Hayes Joanne: Oral Questions — Questions to MinistersText is incorporated into the Bound VolumeHayes Joanne: Oral Questions — Questions to Ministers[Sitting date: 29 April 2015. Volume:704;Page:2991. Text is incorporated into the Bound Volume.]2.JOANNE HAYES (National)to the Minister of Finance: What reports has he received on the benefits for businesses of the growing New Zealand economy?Hon BILL ENGLISH (Minister of Finance):The New Zealand Institute of Economic Research recently released its Quarterly Survey of Business Opinion. It shows that the New Zealand economy remains on a reasonably solid footing. A net 25 percent of businesses surveyed expect higher business activity down slightly from a net 27 percent in the previous quarter. However confidence remains above the long-term average of 15 percent. Inflation indicators collected through the survey remain subdued despite the fact that these businesses are anticipating growth and there are signs that growth in construction activity has peaked although activity in Canterbury continues to pick up. The New Zealand Institute of Economic Research says that by its historical measures this level of business confidence is consistent with growth of around 3 percent in the economy.Joanne Hayes: What does the quarterly survey say about the outlook for hiring intentions and business investment over the next 12 months?Hon BILL ENGLISH: Our Government sees that an important part of its role is in supporting businesses to assist them to take the decision to invest another dollar and create another job so it is good that the New Zealand Institute of Economic Research report shows reasonably strong employment optimism with a net 15 percent of businesses expecting to hire new workers in the next 12 months. Again that is down slightly from the previous quarter. A net 18 percent of businesses plan to invest in buildings and a net 24 percent expect to invest in plant and machinery. This has been relatively strong partly because of the high exchange rate which makes these kinds of investments more affordable. Overall this level of business confidence points to a reasonably positive outlook for jobs.Joanne Hayes: How can the Government contribute to sustained growth that helps to deliver more jobs and higher wages?Hon BILL ENGLISH: We can continue to take the policy actions that support that kind of confidence in business. The effect of that over the last 4 years is that average wages have increased by around $6000 from $50000 to $56000. Treasury’s most recent forecasts now show the average wage rising to above $62000 by 2018—that is $62000 per annum. I might say the Opposition members also scoffed at forecasts some years ago of 170000 new jobs by June 2015. I can report to them today that as at December 2014—6 months early—there were 188000 new jobs. I suspect we will do better on the average wage than they think today too.Grant Robertson: Can the Minister of Finance confirm in light of that answer that there are 38000 more people unemployed than when he took office a 36 percent increase?Hon BILL ENGLISH: Yes. Once again I thought I might remind Opposition members—because clearly they have not been listening to the questions and answers in Parliament—that there was a thing called the global financial crisis. I know on “Planet Labour” it did not happen but in the real world it did.Joanne Hayes: What other recent reports has he seen on the outlook ofNew Zealand businesses?Hon BILL ENGLISH: Because the outlook for New Zealand businesses is pretty positive there tends to be a number of reports that reflect that. For instance the ANZ today released its monthly ANZ Business Outlook survey. It shows that business confidence remains pretty good. Investment intentions profit expectations employment intentions and export intentions all remain high. The ANZ also considers that the economy remains on track for around 3 percent real GDP growth this year. Of course our objective is to do what we can to sustain that level of growth because it is a level of growth that New Zealand seems to be able to achieve with relatively benign inflation it creates new jobs and it delivers moderate but consistent income increases to households.Rt Hon Winston Peters: I seek leave to table a recent speech that shows that 72000—Mr SPEAKER: Order! I do not need the content of the speech; I just want to know who made the speech and when.Rt Hon Winston Peters: Mr Steven Joyce made this speech.Mr SPEAKER: Order! [Interruption] The member can resume his seat. It is freely available.Rt Hon Winston Peters: I raise a point of order Mr Speaker. I am seeking leave to table it.Mr SPEAKER: And I am not prepared to put the leave. Would the member resume his seat if he wishes to stay in the House.