Goodhew Jo: Budget Debate 
Goodhew Jo: Budget Debate 
[Volume:673;Page:19166] 
JO GOODHEW (National—Rangitata) 
: 
 I rise to speak in the Appropriation (2011/12 Estimates) Bill debate fresh from a 2-week adjournment in which I travelled around the Rangitata electorate—[ 
Interruption 
]—I am fresh—discussing aspects of the Budget with my constituents. The feedback I have had has been face to face but it has also been through things I have read in the media. I have some quotations I will use here this afternoon when I talk about this Budget which is a Budget for the time. The South Canterbury District Health Board chief executive Chris Fleming said: “It’s good to see the government’s continuing commitment to the health and disability sector and in particular the commitment to the new investments announced particularly given the economic climate we are all facing.” 
Then there was a comment from the Timaru Grey Power secretary John Button. Unlike members on the other side of the House I will not read just the comments supportive of the Government. Mr Button’s comment expressed some concerns about the changes to KiwiSaver and Working for Families. I will return to those concerns later. But he also said that the increased funding for dementia care beds by $44 million over 4 years was very “encouraging”. My constituents agree with him. The Timaru Boys’ High School rector Kevin O’Sullivan said he was pleased that education was spared a swinging axe. He should have also said that there is $1.4 billion of additional funding over the next 4 years in education. 
We know because it has been said time and time again in this House that $550 million more is going into early childhood education. That is a far cry from the mantra we hear from the other side of the House that there have been cuts. There have not been cuts to spending on early childhood education but changes to policy—yes. It makes it really uncomfortable for members on the other side because they want to say that we do not care about early childhood education but we do. We value it so much that we want more students in it because when children head off to primary school having not been involved in early childhood education they are behind the eight ball. Over the past few months I have visited lots of early childhood education centres. They have been heartened to hear as they have told me lately that a substantial slice of new money in the Budget is for early childhood education. 
I return now to Mr Button’s comments about KiwiSaver and Working for Families. It behoves me to offer him some reassurance on both fronts. Firstly with regard to KiwiSaver I tell him that the proposed changes will not come into effect until after the election. They will give rise to an increase in private savings and they will cause KiwiSaver to become more financially sustainable. Well what is wrong with that then? Those changes will free up $2.6 billion over 4 years but they will not stop the KiwiSaver fund from reaching $60 billion over a period of 10 years. That is fantastic. There are 20000 people going into this scheme every single month and they know that the Government will still be generous enough to give them a $1000 kick-start and that the taxpayer—because it is taxpayers’ money—will still be putting in $521 each year. But this Budget is certainly making this programme much more sustainable. It is about the voters of New Zealand deciding though. After the November election they will get to decide between a more sustainable KiwiSaver or a generous but unaffordable KiwiSaver. 
Then there is Working for Families. I will give members a couple of examples. It is a large but generous scheme. The cost has certainly ballooned. From $1.5 billion back in 2005-06 it has become $2.8 billion this year. The scheme’s future really is in doubt if it continues in the same way. We are making some changes that will shave $448 million over 4 years off that cost but 280000 families will not receive a cut. If members look at a high-income family they will see that that family will receive a cut. A high-income family with four children earning $125000 a year will actually receive $12.66 less a week. But if we compare that family with a low-income family again with 4 children but on a very low income of $27000 a year we see that they will get $14.18 more every week. They are amongst the 280000 families who will get more. But the changes will not start until after the election. They will come in over 7 years and in anyone’s language that means that the voters will get to decide. 
Our changes target those in need. It is a sad indictment on members of the previous Labour Government that all they had was a cynical vote-buying exercise in which they chucked surpluses at schemes and did not target the schemes at all. But actually back on 8 November 2008 the voters saw through it. 
Jacinda Ardern 
: Name one—name one. 
JO GOODHEW 
: We are fixing them up I tell Ms Ardern. Working for Families is one. KiwiSaver is one. 
Jacinda Ardern 
: What? You think that was a bribe? 
JO GOODHEW 
: Yes of course it was a bribe. Fiscal prudence is something New Zealanders practise every day in their households and they want the Government to do the same. They want the Government to live within its means and that is exactly what Bill English’s Budget does. This Budget was greeted with confidence by the ratings agencies. We were spared a ratings downgrade. In the words of the  
Timaru Herald  
editor: “That fact alone made yesterday’s Budget a success.” 
I will talk quickly about an announcement that was music to the ears of every New Zealander who understands the value of fresh water. Our package is about the management of freshwater resources so that the Government gets to experience the gold that is its value and so that New Zealanders do too. The Budget commits $35 million over 5 years to getting proposed irrigation projects up and running. Those proposals will be accepted from this month. We are not wasting any time. It is June and they will be accepted from this month. But getting a big project underway is always challenging and in my electorate we have certainly seen that. The Government has recognised that in 2013-14 it needs to consider a cornerstone investment becoming an equity stakeholder and so $400 million has been proposed for 2013-14 for that purpose. 
But it is not enough to use water just for irrigation. We have to make sure we clean up the fresh water that is not in a good state whether it is in an aquifer a lake or a river. So we are putting an additional $15 million into a contestable fund for that purpose. But actually that fund is being added to money that is already there—$264.8 million to clean up water which is not an inconsiderable sum of money. 
My constituents want to know that the Government is looking after their health. They love the fact that there are 1000 more nurses and 500 more doctors now. They love the fact that we have put aside $18 million more to train an extra 40 doctors. 
Chris Auchinvole 
: How much? How much? 
JO GOODHEW 
: Another $18 million. My constituents are also great supporters of Plunket. This weekend in Timaru we are celebrating the 34th annual Plunket art show. I used to be on the committee. This wonderfully successful fundraiser helps Plunket to deliver services to families—support services. The Government funds the Well Child checks and we are funding an extra 54000 checks through Budget 2011. That means that 18000 new mums will have three extra visits in the first 2 months. I think that is fantastic. That is where we pick up and understand what is happening in those homes in the time when children are under 2 months old. 
We are also delivering $68 million worth of additional elective surgery. That means hip replacements for older New Zealanders cataract surgery and knee replacements. That will improve the lives of many many New Zealanders. My constituents want to know that the Government cares about the vulnerable members of our society so they welcome that funding for dementia for Well Child checks for young babies for those people needing surgery and for those who do not access early childhood education. 
But there is more; there is $43 million for a very special 4500 children who are in State care. These kids are 17 times more likely to go to jail. Ms Chadwick spoke about vulnerable young people who might go to jail. This money is for them. It is to make sure that they do not have a life that is likely to lead them to jail. It is ghastly looking at them and thinking that that is their life to come compared with the lives of our own children. 
I will touch now on the people of Rangitata who live 45 to 120 minutes up the road from where the devastating earthquakes happened. Thousands of my constituents have had damage to homes and businesses but nothing like what is happening to people in Christchurch. These people are our friends relatives and former neighbours. They are in Christchurch city and in the districts of Waimakariri 
and Selwyn and we are delighted that the Government has seen fit to put $5.5 billion in the Budget to provide certainty for rebuilding Canterbury. 
Lastly I will touch on the sentiments of the farming community of Rangitata. They are gobsmacked by the financial illiteracy of Labour members and in particular of Stuart Nash. They have cried foul. They say that when they earn money they pay tax. They say that they have had a tough couple of years but things are definitely getting better. They want apples to be compared with apples. They do not like the financial illiteracy that has been shown by Labour members.