Its been incredibly tough to make ends meet with inflation and subsequent high interest rates leading to a cost of living crisis.
Businesses in Dunedin and elsewhere are telling me this is the toughest trading environment they have experienced. That’s why getting inflation back in check has been the government’s number one priority.
The ruinous and wasteful spending of the Labour government, often without any tangible outcomes, had disastrous effects on inflation, the economy and household budgets. A return to fiscal prudence and a clear focus on actually delivering outcomes on hard-earned taxpayer dollars invested is an absolute necessity.
With less money being siphoned off by banks and the taxman, the forecasts are for a steady pickup in growth and a much more positive backdrop for businesses to start investing and hiring, creating more opportunity for all.
The tax relief is the first time in 14 years the tax brackets had been adjusted, meaning hard-working New Zealanders on not much more than the minimum wage were being captured into higher tax brackets, proving a significant headwind for those seeking to get ahead, or even just get by.
That’s not to say we’re complacent, there is much more to do. Specifically, we are focusing on reducing red tape and attracting investment into productivity.
We’re dragging the Australian banks before a select committee inquiry to explain why their margins are higher in New Zealand than Australia and supermarkets and power companies are also in our sights. We need to ensure consumers are getting a fair deal and if not, take measures to address that.
Through all this we must not lose sight of the fact New Zealand, and particularly the South, has enormous potential, with significant natural advantages and innovative people. I’m confident much better days are ahead.
While there is still a long way to go, these are the first signs of green shoots and that the coalition’s plan is working.
