Young Labour anxious about being trickled down on

20 May 2010

Young Labour are gravely concerned that today's budget announcement will not only have a detrimental effect on the people that need financial assistance the most, but that Bill English's tinkering will see New Zealand float down the wrong track.

"John Key has already indicated to us that the tax cuts promised by the National government will not be directly beneficial to those who have been hardest hit by, to borrow a phrase from Bill English, the 'sharp edges of the recession'" said Young Labour President, Analiese Jackson.

"A cut in taxes coupled with a steep raise in GST will effectively all but wipe out any bonuses for those in lower socio-economic backgrounds, with those earning under $10,000 only receiving an additional 85c. This will subsequently further widen the increasing gap of inequality in our country"

"Perhaps what is most frightening is that Key has had the audacity to ask that low to middle class earners not be jealous of those who are receiving bigger tax breaks."

Rather than being "envious about these things", Young Labour is concerned that the trickle down effect that Key is advocating are repackaged old ideas stuck in a dogmatic and disproven ideological rut.

"With high unemployment, we need a practical approach to help real people in times of hardship, as opposed to a cut taxes and hope for the magic of the market."

As young people looking forward to our future, Young Labour has little hope that this budget will be any more than trickling on our aspirations for a better and fairer New Zealand and will have all eyes on the Budget when it is presented this afternoon.