Revenue projections drop by almost $1b a month

The Government’s tax forecasts for 2012 - 2016 have dropped by almost $1 billion a month since the election, highlighting its failure to boost growth and create jobs, says Labour’s Finance spokesperson David Parker.

“Since the election the Government’s tax forecasts have dropped by $1 billion a month. That’s no surprise when you’ve got 7.3 per cent unemployment. There are 175,000 people who can’t pay taxes because they’re looking for jobs, in addition to the 180,000 who have left for Australia under National’s watch.

“The worst growth rate for any Government in 50 years means businesses aren’t making enough profits to pay much tax.

“The best way to get the Government’s books into surplus is to raise tax revenue by getting businesses growing and Kiwis working. National simply isn’t doing enough.”

David Parker today issued an update to Labour’s Economic Road Test for the Government, highlighting National’s failure to deliver on its promises.

“National has given up on its hollow promises.

“With 175,000 people looking for work and no extra jobs created last year it has clearly failed in its promise to created 170,000 new jobs. The 180,000 Kiwis who have left for Australia in the last four years are a mockery of John Key’s promise that we wouldn’t have to wave goodbye to our young ones.

“National’s economy faces serious problems. Unemployment is at 13-year highs, growth is stagnating and we have a $10 billion external deficit, which is worse than every developed country bar Greece.

“Kiwis want real and innovative solutions to the serious problems facing this country. It’s time for a hands-on government, one that is committed to jobs and growth,” says David Parker.