msn.com 18 Sep, 2020 04:00 am

Tax cuts in, debt target out in National's fiscal plan

National has returned to its tried and trusted policy of tax cuts, offering up short-term relief for middle-income Kiwis - but its ambitious debt target has been scrapped, while it will have less money up its sleeve for future spending The National Party has unveiled its fiscal plan for the 2020 election, abandoning its original debt target and proposing a temporary tax cut to stimulate New Zealand’s Covid-stricken economy. However, it would...

Newsroom p p National has returned to its tried and trusted policy of tax cuts, offering up short-term relief for middle-income Kiwis - but its ambitious debt target has been scrapped, while it will have less money up its sleeve for future spending The National Party has unveiled its fiscal plan for the 2020 election, abandoning its original debt target and proposing a temporary tax cut to stimulate New Zealand’s Covid-stricken economy.Now, in the wake of Treasury’s Pre-election Economic and Fiscal Update (PREFU), the party has released its own economic and fiscal plan outlining how it would make savings to fund its promises.Collins said the fiscal plan showed the party’s plans for responsible economic management, which she described as “a hallmark of successive National governments”." Green Party co-leader James Shaw also accused National of planning to slash public service spending, saying the fiscal plan would inflame inequality at a time when the Government was trying to reduce it.

While the party had initially promised to return net core Crown debt to 30 percent of GDP within roughly a decade, Goldsmith said the pessimistic PREFU forecasts and projections by Treasury meant that was no longer possible.While the party had initially promised to return net core Crown debt to 30 percent of GDP within roughly a decade, Goldsmith said the pessimistic PREFU forecasts and projections by Treasury meant that was no longer possible.

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