OCR hike shows we must cut the waste to grow the country

“Today’s OCR increase to 2.50 percent is a reminder that Government spending competes with household budgets. The war on inflation is never won, and the price of affordable mortgages is eternal vigilance on Government spending,” says ACT Leader David Seymour.

“When Government borrows and spends too much, it competes with mortgage holders and pushes pressure through the economy. Borrowers end up paying the price.

“That is why careful Government spending matters. New Zealanders have had to manage their own finances carefully through tough times, and they deserve a Government that does the same.

“ACT can point to $14 billion of savings for the taxpayer. If petrol goes under $3 for a month and the Earned Income Tax Credit increase ends, ACT will have saved another $250 million.

“The answer is not more tax, more borrowing, and more bureaucracy. The answer is disciplined spending, less waste, and policies that let people invest, build, hire, and grow.

“To unlock New Zealand’s potential, we need a smaller, smarter Government that leaves more room for the firms, farms, and families who create prosperity.

“ACT will keep pushing to cut wasteful spending, reduce red tape, and restore the conditions for lower inflation, lower interest rates, and real growth.”