Young Jonathan: Financial Reporting Bill — First Reading 
Text is incorporated into the Bound Volume 
Young Jonathan: Financial Reporting Bill — First Reading 
[Sitting date: 28 November 2012. Volume:686;Page:6908. Text is incorporated into the Bound Volume.] 
JONATHAN YOUNG (National—New Plymouth) 
: 
 I am very pleased to stand in support of the Financial Reporting Bill sponsored by the Minister of Commerce Craig Foss. This bill is part of a comprehensive programme of reforms in the financial and business sector that this Government has implemented over the past 4 years. I think the work we are doing is bringing great benefit into business and finance. 
In fact just before I speak on matters of the bill I want to read a quote from  
Forbes 
 magazine of 11 November 2012 which says: “New Zealand ranks first on our list of the Best Countries for Business up from No. 2 last year thanks to a transparent and stable business climate that encourages entrepreneurship.” I know that one of the issues we are concerned with at the Commerce Committee is that we do have a transparent stable business climate that does foster entrepreneurship. The magazine goes on to say that “New Zealand is the smallest economy in our top 10 at $162 billion but it ranks first in four of the 11 metrics we examined including personal freedom and investor protection as well as a lack of red tape and corruption.” 
What this bill does is actually reduce red tape for our small businesses in particular. But it does not do that at the cost of transparency. It does not do that at the cost of inefficiency or a lack of appropriate reporting. This bill will come before the Commerce Committee and I think we are going to work very hard to ensure that the balance is found where it creates not only efficiency but also a release of compliance burden that is unnecessary. I think that small businesses in our country will applaud this move. 
Some of the other reforms we have done in the Commerce Committee include the financial advisers regime the licensing of trustees and statutory supervisors and setting up the Financial Markets Authority about 18 months ago the Financial Markets Conduct Bill and recently the Consumer Law Reform Bill—all extensive and complex bills from a very hard-working committee. I am looking forward to the continuing hard work from members on the other side of the House as we transact this business so that when we bring these bills to the committee we open it up to New Zealanders for their opportunity to comment and influence the process of sound solid rational lawmaking in our country that will continue to see us being in the  
Forbes 
 top contenders. I think that magazine as a finance magazine is recognising what we are doing here in this country. 
I believe that what we are doing and what this bill will do is continuing to build confidence in our economy which is an absolutely essential thing to do. We have been doing that for the last 4 years and we will continue to do that. We want to cut down on expensive and unnecessary reporting obligations and in doing so help build a productive and effective economy—one of National’s main aims for this term in Government. So I am very pleased indeed to stand in support of this bill. 
I want to draw a point because the bill also touches on for example registered charities. They are required to attach financial statements to their annual returns as they file under the Charities Act. Sometimes however the absence of accounting standards has led to reporting by some charities that is inconsistent with generally accepted accounting practice—or as our senior whip talked about the GAAP protocols as they are often called. So clear rules are required to improve charity reporting and I think as we have those clear rules and as we have accurate and efficient reporting regarding our charities once again that will build confidence in New Zealanders in the donation dollars that they give. 
Just in closing there are many aspects I believe to what is going to be a very good bill. I commend the Minister for bringing it to the House. I believe that we will continue to see a very hard-working Commerce Committee transact the business of that committee. In fact I often look to my colleague Todd McClay the chair of the Finance and Expenditure Committee and I wonder who has the busier committee. 
Mark Mitchell 
: I think we are. 
JONATHAN YOUNG 
: Yeah I think we are. I think we are so I am very happy to see this bill proceed and we are going to make great progress. Thank you.