Response to Budget

May 30, 2009 New Zealand FinanceNew Zealand Taxation  No comments

John Key’s New Zealand Budget has met with some hostile responses in Parliament.

While opposition is expected to any budget announcement, this year’s has seen a significant amount of vehemence. Labour Party Leader Phil Goff has been one of the key figures in the opposition to the budget announcement.

The two key points that Phil Goff has been opposing is the “deferral” of the personal tax cuts and suspension of superannuation payments. While the personal tax cuts are indefinitely deferred, Phil Goff was adamant that this means that they are never to be seen. He also suspects that while the Superannuation has been suspended officially for at least one year, it will be almost a decade before payments will be seen again.

Phil Goff voiced concern about the effect that these suspensions will have on future generations of New Zealanders. He commented on the amount of attention that seems to have been paid to credit rating agencies and their view of New Zealand, as opposed to the well being of New Zealanders.