Laban Luamanuvao Winnie: Taxation (Personal Tax Cuts Annual Rates and Remedial Matters) Bill — In Committee Third Reading 
Laban Luamanuvao Winnie: Taxation (Personal Tax Cuts Annual Rates and Remedial Matters) Bill — In Committee Third Reading 
[Volume:647;Page:16348] 
Hon LUAMANUVAO WINNIE LABAN (Minister of Pacific Island Affairs) 
: 
 Kia ora talofa lava and warm Pacific greetings. I stand with pride to support the Taxation (Personal Tax Cuts Annual Rates and Remedial Matters) Bill. I am very proud to be part of this Labour Government which is delivering for all Kiwis. I am proud of all the achievements that our Government has made and very excited about our vision and our plan for the future. 
I am particularly excited about what this legislation means for Pacific Island peoples. Our people have made great advances under the Labour Government with unemployment reducing from 12.2 percent in December 1999 to 4.7 percent in December 2007 and our education and income levels are improving. Pacific people in full-time employment are increasing their hourly earnings at a faster rate than those of any other group and Pacific children are also increasingly taking part in early childhood education which is critical for future success. Their increase in enrolments is more than twice that for other ethnicities. The number of our students who leave school with National Certificate of Educational Achievement (NCEA) level 2 or above is increasing. Nearly a third of our young Kiwi Pacific people aged between 18 and 24 are taking part in tertiary education and their degrees and PhDs have improved hugely. That is all good news and there is also a lot more. 
What is fantastic about our Government is that we are continuing to deliver for Pacific peoples and for all New Zealanders with this bill. We know that households have come under considerable pressure. That is happening in New Zealand and across the world as nations cope with rising food and petrol prices and with higher mortgage repayments driven up by the credit crunch. Those problems are not of New Zealand’s making but Labour is committed to managing the economy through these challenges. Because of this Government’s responsible economic management putting aside money in the good years we are able to deliver relief when it is needed. Labour is helping Kiwis to cope with rising living costs without driving the public accounts deep into debt or slashing public services in order to do so. 
These tax cuts are responsible. They are providing relief while there is also continued investment in public services like better hospitals modern classrooms cheaper doctors’ visits and prescriptions and more nurses doctors teachers and police officers. The Prime Minister has also recently announced expenditure of $18.5 million to rebuild Porirua College which is a decile 1 college and is one of the leading schools in terms of its NCEA results in our electorate. Tax cuts will benefit people across the board and especially those on lower incomes our families and our superannuitants. The lowering of the bottom tax rate will benefit those on the lowest incomes and people in part-time work. The people on middle and higher incomes will also be able to earn more before going into higher tax brackets. Families will also receive even more support through a boost to the Working for Families family tax credit. That investment in our families and in our children is critical because it is an investment in the nation’s future success. It is critical for people to understand those links in order to understand how important this legislation is. This legislation will make a difference and we will see evidence of that. 
For our Pacific people this legislation will also mean they will have more money in their pockets. Census 2006 showed that 77 percent of Pacific people earn an income of less than $50000 a year so our people have a lot to gain from this legislation. A full-time Pacific worker on the average wage will now receive an additional $16.54 a week and that is great. It is an improvement and it is really appreciated. Our tax cuts and our Working for Families increases mean that a Pacific family with a husband who earns $35000 per annum with a wife who works part-time and earns $10000 per annum and with four children aged 4 6 12 and 14 will be better off by an additional $1975 per year. That will increase to $2273 per year in 2010 and $3719 in 2011. 
The tax cuts will also mean significant increases in the amount paid every fortnight to older New Zealanders. For our superannuitants our Pacific elderly whom we love very much the tax cuts will mean an increase from 1 October this year of $45.88 a fortnight for a married couple and of $23.84 a fortnight for a single person who lives alone. There will be even more in 2010 and 2011. This is extremely good news for New Zealand. All members of our families will benefit. I am extremely pleased and happy that during these times when our elderly will have found the recent increases in the cost of living difficult to manage we are in a position to support them. 
Let us not forget that the last time economic turbulence hit our shores the National Government cut superannuation and public services. The misery and the violation of Kiwi values and the Kiwi heart caused much misery and anxiety for many of our families. 
Our Labour Government has looked at the costs at the petrol pump and at the supermarket checkout and it has looked at rents and mortgages. It has decided that this support for New Zealanders which would have been given on 1 April 2009 will now be given on 1 October 2008. We are supporting our people when they need it the most. I would particularly like to acknowledge and thank Dr Michael Cullen for bringing this bill to the House. Under his leadership the public purse has been managed responsibly which means we are now able to support Kiwis who are dealing with the pressures of today. I am very proud to be part of a Labour Government that is ensuring the people in my Mana electorate our Pacific peoples and all New Zealanders and Kiwis have a strong and sustainable future. Thank you fa’afetai tele lava maloaupito meitakimaata maloni.