Economic slowdown must prompt change in direction

Thu, 20 Dec, 2018

The latest quarterly gross domestic product figures should give the Government pause on its economic direction, says ACT Leader David Seymour.

“With GDP per capita no longer growing at all, the Government needs to take more seriously the concerns of small and medium-sized businesses.

“Jacinda Ardern and Winston Peters have spent the last 12 months piling new red tape and compliance costs onto Kiwi businesses.

“Firms will be even less able to bear new labour laws and a much higher minimum wage if the economy turns south.

“SMEs are the engine room of our economy, yet the Government has shown a complete disregard for the conditions they need to grow and thrive.

“The Government should also reconsider its massive spending plans through the Fees Free policy and the Provincial Growth Fund, totalling $5.8 billion.

“This kind of splurging might be acceptable in benign economic times, but if the economy tanks and tax revenue takes a hit, the Government will be in serious trouble.

“It should end these low-value policies and return the money to the taxpayers who earned it.”