The Government should work alongside businesses to help stimulate the New Zealand economy and increase the revenue needed to invest in much-needed infrastructure, according to National's revenue spokesperson, Andrew Bayly.
Bayly told Breakfast today that there were “some good things” in yesterday’s Budget 2021 announcement but the party wants to see “a pathway to prosperity”.
“By getting the economy really growing, we create jobs, we get the people off welfare into good, better-quality jobs and also means ultimately, over time, the Government gets additional revenue so we can invest in things like schools, hospitals and roads and rail — all the sorts of things that Kiwis want,” he said.
National Party leader Judith Collins yesterday said she wouldn’t reverse the benefit increases, which would remain in place if the party would get into power.
The National shadow treasurer said today he “wasn’t surprised to see an increase in benefits”, adding: “If you look across all of New Zealand, there are many New Zealanders who are really suffering” amid an increase in the cost of rent, fuel, energy, supply issues and food.
“A lot of those issues have been of the Government’s own making, particularly around rent and energy costs and so it’s not just beneficiaries who’ve been affected, actually — a lot of New Zealanders have been affected by the increase in costs.”
Bayly said the “more important issue we should be asking ourselves [is], 'How do we get people off the benefit into a job?’ and that’s why we need to grow the economy much more rapidly”.
The Budget showed Kiwis that our economy is recovering strongly from Covid, particularly when compared to Australia, the PM told Seven Sharp. (Source: Other)
Around 53 per cent of adults on benefits are disabled or are caring for a disabled person.
The party’s infrastructure spokesperson said he believes the Government “doesn’t really understand businesses” and how to work alongside them.
“They’ve imposed a lot of costs on businesses and we want people to want to take on the risk of setting up a business, expanding a business and employing more people,” he said.
Bayly said the party is also interested in “growing some of the other parts of the economy”, such as the technology and gaming industries, that create “high-value jobs, new jobs and also attract a lot of young people”.
He said the party would like to have seen the Government “working more in partnership” with businesses.
“Businesses are the engine house of the New Zealand economy — they are the engine house because they create the jobs and … over time, they actually help the Government get out of the financial mire that we’re in because they create tax revenue so we can build those hospitals, those schools and all those other things that people want.”
He expressed concerns around New Zealand's increasing debt after borrowing $45 billion since last March.
"From this point, for the next five years, our debt’s going to double again so we’re going to see a threefold increase in debt ... I don’t think that we should accept that we need to be in deficit for the next five years.
"What we’re doing is saddling our future generations with a debt and what we should be doing is growing this economy because that will deal with the issue."
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