4. Question No. 4—FinanceNICOLA WILLIS (Deputy Leader—National) to the Minister of FinanceQuestion No. 4—Finance4. NICOLA WILLIS (Deputy Leader—National) to the Minister of Finance: Does he stand by his statement The year 2023 is a tough time for many New Zealand families" and what impact is the rising cost of living having on them?Hon GRANT ROBERTSON (Minister of Finance): I stand by my statement in its entirety which was "The year 2023 is a tough time for many New Zealand families but all of these are meaningful improvements which will help them … all of which the Opposition voted against." To the second part of the member's question I reiterate what I said yesterday that impacts will differ from person to person and family to family but we do understand that this is a tough time for many people and that is why the Government is continuing to take substantial actions to support New Zealanders through this time.Nicola Willis: Does he understand that his band-aid policies mean very little to a family who will be searching for more than $300 more every week when their mortgage refixes from around 3 percent to more than 6 percent?Hon GRANT ROBERTSON: I find it interesting that the member thinks that lifting the incomes of the lowest-earning New Zealanders is a band-aid solution. On this side of the House we think lifting the family tax credit increasing benefits better supporting superannuitants and better supporting students is actually the kind of thing a responsible Government does to help look after people. It is not a band-aid solution.Nicola Willis: How many families will be forced to sell their homes because of the 50-point hike in interest rates today?Hon GRANT ROBERTSON: In answer to that part of the member's question I would note that almost all banks have priced in the official cash rate going to 5.25 percent and indeed the Reserve Bank in its statements today talks about the importance of maintaining current lending rates.Nicola Willis: How many New Zealand families will suffer from significant financial stress as they struggle to service their mortgage?Hon GRANT ROBERTSON: Many New Zealand families will depending on their circumstances have to find more money to meet their mortgage. The way in which a Government can support them through that is to support them just as we have done by supporting particularly those on low and middle incomes to be able to actually make ends meet. What would make things really bad for them would be massive cuts in public services which is what the Opposition will need to do.Nicola Willis: When is the Minister going to stop talking about his plans to spend yet more taxpayers' money and instead focus on the substantive work needed to reduce pressure on inflation and interest rates?Hon GRANT ROBERTSON: As the Prime Minister has already indicated the Opposition need to front up about what it is they would cut in order to have a major effect on inflation because let's be very very clear: the scale of cuts to Government spending that would materially reduce inflation would mean things like abandoning the State housing programme. Now they did try to do that before and if that is their policy they should front up about it.Chlöe Swarbrick: Will the Government instead consider taxing excess profits or the approximate $1 trillion in wealth transfer through COVID to the wealthiest New Zealanders as a more equitable deflationary measure?Hon GRANT ROBERTSON: As has been said before many times any discussions about tax policy for the next election will take place at the appropriate time. The Government has already announced its tax policy for this term.Nicola Willis: Does he stand by his commitment to return spending to normal levels following the COVID emergency response and if so why is he planning to spend $9 billion more next year than he did last year?Hon GRANT ROBERTSON: Yes.Nicola Willis: Is he seriously trying to say to New Zealanders suffering from the 11th interest rate rise in a row that he and the Ministers sitting next to him have done all they can to eliminate ill-disciplined wasteful spending from their Government?Hon GRANT ROBERTSON: As the Prime Minister has indicated we will continue to look for places to reprioritise and make savings and we have done a significant amount of that. But inherent in the member's question is the connection that I raise again with her: if she thinks that reducing spending can have the meaningful impact on inflation that she is saying she needs to come forward with the significant cuts that would be—is that no more State housing? Is it no more public health system? Is it no more public education system? Because that's the level of spending that the member would need to cut if she were to have the effect on inflation she thinks that she can have."