Rich Katherine: Supplementary Estimates — Imprest Supply Debate 
Rich Katherine: Supplementary Estimates — Imprest Supply Debate 
[Volume:626;Page:21272] 
KATHERINE RICH (National) 
: 
 If anybody wants to upset Labour right now he or she need only mention the media’s and the public’s reaction to the Budget. Mike Williams made it incredibly difficult for the Labour Party I have to say by going around various meetings in Auckland and around the country and by giving interviews saying that in the Budget was a deep dark secret. It was so deep that very few people could ascertain what it was when they first went through the Budget documents—or could not find it at all. When it transpired that the deep dark secret was 67c in 3 years’ time was it any wonder that the New Zealand public shrugged their shoulders and asked: “Is that it? Is that as good as it gets?” 
New Zealanders understand having just had the best economic conditions in a generation that they should be in a position whereby they can get something back for their work—something back for the hard work they have done over the last 6 or so years. Michael Cullen as the Minister of Finance has had the best economic conditions that many Ministers have faced in a long time. If we are not able to have tax cuts after those sorts of conditions the question most Kiwis are asking is when they can ever be relieved of some of the burden of tax. Members on that side of the House said that no more taxes would be imposed except on a few who earned over $60000 per year. More taxes have been levied on New Zealanders over the last short period of time than have been levied on most generations prior to the last 6 years. 
If we cannot afford a tax cut now when will we ever be able to afford one? That is a key issue and the key question on the lips of many New Zealanders. That is the reason I suppose that the Budget was not well received by the general public. I am not talking about the wealthy—which the Prime Minister and the Minister of Finance seem to think is anybody who earns over $38000 per year—but about those hard-working Kiwis the bulk of our citizens who earn less than that and who want something more in their pockets at the end of the week. They are the people who pay for everything. They do not have a community services card. They pay for everything and face the increasing costs of petrol Nana’s sherry and carbon emissions tax. They are paying for absolutely everything and getting nothing back. 
Well we on this side of the House do not think that people earning $38000 per annum are wealthy. We do not think that people earning $60000 per annum are wealthy. If we look at our own communities we will find doctors nurses some teachers and police who earn over $60000 and who are now caught in that top tax rate. We do not see those people as being the wealthy elite. If we think that those people who earn $60000 should front up to Work and Income New Zealand to get some kind of handout then there is little future for our economy. 
This bill does not set aside money to fix the tax problem we have in this country. This bill will not give New Zealanders more than just 67c in 3 years’ time. This bill will not set aside money to fix the current problems with the police which basically leave some Kiwis ringing 111 and getting a cab not a cop. This bill and this Budget will not fix the current debacle with the National Certificate of Educational Achievement and New Zealand Scholarship. It will not give any relief to hard-working families—the families who get up every day and go to work— 
Jill Pettis 
: Yes the Working for Families package. 
KATHERINE RICH 
: Is it not interesting that Ms Pettis is now talking about the Working for Families package? That was last year’s story. Labour has dredged it up—understanding that its Budget has fallen as flat as a pancake—to try to make things a bit better when it argues in front of Kiwis who say that its Budget has been such a disappointment to most Kiwis. 
We have seen an extra $3.5 billion spent on health. We have seen a whole lot of spending in other areas as well but we have seen little gain. It was interesting to hear Michael Cullen in the Chamber take credit for good weather good commodity prices good economic conditions and good employment numbers when that member over there knows that the good conditions we have faced have frankly had nothing to do with this Government. 
Jill Pettis 
: One hundred and thirty million dollars has nothing to do with the weather. 
KATHERINE RICH 
: Is it any wonder that Michael Laws of Wanganui says he has some nutters in his town when Jill Pettis sits over there and makes such inane comments? Labour thinks that for a person to be wealthy he or she must earn more than $38000 per year. Well I can say that we on this side of the House have bigger and better dreams and aspirations for this country. When Kiwis are earning $38000 per year and the Government’s answer is to make them front up to Work and Income New Zealand to get a handout then I do not think the Government is asking the right questions. The answer is not further entrenching welfare dependency in this country; the answer is helping people to be independent. Working for Families will provide relief for only about 14000 extra families who were not already caught up in the welfare system and I do not think that that is something to crow about. 
Moana Mackey 
: Spin spin. 
KATHERINE RICH 
: Members on that side might say: “Spin spin.” but they are the ones who are spinning. They are the ones who are facing Mike Munro deeply concerned about the way the spin was handled when it came to the Budget. It is members on that side of the House who are angry that they were let down by Michael Cullen after being told that everything would be all right. They were told: “Keep quiet boys and girls. There’s going to be something in the Budget that will keep all your punters happy.” and it did not happen. Sixty-seven cents in 3 years’ time—I bet that will go down well in Gisborne! When those members are standing on the hustings and talking about what Labour is promising that will not go down terribly well. Mr Hide said it was enough to buy a packet of chewing gum. Actually it is not. A packet of chewing gum costs 70c. With 67c one would have to wait till the next year to have enough to get a packet of chewing gum. 
Some of the other ideas the Government has talked about today did not catch the imagination of New Zealanders either. They fell asleep at talk of the KiwiSaver programme. Their eyes glazed over when they were told about the deal for first home buyers. When one looks at the deal for first home buyers one realises that one would have to buy a house that was so cheap that many Kiwis probably would not want to live in it anyway and one cannot buy houses for the value that allows one to qualify. 
The Budget has been a deep disappointment to the Labour Party and Labour members know that. They can sit there and smile point and carry on but they know they do not have anything to go out and sell on the hustings and that their people are just as disappointed. It is interesting that Michael Cullen said that the reason there was not much more in the Budget was that the Government’s own polling said that tax was not an issue. It just goes to show how decisions are made in this country right now that if a poll indicates that something is wanted or not wanted that is the way this Government makes its decision. 
It is interesting that Michael Cullen said that tax was not an issue yet post-Budget it was one of the major issues of interest to this country. Kiwis are finding it harder to get by as they spend more at the petrol pump and spend more on their petrol and more on their goods and services—all taxes and levies from a Government that said that it would not raise any taxes or additional levies. So I think Labour has quite some explaining to do. Instead of talking about what the National Party will do Government members should stand up and say why they are so excited about their Budget and why they think it is a vision for New Zealand. 
Darren Hughes 
: They have. 
KATHERINE RICH 
: No they have not. They have stood up and talked about the National Party which I think demonstrates a deep sensitivity and a deep understanding of what the problem is. We on this side of the House are delighted that the Government has fallen flat on its face with a Budget that has not excited anybody at all because it allows us to demonstrate a difference in terms of what National will be offering at the coming election. Kiwis will see through what the Labour Government is offering. It is all about spin. Government members are deeply disappointed. They might be pretending that they are as happy as sandboys but we know they are disappointed with what Michael Cullen has delivered.