Parliament roared back into action last week
Prime Minister John Key gave a major speech outlining the Government’s plan for the year ahead. I’ve sat through five of these speeches now and most under Helen Clark were sleepy events that struggled to make the 6pm news. John Key’s statement this year was the most bold and exciting I’ve heard.
This year the Government is focusing on growing the economy, creating new jobs, and improving public services to better equip New Zealanders for the economic challenges they face.
We know that our tax system needs fixing. We need to reward people for working, saving and investing, rather than spending and borrowing. As a nation we spend a lot more than we earn.
That’s why we’re considering a small rise in GST to help rebalance our economy. Any increase would be accompanied by across-the-board reductions in personal taxes, as well as up-front increases in benefits and NZ Superannuation.
There are lots of other areas the National Government will focus on this year. We’re going to invest more in science, because growing our economy means we need new ideas.
New Zealand’s natural resources have huge potential to boost economic growth and create jobs, as they do in Australia. In 2010 we’ll be reducing red tape and looking at extending mining on Crown-owned land.
We’ll also promote investment in capital markets while strengthening protection for investors, and look at developing New Zealand as a regional hub for financial services.
We have a big focus on infrastructure, with the Road of National Significance from Levin to Wellington exciting local contractors. Ultra-fast broadband will start rolling out and we’ll be encouraging marine farming and irrigation.
The other big priority is social issues. National Standards are underway in schools to help boost achievement, and ‘three-strikes’ legislation is on its way for the worst violent offenders.
The benefit system needs to be reformed to help people back into work. We’ll be encouraging beneficiaries to take up jobs and make sure welfare spending gets to the people who really need it.
It’s going to be an exciting year and like you, I look forward to much more detail in the Budget on May 20.