Hudson Brett: Appropriation (2015/16 Estimates) Bill — Third Reading Imprest Supply DebateText is incorporated into the Bound VolumeHudson Brett: Appropriation (2015/16 Estimates) Bill — Third Reading Imprest Supply Debate[Sitting date: 18 August 2015. Volume:707;Page:5890. Text is incorporated into the Bound Volume.]BRETT HUDSON (National): It is a pleasure to speak on this Appropriation (2015/16 Estimates) Bill and the Imprest Supply (Second for 2015/16) Bill. This Government has been all about forging a resilient and adaptive economy and it is working extraordinarily well. What we have seen over the last 4 years for instance is 194000 further jobs created—69000 of those jobs in the last 12 months—and we have got a forecast of a further 128000 jobs across the next 4 years. The outlook for growth is stable at a moderate level of between 2 and 2.5 percent despite the softening conditions we have seen in commodity markets particularly in the dairy market. Wage rises have been well ahead of inflation. Average wages grew at about 3.6 percent in the last year; inflation was a mere 0.3 of 1 percent. Average wages have grown 15 percent over the last 5 years. The average wage has risen to $57000 which is $10000 a year more than when this Government took office in 2008.Interest rates are low and will remain lower for longer. There is talk about potentially another cut in the not too distant future. But if we look at the record of the previous Labour Government there when Labour exited it had interest rates running hard trying to reach 11 percent and actually winning the race. Under this Government they are low and they will remain lower for longer. Under this Government we have also seen now 5 years of positive household savings. That is the first time the country’s seen that in 20 years. That is all a good-news story. It is good news for the past few years and it is still a good-news story looking forward. We have developed a resilient and adaptive economy.But if we listen to the Opposition members all they want to do is talk down New Zealand and its prospects. One only has to look across to the Opposition leadership seats to see doom and gloom. In fact the only person smiling on the Labour benches is Grant Robertson because he sees his leadership hopes rekindled with every day and every speech that Andrew Little makes. I think that Gene Simmons probably agrees with him.In this Budget this Government has delivered on its pledge for New Zealand for the next years to come including a $790 million package to help reduce hardship to the children and their families in greatest need. It includes a $25-a-week increase to benefits for families with children. That is a $25-a-week increase. That is the first increase to real benefits in 43 years.Sarah Dowie: How much?BRETT HUDSON: In 43 years. And in 43 years there have been two Labour administrations. Neither of those did that—neither of them. We had long years some might say insufferable years under those two Labour administrations and neither of them were raising real benefits as this Government has done.But we recognise that the way out of hardship is through work. We do recognise that low-income families can find times tough. So we have included in the Budget assistance for them too—$12.50 a week for low-income families who are receiving Working for Families subsidies but not benefits. We have also increased childcare support allowances for low-income families. These initiatives are targeted at around 160000 families covering approximately 300000 children. This is from a Government that cares a Government that is prepared to tackle things that are often seen as intractable problems and that takes real measures to help those in need.Along with that we recognise that New Zealanders are living longer. We want them to live healthier lives as well as longer lives. So we have increased health spending by $1.7 billion. The annual spend in health is just a shade under $16 billion. In education there is a further $680 million because we understand and appreciate that if we want a better life for our children in the future that effort starts at home with the way they are raised at a young age and its continued strength and it is really reinforced through good education. So there is another $680 million in the compulsory education sector and that brings that spend to over $10 billion—in fact almost $11 billion a year. There are significant reductions in ACC levies helping to reduce costs for businesses helping to reduce costs for people and believe me a lot of New Zealanders have experienced and are still looking forward to the reduction in the ACC levies on their next motor vehicle registration.As well as that having heard lots of noise from the other side about property speculation we took steps to strengthen the tax rules on property investment the tax rules that have existed in this country for decades. We have applied a brightline test to make sure the courts and the Inland Revenue Department can more readily address those people who are speculating with investment properties but what we did was strengthen what was already there.There could be a number of reasons as to why people might say to themselves that the Opposition is not fit to govern. Formulating public policy on the basis of what someone’s surname sounds like is reason enough alone for the Opposition to remain on the Opposition benches for decades to come. [Interruption] But beyond that—it might be based on analysis but it was poorly directed policy I can tell you that. So if that is not reason enough on its own that Opposition members should stay there for decades to come they do not even understand the existing tax provisions in New Zealand. There is already a capital gains tax in New Zealand for people who speculate on property and what this Government has done is strengthen the measures to make sure that it can be applied more readily in court and by the Inland Revenue Department. And members opposite oppose it. They scream black and blue about property speculation and then oppose measures to do something about it. Well that is just simply a party that is not fit to govern at all.Along with this we have been doing a lot around building this resilient and adaptive economy to make sure it is diversified and we have seen the results of that. So over the past year the information and communications technology sector now comprises about 1.7 percent of GDP. On its own the information and communications technology sector is one-third of the dairy sector and we appreciate that dairying is going through a tough time. The information and communications technology sector has grown 9 percent per year since 2008 and now it is a third of dairying at 1.7 percent of GDP. International education is $2.85 billion a year and 1.33 percent of GDP. The wine industry wine exports is $1.4 billion. That is up 8 percent over the last year. It is about 0.7 percent of GDP and growing. High-tech manufacturing has gone from $139 million in 1991 to $1.4 billion in 2012. Tourism is now 7 percent of GDP. It is larger than dairying. Beef exports—we have heard a lot of people talk about how although dairy is down beef is up. It is at $3.1 billion. It has gone up 34 percent over the last year alone.I would like to spend a couple of minutes just within this diversified economy talking about information and communications technology. We have announced in the Budget an additional $360 million around ultra-fast broadband and the Rural Broadband Initiative broadband infrastructure. There is $100 million in a contestable fund to expand rural broadband coverage across the country $50 million to address some mobile black spots and an additional $210 million to expand the coverage of the ultra-fast broadband programme to 80 percent of the population. Together when they are complete we will be covering almost 100 percent of the population but probably about 49 percent of the geography which is why we have announced that $50 million to deal with some black spots. It is a real issue given the geography of New Zealand. That will bring our investment to broadband infrastructure in New Zealand to around $2 billion.What we are doing is investing in capability for New Zealand businesses to grow to employ more people and to take their goods and services to markets across the country and around the world. What we have seen there if you look at what ultra-fast broadband has already achieved—look at Timaru. There was a software development company in Timaru that before ultra-fast broadband employed one person; now it employs 12. It is able to deliver its services to customers not only across New Zealand but outside of New Zealand. And now the information and communications technology sector is the third-largest sector in Timaru. That is a fantastic result.Or in Whangarei where a doctor used to have to book clients into the local hospital for retina scans. He now does them in his practice and sends the results over the internet to the hospital. It is much easier and quicker for him and better for the patients. It is a far better health service. Or the panel beater in the North Shore who has got a 15 percent productivity improvement by taking photos and videos of the damage sending them through to the assessor getting the job done and approved much quicker and getting the customer out the door.This is a good Budget for New Zealand. It is a great economy that we have developed for New Zealand. It is one we intend to continue to develop. I commend the bills to the House.