Friday, 4 September 2020

Government must balance Covid threat with new debt


“The Government must today balance the threat of Covid-19 with billions in new debt,” according to ACT Leader David Seymour.

“Spending more time at Alert Level 2 means less business activity, less work, less tax, and more debt.

“Every hour at Level 2 is costing the economy about $2.7 million.

“Covid-19 is a threat, but it’s not the only one. When Cabinet meets today, it needs to consider the new debt it’s piling on future generations, too.

“Labour, helped by New Zealand First and the Greens, has borrowed $140 billion. That’s $28,000 for each and every New Zealander. It’s the average credit card debt five times over.

“Every extra dollar government spends to support the economy will have to be taxed later.

“It’s the kids currently at intermediate who’ll lose. They’ll pay higher taxes for fewer services tomorrow because of politicians’ irresponsibility today. Borrowing now and forgetting tomorrow is fiscal child abuse.

“When businesses and households tighten their belts, so should politicians. We need an honest conversation about our spending and debt problem.

“Only ACT has a fully costed plan to get back to surplus and start repaying the debt now.

“A Party Vote for ACT is a vote to look to the future and confront our challenges as a country.”