Nash Stuart: Taxation (Business Tax Measures) Bill — First Reading 
Nash Stuart: Taxation (Business Tax Measures) Bill — First Reading 
[Volume:652;Page:1090] 
STUART NASH (Labour) 
: 
 It is with pleasure that I stand to talk to this Taxation (Business Tax Measures) Bill. Like the rest of my colleagues I support and welcome the bill as I support and welcome anything that streamlines compliance costs and the time needed by small-business owners to meet their regulatory requirements and makes life easier for the 96 percent of New Zealand businesses that are classed as small to medium enterprises as long as those terms do not compromise either the integrity of the investing community or the transparency of the process required in a fully functioning economy. 
These businesses are the backbone of the New Zealand economy and employ over 60 percent of our workforce. They need these measures and this is a good entrée. But where is the meat and vege? As my colleagues have already alluded to what is proposed here is hardly earth-shattering. It is a start but it is hardly earth-shattering. As the Hon David Cunliffe said a lot of these measures were already outlined in Labour’s pre-election tax bill on how to deal with the then-looming economic crisis. It was a given that Labour would have implemented similar sorts of measures almost immediately if its members had won the Treasury benches. But we did not and the paradox is that businesses in New Zealand must be groaning at the response from the so-called “party of business”. They are groaning and saying “Oh no!”. After 9 years and an average of 15 to 18 percent growth year on year for many of the past 9 years—hardly business-unfriendly—here is a National Government that has promised nothing and it has delivered on that. In fact it has exceeded its promise of nothing and it has delivered next to nothing. 
Do not get me wrong. As mentioned I support this bill. It is just that it under-delivers on what the small and medium enterprise sector really needs to prime the economy and survive the largest recession since 1929. Let us not underestimate the seriousness of the current situation. This is dire and desperate and it requires strong measures. If the Nats’ economic crisis package is a rolling maul then I hope for the sake of New Zealand’s business community that we have not kicked off. If Mr Key is the referee then Mr English is the ballboy running around and desperately looking for a pump and a valve to inflate the ball which is now flat. All the players on the field are getting cold as they wait for the promised action and the spectators in the stand are growing grumpy as they tire of no action and why? Because in other fields across the globe strong captains have taken the ball and run. If this is a rolling maul then I ask Mr Key to blow the whistle as the maul has collapsed there is now a ruck and the players are hurting. Blow the whistle take charge and get this game under way. If the National Party is a rugby team and this is a rolling maul how about freeing the ball getting it out to the wing and starting to score some points? 
The sad thing is that this is not a game of rugby. While New Zealanders may understand a rugby analogy they know the rules have changed this time— 
Amy Adams 
: Red card! 
STUART NASH 
: —a red card for that member—and it demands some serious action. This situation is deadly serious and it demands a deadly serious and comprehensive plan. I say to Mr English that it demands a plan that will get us through. We need a light at the end of the tunnel because at the moment many businesses cannot see their way clear of this crisis and it will only get worse. 
I was talking to the chief executive officer of the Hawke’s Bay Chamber of Commerce last week and he said that for the first time businessmen and women are coming into his office in desperation and at their wits’ end as to how they will pay their bills. They cannot afford to go to their accountants to seek advice so they seek free advice from an organisation that has no funding for the provision of such a service. I say to Mr English that this is not a game but a very serious situation that demands a very serious response. The people of New Zealand and the small and medium enterprise sector are looking to the Prime Minister and his Minister of Finance for guidance and solutions. However so far the honourable members are not even committed to following the global players let alone leading them. I look across at the Government benches at “Prime Minister Obama”—I apologise that was a bit of a slip. It is an analogy because we never see the Prime Minister here. It is hard to tell the difference between Obama and Key; they are very similar in so many ways. 
I look across at Prime Minister Key and I actually feel sorry for the member. I do; I feel sorry for the Prime Minister because in a previous corporate life I am sure that the honourable member would not have tolerated such a limited and underwhelming response to such a serious issue. But now Mr Key is forced to tolerate it. He must be frustrated at the Minister of Finance’s response to this crisis. If Mr Key is listening I ask him to admit it—if only to the radio admit it. He can admit off the record that this is frustrating for a man who worked in such an environment. I feel for Mr Key because as John Armstrong said in his column the Prime Minister’s reputation is on the line and it is suffering. I tell Mr Key to take charge like in the old days and just make it happen himself. 
Mr Key has self-styled himself as a businessman and a saviour. I was sitting at a table with a couple of other blokes at a function where Mr Key spoke and they said “Thank God that the Nats have a Prime Minister who understands business.” They just did not understand politics. Mr Key may understand business or global currency trading but the question that these esteemed but somewhat misguided gentlemen must now be asking is: “Does his finance Minister understand business?”. It appears not. If Mr Key is Barack Obama does that turn the Hon Bill English into Henry Paulson or Tim Geithner? Wow! They are hardly in the same league and I think everyone here would agree with that. I wonder whether the journalists at  
The Economist 
 the  
New Zealand Herald 
 the  
Dominion Post 
 and the  
National Business Review 
 and the range of commentators writing in our papers have a greater knowledge of what is actually happening in New Zealand let alone around the world in terms of this global crisis than our current Minister of Finance. It is rather scary. 
I ask: where is the vision? Where is the plan? Where is the debate around the state of the regulatory environment to the extent that major structural changes may be needed to the way in which businesses operate in the future? I ask Mr English to please show us the plan. On behalf of businessmen and women right up and down this wonderful country I ask him to please show us how he will address the issues that are already beginning to impact upon the New Zealand economy. We already know that it is going to get worse. I keep reading about the depth and breadth of this recession. While we all hope that the commentators economists and experts are wrong if they are right then why is there secrecy from ordinary New Zealanders as to the response from the National Government and its Minister of Finance? Why the secrecy or is there just nothing to hide because there is nothing in the ideas cupboard? 
Sitting suspended from 6 p.m. to 7.30 p.m. 
STUART NASH 
: As I was saying what I am keen to see and what I think the people of New Zealand are keen to see and certainly what the small to medium business enterprise sector is keen to see is some sort of vision. My questions to Mr Key and Mr English are: where is the vision where is the plan and where is the debate around the state of the regulatory environment to the extent that major structural changes may be needed to the way in which businesses operate in the future? I ask Mr English to please show us the plan. That is my request to him. On behalf of businessmen and women up and down this wonderful country I ask him to please show us how he will address the issues that are already beginning to impact upon the New Zealand economy and which as we all know will only get worse. 
I keep reading about the depth and breadth of this recession. Whilst we all hope that the commentators the economists and the experts are wrong or only half right if they are right why the secrecy from ordinary New Zealanders as to the response from the National Government and its Minister of Finance? Why the secrecy or is there just nothing to hide because there is nothing in the ideas cupboard? Is it that like Old Mother Hubbard there is really nothing in the cupboard? It is worrying for all of us. It will be a long 2½ years for ordinary and extraordinary New Zealanders because this recession will bite it will be deep it will be long and it will be hard. The people of New Zealand will look to Mr English and Mr Key to come up with solutions and so far we have seen no solutions. 
Yes this bill is a start and we do support it but it is not enough. As the Hon Mr Cunliffe said it parrots Labour’s initiatives before the full extent of this crisis was understood but it is not even close to far enough to addressing the concerns and the hardships of small and medium enterprises. Thank you.