From NZ Herald · · 2m
National despairs at Labour's cost of Luxon attack
National campaign chairman Simeon Brown calls Labour's cost-of-living claims 'sad' as party alleges $6235 annual rise for families.
In brief
National campaign chairman Simeon Brown calls Labour's cost-of-living claims 'sad' as party alleges $6235 annual rise for families. National says Labour's 'Cost of Luxon' document falsely claims families pay $6235 more yearly due to Luxon's leadership, ignoring tax cuts and mortgage rate reductions. Originally…
National campaign chairman
Simeon Brown says Labour is 'throwing stones about the cost of living' during Christopher Luxon's time as Prime Minister.
“Labour is 'throwing stones about the cost of living'”
Labour's cost claim
Labour campaign chair Kieran McAnulty released a document claiming a family with two children pays $6235 more per year through increased prices of food, fuel, power, healthcare, transport and fees.
“$6235 more per year”
Hipkins' response
Chris Hipkins conceded Labour's calculations did not include reductions in mortgage rates or the Government's tax cuts.
“Labour's calculations did not include reductions in mortgage rates”
Hipkins dismisses US-Iran conflict
Hipkins dismissed any suggestion rising costs could be explained by the US-Iran conflict, saying Luxon didn't acknowledge the same influence of the Russia-Ukraine conflict and the Covid pandemic on the cost of living.
“Luxon didn't acknowledge the same influence of the Russia-Ukraine conflict”
Brown's cost comparison
Under Labour, food price inflation hit 12.5%. Today, it's 1.9%. Under Labour, the Official Cash Rate hit 5.5%. Today, it's 2.75%.
“food price inflation hit 12.5%”
Brown's warning
Brown warned that costs remain high and too many families still feel the squeeze, but New Zealand needs no higher spending, borrowing or taxes.
“costs remain high and too many families still feel the squeeze”
National's fiscal claim
National alleged Labour could not fund its spending promises and would need to tax households an additional $2263 per year to fulfill commitments.
“$2263 per year”
Hipkins' fiscal plan
Hipkins insisted his fiscal plan is sufficiently funded and committed to introducing only one new tax on some capital gains.
“fiscal plan is sufficiently funded”
National's stance
National says the last thing New Zealand needs is to turn back to higher spending, higher borrowing and higher taxes.
“last thing New Zealand needs is to turn back to higher spending”
Author background
Adam Pearse is the Deputy Political Editor and part of the NZ Herald’s Press Gallery team based at Parliament in Wellington.
“Deputy Political Editor”
Author history
He has worked for NZME since 2018, reporting for the Northern Advocate in Whangārei and the Herald in Auckland.
“worked for NZME since 2018”
Labour's fiscal plan
Labour's fiscal plan includes tax cuts and spending promises that National claims would require additional household taxes.
“fiscal plan includes tax cuts”
National's fiscal warning
National warns that costs remain high and too many families still feel the squeeze, but New Zealand needs no higher spending, borrowing or taxes.
“costs remain high and too many families still feel the squeeze”
What happens next
National and Labour continue their fiscal policy debate over cost of living and tax impacts on households.
“continue their fiscal policy debate”
In short
National says Labour's 'Cost of Luxon' document falsely claims families pay $6235 more yearly due to Luxon's leadership, ignoring tax cuts and mortgage rate reductions.
