Tuesday, February 09, 2016

"Responsible economic management"

National likes to pitch itself as the party of responsible economic management. Yeah, right:

Prime Minister John Key has revealed a $17 billion hole in the economy from falling dairy prices but says the Government remains committed to tax cuts.

Outlining the Government's priorities for the year ahead in his opening statement to Parliament on Tuesday, Key said weaker dairy prices, along with other factors, were contributing to slower growth in the nominal economy, which was expected to be around $17 billion lower over the next five years than was expected in last year's budget. This flowed through to "slightly less tax revenue, slightly lower operating balances and slightly higher debt, compared to budget forecasts".

But the Government's overall fiscal strategy remained unchanged - that was "to keep a tight rein on spending, focus on results from public services, start to pay down debt and look to return any excess revenue on top of this to tax payers".

So, there's no money for anything, except for tax cuts for National's corporate donors and rich mates. And meanwhile, our schools will rot, our hospitals will be overcrowded, and kids will be living in cars because they can't get a state house despite their obvious need.

This isn't even ethical, let alone responsible. Instead National is just the party of crony capitalism, looting the state for the benefit of their rich mates.