like to begin by acknowledging the important leadership role you all play in ensuring a quality health system New Zealanders can trust. There is enormous clinical expertise in this room covering a wide range of disciplines. ...2 days ago
- New Zealand’s COP29 National Statement
Tēnā koutou katoa. Mr President, Excellencies, Delegates. New Zealand, and all nations represented here today, are already dealing with the impacts of climate change. Our households, businesses, and economies are bearing the costs of its effects. The choices we make now will shape the severity of these impacts for generations ...2 days ago
- Latest Quarterly Investment Report released
The Government has released its second Quarterly Investment Report (QIR) which shows substantial work still to be done by agencies to improve investment reporting and meet the Government’s expectations, Infrastructure and Acting Finance Minister Chris Bishop says. “New Zealand has significant infrastructure and investment needs. The Government is determined to get ...2 days ago
- New Zealand supporting loss and damage fund
Climate Change Minister Simon Watts announced New Zealand will contribute NZ$10 million to the new Fund for Responding to Loss and Damage while at the annual United Nations Climate Change Conference (COP29) in Baku, Azerbaijan. “New Zealand is joining the global effort to address the significant challenge of responding to ...2 days ago
- Gang crackdown begins at stroke of midnight
The free ride for gangs is over when the clock strikes midnight tonight, with tough new laws officially coming into effect, Justice Minister Paul Goldsmith and Police Minister Mark Mitchell say. “Gang patches will no longer be able to be worn in public. To earn the right to wear a ...2 days ago
- LGFA increases borrowing capacity to support high growth councils
The Government is welcoming the decision by the Local Government Funding Agency to increase access to financing tools for fast growing councils to support greater investment in critical infrastructure, Local Government Minister Simeon Brown says.“Communities across the country are facing an infrastructure deficit and significant population growth is projected in ...2 days ago
- Temporary Traffic Management costs revealed
The Government has revealed that over the past three years, the New Zealand Transport Agency (NZTA) has spent an eyewatering $786 million of taxpayers’ money on road cones and temporary traffic management (TTM), Transport Minister Simeon Brown says.“When I became Minister, I was surprised to learn that that NZTA did ...2 days ago
- Jurisdiction of Disputes Tribunal to double
Legislation that will double the financial jurisdiction of the Disputes Tribunal from $30,000 to $60,000 has passed first reading in Parliament today, Justice Minister Paul Goldsmith. “We need to improve court timeliness and access to justice so that Kiwis and get on with their lives. Court delays affect everyone, the ...2 days ago
- Protecting New Zealand from foreign interference
Legislation that will specifically criminalise foreign interference and strengthen espionage offences has passed first reading in Parliament today, Justice Minister Paul Goldsmith says. “It is normal and appropriate for states to interact and work to influence one another. This encourages cooperation and can have mutually beneficial outcomes. “However, the reality ...2 days ago
- Significant milestone for Canterbury Road of National Significance
Transport Minister Simeon Brown has welcomed news that the NZ Transport Agency (NZTA) Board has approved funding towards pre-implementation and early works on the State Highway 1 (SH1) Belfast to Pegasus Motorway and Woodend Bypass Road of National Significance (RoNS). “Reaching this significant milestone is a reflection of our Government’s ...3 days ago
- Health survey results to help drive change
Health Minister Dr Shane Reti says findings from the annual Health Survey highlight the need to continue driving better health outcomes for New Zealanders. The New Zealand Health Survey is an annual snapshot of key metrics measured from July 2023 – July 2024. Findings released this morning include: In 2023/24, ...3 days ago
- Final push needed to get to Smokefree 2025
A renewed effort to get people to quit smoking will build on what has worked to date and target the groups who most need support, Associate Health Minister Casey Costello said today. “The latest New Zealand Health Survey results show the daily smoking rate at 6.9 per cent and we ...3 days ago
- New diplomatic appointments
Foreign Affairs Minister Winston Peters has announced four new diplomatic appointments. “Our diplomats play an important role in ensuring New Zealand’s interests are maintained and enhanced across the world,” Mr Peters says. “It is a pleasure to announce the appointment of these senior diplomats from the Ministry of Foreign ...3 days ago
- Next steps for Regulatory Standards Bill
Regulation Minister David Seymour has today announced the next steps in the Government’s plan improve the quality of regulation by opening consultation on a proposed Regulatory Standards Bill. “New Zealand's low wages can be blamed on low productivity, and low productivity can be blamed on poor regulation,” says Mr Seymour. ...3 days ago
- Red Tape Tipline goes live
Minister for Regulation David Seymour has today announced that the Ministry for Regulation’s Red Tape Tipline is now live. “We want to hear about your red tape horror stories. From today, New Zealanders will have a say on how they are regulated through an online portal,” says Mr Seymour. The ...3 days ago
- Youth Parliament 2025 announced
The Minister for Youth Matt Doocey has today announced the eleventh Youth Parliament will be taking place in 2025. “Youth Parliament offers a unique youth development opportunity to young people from across New Zealand to experience the political process and learn about how government works,” says Mr Doocey. “The two-day ...4 days ago
- Police stats show promising change
After nearly a year in Government, Kiwis have seen significant change across law and order with promising early results shown across some Police statistics, says Police Minister Mark Mitchell. “In August 2023, I told New Zealanders that if they had not started to see a change in public safety within ...4 days ago
- Better coordination of anti-scam efforts
With the launch of Fraud Awareness Week, the Government is committing to new coordination efforts across industry and government to combat online scams, Commerce and Consumer Affairs Minister Andrew Bayly says. “Online financial scams are a growing problem for New Zealand. New data released today shows that Kiwis lost nearly ...4 days ago
- Minister to consider 7AA select committee report
Minister for Children Karen Chhour will consider the recommendations made by the Social Services and Community Committee in its report back to Parliament on the Oranga Tamariki (Repeal of Section 7AA) Amendment Bill. “I want to thank the people who made submissions and those who appeared before the committee in ...4 days ago
- Defence Minister to attend ASEAN meeting
Defence Minister Judith Collins will this week attend the Association of Southeast Asian Nations (ASEAN) Defence Ministers’ Meeting-Plus in Vientiane, Laos. “We need to take every opportunity to engage with our international partners, given the increasingly unstable geo-political situation,” Ms Collins says. “New Zealand has a long-standing commitment to this ...4 days ago
- Launching the White Ribbon Ride
The Minister for the Prevention of Family and Sexual Violence, Karen Chhour, was on hand to wish riders well at the start of the North Island leg of the White Ribbon Ride in Whakatāne this morning. The ride helps mark the International Day for the Elimination of Violence against Women, ...5 days ago
- Construction to begin on next stage of Papakura to Drury
Construction on the next stage of the SH1 Papakura to Drury project will begin early next month, with the contract for works awarded to Fulton Hogan, Transport Minister Simeon Brown says. "SH1 Papakura to Drury is a key project that will drive economic growth and productivity, reduce congestion, and enable people ...6 days ago
- NZ signs trade deal with Costa Rica, Iceland and Switzerland
Trade and Agriculture Minister Todd McClay has signed a pioneering trade agreement that prioritises New Zealand’s sustainable exports at a ceremony during APEC in Peru today. “The Agreement on Trade and Sustainability (ACCTS), between Costa Rica, Iceland, and Switzerland was concluded in July of this year and opens up significant ...6 days ago
- Government and iwi work together on aquaculture
Five new Aquaculture Settlement Areas will help ensure Ngāi Tahu shares in the opportunities aquaculture offers for Southland’s economy, Oceans and Fisheries Minister Shane Jones says. “The Aquaculture Settlement Areas (ASAs) I’m announcing today set aside space so the Crown and Ngāi Tahu can assess their potential for aquaculture development. ...7 days ago
- Government launches review to ensure electricity market is fit-for-purpose
The terms of reference for a review of the performance of the electricity market have been released. The review, initiated by the Coalition Government during the power crisis in winter will look at whether current regulations and market design support economic growth and access to reliable and affordable electricity, Energy Minister ...7 days ago
- Speech to Social Investment Hui: Jack and his whānau need our help
Kia ora koutou katoa. Nau mai, haere mai, piki mai. Ki te mihi atu ahau, ki te manwhenua nei, Te Atiawa, Ngāti toa rangatira, tēnā koutou, tēnā koutou, tēnā koutou katoa. Thank you, Andy, for your introduction. Let me acknowledge you as the new Chief Executive of the Social Investment ...7 days ago
- Minister of State for Trade heads to Brisbane for PACER Plus meeting
Minister of State for Trade Nicola Grigg has travelled to Australia to attend the PACER Plus Ministers Meeting in Brisbane. “Trade plays a critical role in driving employment, economic growth, and improving the standards of living in the Pacific Region. The Government is strongly committed to supporting Pacific Island countries ...7 days ago
- Proposals to modernise conservation released
Toitū te taiao – Our environment endures The Government is consulting on proposals to modernise New Zealand’s conservation management system, aiming to protect relevant natural areas while supporting sustainable growth in tourism and regional economies, Conservation Minister Tama Potaka says. “Today, the Department of Conservation – Te Papa Atawhai is ...7 days ago
- This week three parties stood together – can they withstand the storm to come?
There is plenty yet to play out, but the next election is at this rate shaping up as trio versus trio, writes Toby Manhire. A subplot of this week’s historic hīkoi mō te Tiriti has been the sight of the three opposition parties presenting a unified front. Te Pāti Māori ...40 minutes ago - All 33 malls in Auckland ranked from worst to best
From the low lows of abandon empires to the high highs of a mall done just right. This is the second in the Malls of New Zealand series, where we rank the malls in major centres. Next week: Wellington. A note from the editor: This is the hardest ranking we’ve ...40 minutes ago
- The cost of being: A clothes-mad 20-something who walks everywhere
As part of our series exploring how New Zealanders live and our relationship with money, a 27-year-old apartment-dwelling marketing exec explains her approach to spending and saving. Want to be part of The Cost of Being? Fill out the questionnaire here. Gender: Female. Age: 27. Ethnicity: Pākehā. Role: Marketing exec at ...40 minutes ago
- Newsroom daily quiz, Friday 22 November
Loading…(function(i,s,o,g,r,a,m){var ql=document.querySelectorAll('A[data-quiz],DIV[data-quiz]'); if(ql){if(ql.length){for(var k=0;k<ql.length;k++){ql[k].id='quiz-embed-'+k;ql[k].href="javascript:var i=document.getElementById('quiz-embed-"+k+"');try{qz.startQuiz(i)}catch(e){i.start=1;i.style.cursor='wait';i.style.opacity='0.5'};void(0);"}}};i['QP']=r;i[r]=i[r]||function(){(i[r].q=i[r].q||[]).push(arguments)},i[r].l=1*new Date();a=s.createElement(o),m=s.getElementsByTagName(o)[0];a.async=1;a.src=g;m.parentNode.insertBefore(a,m)})(window,document,'script','https://take.quiz-maker.com/3012/CDN/quiz-embed-v1.js','qp');Got a good quiz question? Send Newsroom your questions.The post Newsroom daily quiz, Friday 22 November appeared first on Newsroom. ...40 minutes ago - Daily crossword, Friday 22 November
The post Daily crossword, Friday 22 November appeared first on Newsroom. ...40 minutes ago
- China likely to strengthen regional relationships in response to another Trump term
Opinion: Recent discussions in Shanghai provide some insight into what’s likely to be on the table The post China likely to strengthen regional relationships in response to another Trump term appeared first on Newsroom. ...40 minutes ago
- Nuclear winters know no borders
Opinion: The immediate horror of nuclear weapon explosions – the blinding flash, crushing blast wave, and radioactive inferno – is well documented.But what nuclear-armed nations either don’t grasp or won’t admit, is far more chilling: how their weapons could devastate even countries thousands of kilometres from any mushroom clouds.The collapse ...40 minutes ago
- This week’s bestselling books – November 22
FICTION1 Kāwai: Tree of Nourishment by Monty Soutar (David Bateman, $39.99)Sample dialogue, all from one chapter:“That can’t be,” replied Taona doubtfully.“You were right. The pā is unnervingly quiet,” Taona murmured.“The Hākuwai,” Motukia breathed. “Our grandfathers told us they rarely saw the Hākuwai in daylight,” Motukia muttered.“Their fight would have been futile ...40 minutes ago
- Burma the flying elephant
After about two and a half years of planning and waiting, New Zealand’s last elephant has moved to her new home at Monarto Safari Park in South Australia.Burma and her “human herd”, that is, her keepers, arrived last week, and she’s settling in well, according to Auckland Zoo’s Andrew Coers.“Something ...40 minutes ago
- NZ’s membership of Beyond Oil and Gas Alliance in jeopardy
Senior ministers in the coalition suggested NZ’s membership will be re-evaluated if it restarts offshore oil and gas drilling The post NZ’s membership of Beyond Oil and Gas Alliance in jeopardy appeared first on Newsroom. ...40 minutes ago
- Raw Politics: Six months in a leaky Bill
Prime Minister Christopher Luxon did not meet the Treaty Principles Bill hikoi crowd, sees “nothing” of merit in the Act-proposed law but the Parliament his Government dominates will spend six months debating a “divisive” measure.That’s because he has accepted there needs to be “aeration” of people’s views on the Treaty, ...40 minutes ago
- Taken to the brink, Govt is now close to selling big Whakapapa ski field
Bidder Whakapapa Holdings walked away from the sales process last year, but says it’s now ‘95% there’ on a purchase agreement – so who blinked first? The post Taken to the brink, Govt is now close to selling big Whakapapa ski field appeared first on Newsroom. ...40 minutes ago
- Watts nears a landmark deal on global carbon trading
A framework for global carbon trading under the Paris Agreement is finally nearing completion at COP29 in Baku, Azerbaijan after years of halting talks.Climate Change Minister Simon Watts is one of two ministers tasked by the COP29 hosts with landing a long-sought deal on Article 6 of the climate accord, ...55 minutes ago
- Grattan on Friday: Marles plays a defensive bat on nuclear as the government rushes to get though la...
Source: The Conversation (Au and NZ) – By Michelle Grattan, Professorial Fellow, University of Canberra Richard Marles is an ambitious man who hasn’t given up the dream of one day reaching the top job. But, despite being deputy prime minister, his profile is much lower than that of Treasurer Jim ...6 hours ago - NEW POLL: Kiwis Overwhelmingly Support MPs’ Expenses Transparency Law Change
62% of respondents support the extension of the OIA to cover MPs’ spending, compared to just 13% opposed and 24% were unsure. ...8 hours ago - The House: Meanwhile, a week of passing law
The political week has been packed with worthy distractions, but all week Parliament has focused on passing new laws. Here are the highlights. ...8 hours ago - The biggest difference between Hīkoi mō te Tiriti and past hīkoi: More support from non-Māori
Analysis - The diversity of voices during the hīkoi was noticeable - from tangata moana to young immigrants to elderly Pākehā from the South Island. ...9 hours ago
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When the bill to restore NZ citizenship to some Samoans passed this week, Parliament's galleries were full to the brim with members of the community. ...10 hours ago
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Women’s Rights Party Co-leader Jill Ovens says the Ministry has put New Zealand children at risk by continuing to allow “off-label” prescribing of puberty blockers at far higher rates than other similar countries. ...11 hours ago
- Police Minister adamant he wasn’t aware of gang members training at gun clubs
That is despite two papers from police that raised the matter with him. ...11 hours ago
- Shorten declares himself ‘a proud moderate’, saying Australians ‘in the middle’ shouldn’t ...
Source: The Conversation (Au and NZ) – By Michelle Grattan, Professorial Fellow, University of Canberra Bill Shorten has declared himself “a proud moderate” in a valedictory speech declaring parliament has the responsibility to ensure the extremes of left and right do not set the terms of political debate. Shorten, ...12 hours ago
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Source: The Conversation (Au and NZ) – By Matt Garrow, Editorial Web Developer Studio Romantic/Shutterstock We all know how important it is to save enough money for retirement – but what about spending it wisely when we get there? Even for those who have built up a suitable ...12 hours ago
- Government accused of betraying Kiwis’ trust over lack of consultation on live exports
The government has always vowed to reinstate live exports by sea, which was banned by the previous Labour government. ...12 hours ago
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Source: The Conversation (Au and NZ) – By Michael Freeman, Associate Professor of Dermatology, Bond University ERIK Miheyeu/Shutterstock Sweating is our body’s way of cooling down, a bit like an internal air conditioner. When our core temperature rises (because it’s hot outside, or you’re exercising), sweat glands all ...12 hours ago
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Source: The Conversation (Au and NZ) – By Nial Wheate, Professor of Pharmaceutical Chemistry, Macquarie University Australia’s drug regulator has issued a safety warning over the medicine Phenergan and related products containing the antihistamine drug promethazine. The Therapeutic Goods Administration said the over-the-counter products should not be given to children ...12 hours ago
- A new stage adaptation of Peter Carey’s Jack Maggs is a delightful homage to theatrical storytelli...
Source: The Conversation (Au and NZ) – By Catherine Campbell, Lecturer, Performing Arts, UniSA Creative, University of South Australia Matt Byrne/STCSA Jack Maggs is a delight and a homage to theatrical storytelling in Australia. Based on Peter Carey’s bestselling novel, Jack Maggs follows the ex-convict as he lands ...12 hours ago
- The government has introduced laws for its social media ban. But key details are still missing
Source: The Conversation (Au and NZ) – By Daniel Angus, Professor of Digital Communication, Director of QUT Digital Media Research Centre, Queensland University of Technology Ron Lach/Pexels The federal government today introduced into parliament legislation for its social media ban for people under 16 years. Communications Minister Michelle ...13 hours ago
- Archives NZ, National Library to cut 27 roles
The Department of Internal Affairs wants to bring the two organisations under the joint leadership of the Chief Archivist and National Librarian. ...13 hours ago
- Gang patch ban: Members warn of potential for violence to ‘erupt’ as new laws enforced
"I can't see this lasting unless they have a budget to lock fullas up in jail which I think is absolutely stupid, really it's ludicrous," Ngavii Pekapo, who set up a Mongrel Mob chapter 54 years ago, says. ...13 hours ago
- ACT leader David Seymour raises doubts about Waikato medical school
Government documents show ACT leader David Seymour told the government he was "dissatisfied" with a cost-benefit analysis. ...13 hours ago
- National’s Erica Stanford allegedly calls Labour’s Jan Tinetti a ‘stupid bitchR...
The Education Minister has apologised in Parliament for her remark. ...13 hours ago
- Labour backs new Police Commissioner – but warns against routine arming
The alternative to policing by consent would be a police state, which New Zealanders don't want, the party says. ...15 hours ago
- Youth on boot camp pilot re-offended five weeks after release
Children's Minister Karen Chhour said while it was disappointing, it would naïve to think none of the participants would lapse. ...15 hours ago
- In photos: People of the hīkoi, and why they marched
Hikoi mō Te Tiriti has come to an end, going down in history as the largest march to Parliament in Aotearoa. ...15 hours ago
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Ahead of his appearance in Aotearoa, the acclaimed British journalist, podcaster and documentarian talks to Stewart Sowman-Lund about why people are still fascinated by the fringes. The last place I would expect to find Jon Ronson is relaxing in the countryside. The iconic British journalist and writer is best known ...16 hours ago
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Nicola said she’d resign if she didn't deliver tax cuts. Nicola doesn't want to resign. How the tax cuts happen is irrelevant, so long as she doesn't have that particular promise hounding her from all directions.
Since when did a politician feel duty bound to honour an election promise?
Very hard to see a massive and sustained depression in the Wellington region being worth a minor income tax bracket adjustment (unless you're a landlord of course in which case the payoff is stupendous).
At least Truss was transparently daft and unintentionally hilarious. Whereas Willis just radiates menace and Luxon flaps around SE Asia like a hyperventilating turkey.
A hyperventilating turkey! Perfect description of him. Might I borrow the phrase and maybe others as well? If someone could persuade one of our excellent cartoonists to draw him being a hyperventilating turkey on an auspicious occasion even better.
Liz Truss lasted all of 50 days. Nicola Willis has lasted a bit longer than that, but should we be marking the day of the Fiscal Budget this year as potentially the last day of her as Finance Minister? And if so, who would replace her?
National always play the "Shock and Awe" card. As the wealthy gain from it, they keep quiet as a rule, however when the Head of your Business Delegation is anxious about comments and direction, dissension in the ranks has begun.
PM Luxon's puff pieces say he has met his KPIs. If Killing Public Interests was the goal he is sure doing that. None of their actions are without huge impacts on those least able to cope.
Now we see Ministers in his support Party flouting Parliament's rule book. Such blatant threats and attacks on a legally set up Tribunal drew a mild rebuke from Luxon, which was revealing as the more experienced Jones toned down, but Seymore showed his passive aggressive side, using what is left of the Press to publicly strike back.
The fact their goals are now not aligning will lead to further infighting. The Budget will lay the bare cupboard for all to see, and actions within it such as borrowing to replace lost tax take may extend the interest pain. Businesses and Landlords will be less than impressed.
Those receiving a "Squeezed middle " tax cut, will quickly pay it out in Rates and Insurance hikes.
We were supposed to have a "Little Dip" in our economy, now it appears it could be a long slip down with one pundit saying thousands of jobs could be lost, and far from backroom, they appear to be losing critical long term skills from the front room, and are even applying the old "sinking lid" of hiring freezes.
It is hard to see skilled people being treated as "waste" in the system, which has quickly swung from people's wellbeing to capital. The new hires appear to be working for PM Luxon on Tik Tok.
The debacle of the destructive "Fast Track" shows no room for democracy, and the Wards issue is burdening many Councils who are now questioning that edict.
The house of cards is facing many winds from a variety of directions. I have bought my popcorn.
Add in Winnie's propensity to pack a sad and pull a swifty, and we will probably see a snap election within 12 months!
Here's hoping!
And yet. When the next election comes around . . . If you want a template of what is happening look to the UK. Despite a decade of horrific austerity UK voters have returned the Conservatives to power over and over.
Performative cruelty is an exceptionally effective electoral tool in a democracy because you only need to take care of half the population to stay in power.
And if you think it's bad in NZ, checkout Argentina – they voted for this.
Mod note: I see you have changed your username. Please stick with this one from now on.
Nicola Willis does not have a finance plan, any plan even a bad plan….Liz Truss at least had one albeit one that was never going to work.
Tax cuts are just pork barrel politics in action. Willis is just a small bit player with an almost naive religious devotion to trickle down economics and a propensity for spouting the corporate mantra that govt has no business being in business. Political dog whistles such as wasteful spending appeal to the blue choir that sing gleefully from the song sheet of Douglas and Richardson.
Anyone who believes borrowing to pay for tax cuts in a recession is a good plan and won't influence inflationary pressures needs help….or should be replaced by an iceberg lettuce….
If you want to know about 'wasteful spending' you should have been around ACT in the 1990s. I saw it first hand. How that came about is another story but I did become a witness to some of it. Waste included a never ending supply of money from mystery sources being thrown around like confetti. Paper was used like it grew on trees (as it does) and the amount of it going through the shredder on a daily basis was massive. Computers sat around the place idle and I was never able to figure out what some of the staff were doing. The headquarters themselves were huge and located in the Finance Building on Albert St. I understand it belonged to Sir Michael Fay. To be fair they moved to more humble premises later that decade.
Every time I hear Seymore rabbiting on about wastage I think of those days. Talk about extolling one virtue for the ministries etc., when you and your party disobey it themselves.
given the way David Spendmore is throwing around tax payers money, or wasting it on things like charter schools, he obviously doesn't care much about the budget deficit, not a priority for him
Oh yes….I have known Muriel Newman and her husband Frank since the 80's, they typify the 'I'm alright Jack, stuff you' mentality, get rich at anyone else's expense, openly anti Maori and derisive of anything not in the Act bible of libertarian individualism and self interest according to the gospel of Thatcher, Reagan, Douglas and Richardson.
Muriel puts out a far right propaganda sheet(newsletter) under the banner of NZ Centre for Political Research.
NZ Centre for Political Research
The rule seems to be: the more harmless-sounding the name, the more maleficent the organisation is.
Act are an abomination, putting the Tea Party, Jim Crow, NRA gun loving copy cat maleficence aside all they have ever achieved is getting legislation through that provides some lawful assistance with voluntary euthanasia and a pitiful three strike lock em up and throw away the keys law.
In Act the 'we can help you wither and die' party coupled with National the 'corporate clown party' and NZFirst the 'tinfoil hatters' we have the most motley collection of dangerous seat warmers with their sweaty hands on the levers of power at anytime in this country's political history.
Kat, you're on aroll and I support what you are saying.
There is not a true aspiration for the good of NZ/NZers as a whole from any of them, sure aspirations for political mates, donors, richlisters but nothing that says 'we may be facing foul weather but the govt has your back'
I know someone who was working on the ferry upgrade that Nicola squashed.
Millions have already been spent.
Many of the people involved in that project are now working in Canada, on a light rail project.
They are all gone. The architects, the engineers. All gone.
Hell, I'm far from an expert on financial matters but even I can see that borrowing for income tax cuts is a really stupid thing to do at the moment. It will mean interest rates going up further as the Reserve Bank fights higher inflation.
I wonder whether there are some, as yet unknown to the general public, proposals to milk more money from other forms of taxation to compensate.
A rise in GST looks the most likely to me. I'm not sure if they have ever actually ruled that out but it doesn't matter anyway. John Key promised there would be no GST rise in his government but did it anyway after gaining power.
Possibly also more rises in petrol excise, ACC levies/
Perhaps the NACTZ plan to bring back death duties and/or stamp duty, departure taxes?
One thing they won't do, I bet, is bring in a financial transaction tax. That would hurt their rich mates the most and they obviously won't want to do that.
As I have said before, the government WILL give income tax cuts by hook or crook because they are part of the coalition agreement with ACT and NZ First. To delay or cancel them risks ripping apart the coalition and National have such a lust for power they would rather bankrupt the treasury than lose it.
I don't think it will mean interest rates going up. It will mean a bigger effort to bring inflation down, meaning more jobs lost, longer period of hard times, more bankruptcies, more mortgagee sales, that sort of thing.
I wonder how many people have A) Lost/about-to-lose their jobs, or B) seen their small business go under, or C) struggling to keep their homes, who voted this lot in? I would never say "Karma to them" because these things can affect families for several generations, but it is an example of not being fooled by political rhetoric that isn't backed up by fact.
Time after time, through the election process, Luxon et al wouldn't go into detail about how they were going to do all these wonderful things. Like magicians pulling rabbits out of a hat, whenever they were asked how they were going to perform their miracle predictions, Luxon (particularly) would answer "What I will say is…" then not answer the questions.
If it sounded too good to be true, it probably was.
What the left needs to do from now until the next election is to prime voters up to anticipate the next catch-cry, which is "Elect the NACT coalition again because you've had the hard times and now come the good times and if you vote for the left you won't be able to enjoy the good times, blah blah", then they get in and really put the boot in.
If voters are warned to look out for it, it might knock the wind out of the coalition's sails when they try to spout it.
I hope you're wrong about higher GST and higher petrol tax, as both would hurt low-income earners most. Maybe pricing the plebs off the road is part of the government's plan to reduce emissions.
You seem to be out on your own in that prediction. No one from the right or left is expecting rates to rise in the near future. All commentators are expecting rates to begin dropping from August (Tony Alexander) or early 2025, (most others).
That ignores the fact that keeping interest rates up is the Reserve Bank's main way of limiting inflation. They no longer have to worry about unemployment so I would expect them to do this so that the NACTZ can brag about reducing inflation, never mind if it creates unemployment, homelessness or anything else.
It doesn't ignore that fact. As inflation comes down and gets back towards and below 3%, the interest rates will come down.
Why do you think interest rates will rise as the rate of inflation comes down?
Unless you think inflation is going to go up – which is not expected by anyone.
See my comment at 12. The problem isn't with the tax cuts, its the public sector employment cuts.
“Dracula’s Daughters”–Willis, van Velden & Stanford…borrowing for tax cuts has to be a double bind of the worst kind…public services slashed while the already well off get a nice top up…David Seymour should be trespassed from any child education facility while he insists on denying some children state funded healthy meals.
Just to say that lumping these three together on the basis of their sex (use of the term 'daughters') skitters too close for me to attacking politicians for being women, as opposed to taking reprehensiblere political actions.
Yeah, something in that. Attack the characteristics they can change, not the ones they're stuck with.
The Dominion of New Zealand is a settler colonial republic and since its establishment has always relied on plunder and extraction, enclosure of the commons or outright theft.
We are past all the gold-rush money-for-nothing schemes, what is left is either
a) picking over the carcass of our natural wealth, via the fast-track goon squad
b) class war, more oppressive rent extraction, and pillage of the state
c) overhaul the fucked up system that currently punishes hard work and rewards inert wealth
Tweeter @Musical_Chairs has a brilliant thread up, exploring our woeful productivity per hour worked, and how the numbers have been juiced by various ponzi schemes over the years
The author then proceeds to dismantle productivity bullshit from several other industries – electricity, transport, technology – all based on sacking thousands of people, deferring maintenance, and taking on insane levels of debt (or, in tech, running an actual ponzi scheme). I guess that's how Luxon wants to "turbocharge" the economy?
Real estate shouldn't be considered part of the economy at all. It doesn't generate wealth of itself; it's just a mechanism for redistributing it.
Real estate shouldn't be considered part of the economy at all. It doesn't generate wealth of itself; it's just a mechanism for redistributing it.
This is true; and "expenses", such as rates, insurance, repairs, etc., are not true expenses since they do not contribute to the acquisition of revenue. These are costs which are being passed on to the tenant, as part of the rent, on the basis that it is the occupier of the property who should be meeting them, and paying for them from his own tax paid income; (which is exactly what happens when he pays his rent).
A case could also be be made for making residential income not taxable, which case there would be no tax deductions at all available in respect of revenue from rent. Willis could also claim that making the rental revenue non taxable is a “tax reduction”.
It goes without saying, I think, that interest should not be passed on to the tenant since the property belongs to the landlord and not to the tenant.
"The budget could be for Christopher Luxon and Ncola Willis their Liz Truss and Kwasi Kwarteng moment. Their relentless pursuit of tax cuts for landlords and rich people has the potential of wrecking the economy."
This final sentence is very miss leading. It's not the tax cuts which will drive the economy down, it's the public sector cuts. GDP is fundamentally a measure of income and these cuts to the public sector will drive GDP down by employing fewer people, it really is that simple. If the government over-eggs this then it may also expand the deficit by lowering the tax take. This would be due to NZ collectively reducing its present consumption spending not only because of the RBNZ policies sapping savings, but also because of the attitudes to spending taken on in response to public sector cuts.
Tax cuts structured as implied are a very weak way to support for the economy, but if the government committed to very large broad tax cuts it could probably lift the economy in this way, say eliminating GST.
But the National government is committing the country to a big and entirely unnecessary recession which will likely undermine its objectives even taken on their own terms. This should be called out and described directly, rather than in beltway framing.
Who on earth is Miss Leading?
lol. *misleading.
The consequences of small government policy 2008-2012 were becoming known by 2012 when this was written.
https://www.nzherald.co.nz/business/bryan-gould-cuts-come-with-consequences/3474CQP3XIK35TP4D2TC3ZIPIM/