2008 New Zealand Budget

[Bilbo Baggins]

http://www.stuff.co.nz/4556828a10.html

Probably not of much interest to the people here, but it is to me and I thought I would share. The incumbent Labour Party are struggling badly in the polls and many regard this as their last big chance to turn around their flagging fortunes. New Zealand politics - thrilling!

[iluvfreebeer]

THe link said "story no longer available"

So, what are the major issues in the NZ budget?

[Bilbo Baggins]

Ah fuck, sorry about that. Major issue is tax cuts. Nearly everybody wants them, but the Labour government only wanted to give minor ones because inflation is very high. The opposition (National party, who are up by about 25points in the polls) are saying big tax cuts should be given and government spending reudced. The IMF has stated that only minor tax cuts should be given to boost the flagging economy (worldwide downturn is hurting us) and keep inflation under control, so that supports the Labour move. However, most people still want big tax cuts. In the end, Labour gave bigger than expected, but smaller than what most want. I predict it will gain them some ground in the polls but they will still lose.

Other issues were increases in the pension, increase in student loan weekly allowance and setting it to increase with inflation each year (something they should have done years ago), and the buying back of the railways (though they announced that before the budget came out). As a socialist I'm obviously to the left of Labour, but I believe in the lesser of two evils and I think some of these moves are good. This alone won't save them, but its a start.